FOR IMMEDIATE RELEASE

3 December 2020 LSE: PDL

Petra Diamonds Limited

("Petra", "PDL" or the "Company" or, in conjunction with its subsidiaries, the "Group")

Petra Diamonds Limited issues Settlement Advisory Notice

7.25% Senior Secured Second Lien Notes due 2022

(ISINs: USG7028AAB91 / US71642QAB32; CUSIPs: G7028AAB9 / 71642QAB3)

(the "Notes")

Following the announcement made on 17 November 2020 in relation to the launch of the scheme of arrangement (the "Scheme") via the issuance of a practice statement letter (the "PSL"), Petra would like to provide an advance notice of certain procedures and actions which certain Noteholders will be required to complete for the successful settlement of the New Notes which they are entitled to receive pursuant to the proposed financial restructuring of the Group (the "Restructuring"). Capitalised terms not otherwise defined have the meanings set out in the PSL.

TO ALL NOTEHOLDERS

Please note that Petra Diamonds US$ Treasury plc (the "Scheme Company") will be making available certain documents (the "Scheme Documents") to the Scheme Company’s existing creditors, including all Noteholders, which will request that Noteholders follow the procedures and take the actions further described below by the designated deadlines set forth therein.

As a prerequisite to receiving the New Notes, all Noteholders holding positions through DTC must first transfer their positions into an existing securities account with Euroclear or Clearstream (thereby making such holdings “EC/CS Notes”) by the designated deadlines that will be set forth in the Scheme Documents. Such Noteholders will then need to submit an electronic instruction to either Euroclear or Clearstream, as applicable, to block their EC/CS Notes until the Restructuring Effective Date, in order to have successful settlement of the New Notes. The existing trustee for the Notes has no role in such transfers of positions, and this transfer must be performed by all relevant Noteholders.

If Noteholders do not transfer their holding positions held through DTC into an existing securities account with Euroclear or Clearstream and make arrangements to block such EC/CS Notes as set out in the Scheme Documents, such Noteholders will not be able to receive their New Notes on the Restructuring Effective Date.

Euroclear and Clearstream expect to receive the New Notes on the Restructuring Effective Date in their respective accounts as instructed by the Information Agent, of which further details will be set forth in the Scheme Documents. Upon receipt of these securities, Euroclear and Clearstream will, on a reasonable efforts basis, credit such securities to their relevant customers. Neither Clearstream nor Euroclear shall be held responsible if any step above cannot be completed within the requested timeframe.

* * * * *

Any communications or questions in relation to this notice or procedures in connection with the Restructuring generally may be directed to the Information Agent:

Lucid Issuer Services Limited

Oliver Slyfield / David Shilson

Tel: +44 207 704 0880

Email: petradiamonds@lucid-is.com

~ Ends ~

For further information, please contact:

Petra Diamonds, London                                         Telephone: +44 20 7494 8203

Cathy Malins                                                               investorrelations@petradiamonds.com

Des Kilalea     

Marianna Bowes                                                        

Rothschild & Co

Giles Douglas                                                             giles.douglas@rothschildandco.com

Glen Cronin                                                                 glen.cronin@rothschildandco.com

Mahir Quraishi                                                            mahir.quraishi@rothschildandco.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 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. 243 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, currently subject to restructuring, are listed on the Global Exchange market of the Irish Stock Exchange. For more information, visit www.petradiamonds.com.

Important Notice

This announcement contains statements about Petra that are or may be forward looking statements. All statements other than statements of historical facts included in this announcement may be forward looking statements. Without limitation, any statements preceded or followed by or that include the words "targets", "goals", "should", "would", "could", "continue", "plans", "believes", "expects", "aims", "intends", "will", "may", "anticipates", "estimates", "hopes", "projects" or words or terms of similar substance or the negative thereof, are forward looking statements.

Such forward looking statements involve risks and uncertainties that could significantly affect expected results and are based on certain key assumptions. Many factors could cause actual results to differ materially from those projected or implied in any forward looking statements. Due to such uncertainties and risks, readers are cautioned not to place undue reliance on such forward looking statements, which speak only as of the date hereof. Petra disclaims any obligation to update any forward looking or other statements contained herein, except as required by applicable law or regulation.

N.M. Rothschild & Sons Limited ("Rothschild & Co"), which is authorised and regulated in the United Kingdom by the Financial Conduct Authority, is acting exclusively for Petra and no one else in connection with the contents of this announcement and will not be responsible to anyone other than Petra for providing the protections offered to clients of Rothschild & Co nor for providing advice in relation to the subject matter of this announcement or any other matters referred to in this announcement.

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