Production at Petra Diamonds Williamson mine suspended for up to 3 months

10th Nov 2022 14:48

(Sharecast News) - Petra Diamonds said on Thursday that production from the Williamson mine in Tanzania is expected to be suspended for up to three months following a wall breach and flooding at the tailings storage facility (TSF).

The company had announced on Monday that the eastern wall of the TSF at the mine was breached, resulting in flooding away from the pit which extended into certain areas outside of the mine lease area. Three minor injuries were reported but there were no serious injuries or fatalities.

The cause of the breach has not yet been confirmed and an investigation is underway comprising technical teams from Williamson Diamonds Limited and Petra who are at the site. The services of an independent external specialist have also been retained to assist with WDL's investigation and who will provide a report to the Petra board.

Detailed planning is underway to bring a new TSF into operation which was already under construction at the time of the incident and which requires construction of a new wall on the boundary of the failed TSF, Petra said.

In the interim, and to minimise the overall/medium-term impact of the lost production, planned maintenance will be brought forward along with accelerated waste stripping, it added.

Petra has a 75% shareholding in Williamson Diamonds Limited, with the Government of Tanzania owning the remaining 25%.

At 1505 GMT, the shares were down 7.3% at 102p.