Heads of Agreement with Oryx Natural Resources

Petra Diamonds Ld
14 March 2000



PETRA DIAMONDS LIMITED


Petra Diamonds Limited ('Petra') announces that it has signed a Heads of
Agreement with Oryx Natural Resources ('Oryx'), a company incorporated in the
Cayman Islands.  Oryx is engaged in diamond production, exploration and
trading in the Democratic Republic of the Congo.

Under the agreement Petra will acquire Oryx in exchange for new shares in
Petra on a basis which will result in the vendors of Oryx holding
approximately 60% of the Petra shares in issue immediately following the
acquisition, and prior to any associated fund raising.   Accordingly, the
acquisition will be classified as a reverse acquisition, and trading in the
shares of Petra has been suspended with immediate effect pending the despatch
of a circular to Petra shareholders setting out full details of the
transaction.

The transaction is conditional, inter alia, on the completion of due diligence
by each of the parties into the affairs of the other to the satisfaction of
the respective party, and on approval of the agreement by all parties,
including the shareholders of Petra.

Petra and Oryx have recorded their objective to make the new grouping a
significant player in the diamond industry.


Dated: 13 March 2000


Enquiries:

PETRA DIAMONDS LIMITED
Adonis Pouroulis, Chairman & Chief Executive              0027 82 492 9100
(mobile)

GRANT THORNTON (Nominated Adviser)
Brian Moritz                                              0171 383 5100

SEYMOUR PIERCE LTD (Nominated Broker)
Mark Percy                                                0171 648 8700

BOSWELL CITY FINANCIAL PR LTD
Glenda Boswell                                            0171 583 2001