Fthr re Proposed Acqn. etc.

Petra Diamonds Ld
25 July 2000

PETRA DIAMONDS LIMITED


On 17 May 2000 Petra Diamonds Limited ('Petra') entered into a
conditional agreement to acquire the whole of the issued share
capital of Oryx Natural Resources ('Oryx'). A special general
meeting to consider, inter alia, the proposed acquisition was
convened for 12 June 2000 and was adjourned without a vote being
taken. The agreement required all conditions to be satisfied by
30 June 2000. Such conditions have not been satisfied and the
conditional agreement has therefore lapsed.


The directors of Petra are currently considering other
transactions, each of which involves natural resource assets in
Southern Africa. A further announcement will be made when such
negotiations are either satisfactorily concluded or,
alternatively, discontinued. In the meantime the directors have
agreed with the London Stock Exchange that Petra's ordinary
shares should remain suspended.


Because it has operated largely in politically unstable areas,
Petra confirms that its policy is to support international
policies for peace and development in its area of interest. 
Petra will not support any organisation which seeks to disrupt
that peace.  In particular, in view of the many press
reports concerning Oryx in recent months, Petra confirms that it
supports the Lusaka Peace Accord, which is recognised by the
United Nations and the international community as the only
viable option for peace in the region.  In respect of any
activity within the Great Lakes Region, Petra has and will
ensure that it complies with this Accord.