PETRA Diamonds will grant the government of Tanzania a 16 percent free carried interest in its subsidiary Williamson Diamonds Limited, CEO Richard Duffy said at a signing ceremony in Dar Es Salaam on Monday, December 13.
The move will bring Petra into line with Tanzania’s mining legislation which sees the government granted a 16 percent free carried interest in all major mines in the country. Williamson is Tanzania’s only major diamond mine.
Petra Diamonds and the government of Tanzania will each give up a proportionate amount of their current stakes to grant the 16 percent free carried interest. Petra’s stake will thus reduce from 75 percent to 63 percent, with Tanzania’s stake increasing from 25 percent to 37 percent, Duffy said.