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Petra Diamonds Limited Sustainability Report 20123OVERVIEWOverviewPetra's production cycle Petra's PRODUCTION CYCLEPetra operates an integrated and transparent business, with commitment to our values being present at every step of the production cycle.ExplorationPetra's exploration programme is focused in Botswana, where modern exploration techniques offer the potential to make new discoveries in previously explored areas.Mining and developmentPetra operates both underground and open-pit operations in South Africa and Tanzania. The Company has expansion plans in place at each of its core assets.ProcessingOnce ore has been mined, it is processed through the plant in order to disaggregate the material and extract the rough diamonds.SortingOnce cleaned and acidised, the rough diamonds are sorted by in-house experts who assign them to parcels according to their shape, size, clarity and colour.Marketing and salesOur marketing team sells the rough diamond parcels by competitive tender in both Johannesburg and Antwerp.

Petra Diamonds Limited Sustainability Report 20124OVERVIEWOverviewFY 2012 highlights FY 2012 HIGHLIGHTSGOVERNANCE$ Board-represented HSSE Committee formed during the Year to lead and progress the development of Petra's sustainability policies, to ensure the Board takes account of mining corporate social responsibility best practice and to drive performance improvements$ I mprovement in level of disclosure in terms of sustainability reporting from C level to B level for FY 2012's Report (according to GRI guidelines) HEALTH AND SAFETY$ OHSAS 18001 re-certification achieved for Finsch and Cullinan$ Finsch and Cullinan achieved 1,000,000 Fatality Free Shifts¹$ Helam achieved 7,000 and Sedibeng achieved 8,000 Fatality Free Production Shifts¹; Star achieved 6,000 Fatality Free Production Shifts1$ Williamson achieved three years without a lost time injurySOCIAL (EMPLOYEES AND COMMUNITIES)$ US$3.3 million² spent on corporate social investment (approximately 1% of Group revenues)$ US$3.3 million² spent on training (approximately 4% of operations payroll) $ Skills Audit Project launched to inform the development of training programmes of our employees$ Development commenced of a Group-wide Stakeholder Engagement PolicyENVIRONMENTAL$ Successful development of a Group Environmental Management Strategy to be implemented across the Group during FY 2013$ ISO 14001 re-certification achieved for Finsch and Cullinan$ Roll-out of carbon emissions monitoring across all operations, ahead of reporting deadline for London listed companies$ Williamson awarded the National Presidential Environmental Conservation Award for Forestry Conservation and Water Management in Tanzania1. Fatality Free Shifts ("FFS") and Fatality Free Production Shifts ("FFPS") are two different measures used to calculate an operation's fatality-free safety record. FFS is calculated by multiplying the number of shifts worked with the number of people who worked the shifts, whereas FFPS does not account for the number of people on shift, but only for the actual shifts worked. For this reason, smaller operations prefer to use FFPS, as it would take them many years to reach an equivalent million FFS.2. The following average exchange rate has been used for this Report: US$1:R7.77.STRATEGY AND GOVERNANCEHEALTH AND SAFETYOUR PEOPLEENVIRONMENTAL PERFORMANCECOMMUNITYP12P18P23P29P39IN DETAIL