ASX De-listing

Petra Diamonds Ld
07 December 2006

                             Petra Diamonds Limited

                         Removal from ASX Official List


Petra Diamonds Limited ('Petra' or 'the Company'), the AIM-quoted and ASX-listed
diamond group, announces that it has applied to ASX under Listing Rule 17.11 for
Petra to be removed from the ASX official list.  Petra applied to be removed for
the following reasons.

•                     Petra's primary listing is on the Alternative Investment
Market of the London Stock Exchange ('AIM');

•                     Petra's Australian share register accounts for
approximately 11.9% of the total ordinary shares Petra has on issue; and

•                     Petra's view is that the administration and related costs
(including ASX reporting requirements, listing fees and associated professional
adviser fees) of maintaining a secondary listing on ASX outweigh the benefits to
shareholders of the listing.



ASX has advised Petra that it will be removed from the ASX official list if it
complies with the following conditions:

•                     Release of this announcement to the market;

•                     Provision of a letter to shareholders on Petra's
Australian share register ('Australian Shareholders') informing them of Petra's
intention to seek removal from the official list and of a facility for
Australian Shareholders to sell their Petra shares on AIM; and

•                     Provision of a facility for Australian Shareholders to
sell their Petra shares on AIM through an ASX participating organisation for a
period of not less than 6 months after the removal of Petra from the ASX
official list.



Petra will be removed from the ASX official list on 7 March 2007, which is 3
months after the date of this announcement.  Prior to 7 March 2007, trading in
Petra shares will continue on an uninterrupted basis on both AIM and ASX.  From
7 March 2007, Petra shares will be quoted on AIM only.



On 7 March 2007, Australian Shareholders will have their electronic holdings on
the ASX register (maintained on Petra's behalf by Computershare) converted to
certificated holdings on the AIM register (maintained on Petra's behalf by
Capita). This process will occur automatically and no action will be required by
any Australian Shareholder. Australian Shareholders will then be issued with a
share certificate representing their total holding.  This share certificate
should be kept in a safe place as it is evidence of the shareholding on the AIM
register.



A letter will be sent to the Australian Shareholders shortly, advising them of
Petra's application for removal from the ASX official list and including details
of the facilities for trading Petra shares on AIM.  A copy of that letter is
included as a footnote to this announcement.



Ends





For further information, please contact or visit www.petradiamonds.com


Cathy Malins / Annabel Leather                   Telephone: [phone]
Parkgreen Communications, London





Note: Example of the letter to be sent by Petra to the Australian Shareholders.



Dear Shareholder,



Removal from ASX Official List



Petra Diamonds Limited ('Petra') advises that it has applied to ASX under
Listing Rule 17.11 for Petra to be removed from the ASX official list.  Petra
applied to be removed for the following reasons:

•                     Petra's primary listing is on the Alternative Investment
Market of the London Stock Exchange ('AIM');

•                     Petra's Australian share register accounts for
approximately 11.9% of the total ordinary shares Petra has on issue; and

•                     Petra's view is that the administration and related costs
(including ASX reporting requirements, listing fees and associated professional
adviser fees) of maintaining a secondary listing on ASX outweigh the benefits to
shareholders of the listing.


ASX has advised Petra that it will be removed from the ASX official list if it
complies with the following conditions:

•                     Release of an announcement to the market;

•                     Provision of this letter to shareholders on Petra's
Australian share register ('Australian Shareholders') informing them of Petra's
intention to seek removal from the ASX official list and of a facility for
Australian Shareholders to sell their Petra shares on AIM; and

•                     Provision of a facility for Australian Shareholders to
sell their Petra shares on AIM through an ASX participating organisation for a
period of not less than 6 months after the removal of Petra from the official
list.



Petra will be removed from the ASX official list on 7 March 2007, which is 3
months after the date of this letter.  Prior to 7 March 2007, trading in Petra
shares will continue on an uninterrupted basis on both AIM and ASX.  From 7
March 2007, Petra shares will be quoted on AIM only.



On 7 March 2007, Australian Shareholders will have their electronic holdings on
the ASX register (maintained on Petra's behalf by Computershare) converted to
certificated holdings on the AIM register (maintained on Petra's behalf by
Capita).  This process will occur automatically and no action will be required
by any Australian Shareholder.  Australian Shareholders will then be issued with
a share certificate representing their total holding which should be kept in a
safe place as it is evidence of the shareholding on the AIM register and will be
required to support any future transfer or sale request.







Share price, trading information and company announcements can be found on the
London Stock Exchange website (www.londonstockexchange.com) under the code 'PDL'
or Petra's website (www.petradiamonds.com).  Alternatively, you can contact your
broker, who will be able to provide some information.



Trading on AIM prior to removal from Official List

Trading on AIM is conducted through AIM designated brokers in the United
Kingdom.  Shareholders can contact one of these brokers directly.
Alternatively, many Australian brokers can facilitate trading of your Petra
shares on AIM through their affiliates.



To assist Australian shareholders who may wish to transact Petra shares on AIM
prior to Petra's removal from the official list, Petra has entered into an
arrangement with Baker Young Stockbrokers Limited ('Baker Young'), which has
agreed to facilitate trading in Petra shares.  Mark Potter and Caroline Sale at
Baker Young can be contacted on + 61 8 8236 8888. Appended to this letter is a
brief description of how you can trade your Petra shares on AIM.



Trading on AIM after removal from ASX Official List

Petra's arrangement with Baker Young will be open to shareholders on the
Australian share register for at least 6 months after Petra's removal from the
ASX official list.  Petra intends to discontinue this facility in September
2007.



Further information, including details of your holding on AIM, will be sent to
you in March 2007.



Information will also be available from Petra's website at
www.petradiamonds.com.



Yours sincerely





Petra Diamonds Limited





How to trade Petra shares on AIM

From 7 March 2007, Petra's shareholders will only be able to trade Petra shares
on AIM.  Broadly, shareholders will be able to trade shares in a similar manner
as for ASX listed companies; that is, by liaising with their broker.  Steps that
Australian registered shareholders will need to take in order to trade Petra
shares on AIM are as follows:

1.                   Receive a share certificate from Petra's share registrar,
Capita.

2.                   Contact an Australian or UK broker.  Many Australian
brokers are likely to have a relationship with a broker in the UK who can
facilitate trading on AIM.  Australian broker Baker Young has entered into an
arrangement with Petra to assist shareholders to trade their Petra shares.

3.                   If necessary, establish an account with a broker and follow
steps outlined by them.

4.                   Provide the original share certificate to the broker along
with any other documents requested by the broker.

5.                   Then, the broker will place the order on your behalf.  Once
the trade is effected, settlement of the trade will take place.



It may take time to complete steps 3, 4 and 5 due to timing differences in
dealing with parties in the UK, transferring funds to the UK (if required) and
international postage.




                      This information is provided by RNS
            The company news service from the London Stock Exchange