Finsch diamond mine in South Africa, part of De Beers Consolidated Mines Limited, has been acquired by Petra Diamonds Limited for $132 million.

The acquisition of Finsch, one of the world’s major diamond mines, is expected to double Petra’s annual production. Finsch is expected to add approximately 125,000 carats per month to Petra’s output during the 2012 fiscal year and the acquisition will enable Petra to increase its production to five-million carats by 2019.

Petra has already assumed management of Finsch and has expanded its marketing team to manage the increased carat production and Finsch’s major reserves and resources base of 43.3 million carats, valued at about $56 billion.

“Finsch is an ideal addition to our portfolio, contributing a world-class mining operation with exceptional infrastructure, a major carat base and a sustainable, long-life outlook for the duration of our initial 18 year mine plan,” said Petra Diamond CEO Johan Dippenaar.

Finsch will become the eighth producing diamond mine in Petra’s portfolio and the acquisition solidifies Petra’s position as the largest diamond mining group quoted in London--propeling the company forward for its proposed move to the Main Market of the London Stock Exchange.

Petra currently operates in South Africa, Tanzania, and Botswana and has exploration rights in Botswana. In addition to its recent acquistion of Finsch,  Petra bought De Beers’ South African Cullinan and Kimberley mines in 2007.

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