Petra Diamonds Limited

("Petra" or "the Company")

Koffiefontein Update

Non-Binding Term Sheet for the Potential Sale of Koffiefontein

Petra is pleased to announce that the Company has entered into a non-binding term sheet on an exclusive basis with an interested party for the potential sale of the Koffiefontein Diamond Mine (Koffiefontein) in South Africa.

Petra has been exploring a responsible exit from Koffiefontein since April 2022, with the operation being placed on care and maintenance in November 2022.  The Company continues to transition Koffiefontein towards closure, with a closure application expected to be submitted to the Department of Mineral Resources and Energy (DMRE) in February 2024. This application will only be withdrawn upon completion of the potential sale. If the parties are unable to agree definitive agreements, then Petra intends to proceed with its decommissioning, rehabilitation and closure programme, in line with the closure plan that is planned to be submitted and pending DMRE approval.

Any sale would be subject to obtaining the consent of the DMRE in accordance with section 11 of South Africa's Mineral and Petroleum Resources Development Act.  Petra is committed to ensuring that any future owner of Koffiefontein has the technical and financial capability to conduct operations in a responsible manner for all stakeholders.

The Company will provide further updates on the progress of the potential sale in due course.

Richard Duffy, Chief Executive Officer of Petra, commented:

"We are mindful of our obligations towards our stakeholders at Koffiefontein when considering a potential sale, which provides an opportunity to extend the economic life of the mine beyond the responsible closure process currently underway.

"We will continue to work closely with the DMRE, community representatives and other key stakeholders to find the best way forward at Koffiefontein and remain dedicated to our environmental and social responsibilities, whether through the decommissioning and closure process, or through a potential sale."

For further information, please contact:

Investor Relations, London                  Telephone: +44 20 7494 8203                                        

Patrick Pittaway                                                investorrelations@petradiamonds.com

Julia Stone

Kelsey Traynor

Financial PR (Camarco)

Gordon Poole                                       Telephone: +44 20 3757 4980

Owen Roberts                                       petradiamonds@camarco.co.uk

Elfie Kent

About Petra Diamonds Limited

Petra Diamonds is a leading independent diamond mining group and a supplier of gem quality rough diamonds to the international market. The Company's portfolio incorporates interests in three underground mines in South Africa (Finsch, Cullinan Mine and Koffiefontein) and one open pit mine in Tanzania (Williamson). The Koffiefontein mine is currently on care and maintenance in preparation for sale or closure.

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 which supports the potential for long-life operations.

Petra strives to conduct all operations according to the highest ethical standards and only operates 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'. The Company's loan notes due in 2026 are listed on the Irish Stock Exchange and admitted to trading on the Global Exchange Market. For more information, visit www.petradiamonds.com.