REG-Petra Diamonds: Statement re allegations at Williamson Mine

Petra DiamondsAnnouncement

09/09/2020 07:05

9 September 2020   LSE: PDL 

Petra Diamonds Limited

("Petra" or the "Company")

Statement regarding allegations of human rights abuses

at the Williamson Mine in Tanzania

Petra Diamonds Limited states that a UK-based law firm, Leigh Day, has filed
claims in the High Court of England and Wales against Petra and Williamson
Diamonds Limited ("WDL"), the operator of the Williamson diamond mine in
Tanzania that is owned 75% by Petra and 25% by the Government of
Tanzania. The claims are understood to have been filed on behalf of 32
anonymous individuals in relation to alleged breaches of human rights at the
Williamson mine. The claims are understood to allege that Petra and WDL are
liable for human rights violations, personal injuries and deaths suffered by
these anonymous individuals at and surrounding the mine, arising from the
mine’s security operations. 

To date, the claims filed by Leigh Day have not been served on either Petra or
WDL. In its letter before claim, Leigh Day has expressed an interest in
alternative dispute resolution methods, including mediation.

Additionally, Petra has very recently received a letter from the UK-based
Non-Governmental Organisation RAID regarding similar allegations raised by
local residents and others relating to actions by WDL, its security contractor
and others linked to WDL. Petra will cooperate with RAID in order to
understand fully the nature of its concerns.

Petra takes these allegations extremely seriously.  WDL, as the operator of
the mine and owner of the mining concession, is carrying out an investigation,
as fully and timeously as possible given the limitations imposed by the
COVID-19 pandemic, supported by an independent, specialist consultant.  Petra
is initiating its own independent investigation, through a separate specialist
third party, reporting to the Petra Board. Responses will be provided to the
claimants’ lawyers in accordance with the relevant pre-action procedures of
the English court, as well as to RAID.

Petra has previously disclosed that there has been ongoing illegal artisanal
mining taking place at Williamson over a period of time, due to the challenges
in securing the large perimeter of the Special Mining Licence area, which
covers 30.6km(2) including the main 146 hectare orebody, together with
alluvial resources.  This illegal mining activity is managed by WDL and the
local government authorities on an ongoing basis.

Petra operates in accordance with the Company’s Human Rights Policy and its
Code of Ethical Conduct (both of which can be found on the Group’s website
at: https://www.petradiamonds.com/about-us/corporate-governance/business-ethics/),
and the Company actively encourages the reporting of violations of these
policies either through direct reporting at any of its offices or operations,
or through the Deloitte Tip-Off Anonymous whistle blowing hotline. Both Petra
and WDL are guided by, and seek to comply with, the Voluntary Principles on
Security and Human Rights.

For further information, please contact:

 Petra Diamonds, London  Telephone: +44 20 7494 8203          
 Cathy Malins            investorrelations@petradiamonds.com  

About Petra Diamonds Limited

Petra Diamonds is a leading independent diamond mining group and a consistent
supplier of gem quality rough diamonds to the international market. The
Company has a diversified portfolio incorporating interests in three
underground producing mines in South Africa (Finsch, Cullinan and
Koffiefontein) and one open pit producing mine in Tanzania (Williamson).

Petra's strategy is to focus on value rather than volume production by
optimising recoveries from its high-quality asset base in order to maximise
their efficiency and profitability. The Group has a significant resource base
of ca. 250 million carats, which supports the potential for long-life
operations.

Petra conducts all operations according to the highest ethical standards and
will only operate in countries which are members of the Kimberley Process. The
Company aims to generate tangible value for each of its stakeholders, thereby
contributing to the socio-economic development of its host countries and
supporting long-term sustainable operations to the benefit of its employees,
partners and communities.

Petra is quoted with a premium listing on the Main Market of the London Stock
Exchange under the ticker 'PDL' and is a constituent of the FTSE4Good Index.
The Company’s US$650 million loan notes due in 2022 are listed on the Global
Exchange market of the Irish Stock Exchange. For more information, visit
www.petradiamonds.com.



Copyright (c) 2020 PR Newswire Association,LLC. All Rights Reserved