Petra Diamonds Puts Finsch in Rescue, Threatening 1,800 Jobs at 2 South African Mines
Updated
Updated · Business Insider Africa · Jun 19
Petra Diamonds Puts Finsch in Rescue, Threatening 1,800 Jobs at 2 South African Mines
3 articles · Updated · Business Insider Africa · Jun 19
Summary
Nearly 1,800 jobs are at risk after Petra Diamonds placed the Finsch mine into business rescue and started Section 189A retrenchment proceedings at Cullinan.
Petra blamed a prolonged diamond-market slump, saying demand for smaller stones is still deteriorating while prices remain weak and the rand stays strong.
Finsch, South Africa’s second-largest diamond mine, produces about 1.8 million carats a year and still has reserves expected to last more than two decades.
The National Union of Mineworkers rejected any suggestion that labor costs caused the crisis and urged the government to intervene, warning of deeper hardship in mining communities.
The moves add pressure to South Africa’s diamond sector, a key African producer already facing weak global demand and geopolitical strains tied to Middle East tensions.