London-listed Petra Diamonds says Varda Shine will not offer herself for re-election at the company's forthcoming AGM on November 13 and will retire from the board at the conclusion of that meeting.

The board has appointed nonexecutive director José Manuel Vargas to succeed Shine as chairperson with effect from the conclusion of the AGM.

Vargas will also become chairperson of the investment committee. Bernard Pryor, senior independent director and chairperson of the remuneration committee, will become chairperson of the nomination committee.

"I am stepping down from the board for personal reasons, having indicated last year that I will take on the role of chair of Petra only for a short period. It has been an honour and a pleasure to be a director of Petra for the past almost six years and chair for the last year.

“During my time on the board, Petra has had to navigate significant challenges, including the pandemic and the company's financial restructuring. More latterly as chair, the focus has been on the company's response to the ongoing weakness in the diamond market, with the delivery of updated life-of-mine plans that significantly enhance Petra's resilience to future market and capital cycles.

“I would like to thank my fellow directors and the exceptional Petra management team and wish Petra every success for the future,” says Shine.

Vargas is chairperson of MAXAM, an explosives manufacturer, serves on the board of Fluidra and ASK Chemicals and is MD of Rhône Capital.

Petra says Vargas has extensive executive and board experience across various sectors.

From 2020 until January this year, he was chairperson and CEO of MAXAM and was previously chairperson and CEO of Aena SME, where he led its restructuring, partial privatisation and initial public offering  in 2015.

Before Aena, he held senior management positions at Vocento, including as CFO and later CEO. He also served as CFO and general secretary of JOTSA and has been on the boards of several other companies, including Vocento, Diario ABC and Wellbore Integrity Solutions.

Vargas is a significant shareholder of Petra, currently holding about 11.39% of the company's issued share capital.

"I would like to thank Varda for her service to Petra and look forward to working with my fellow directors to ensure a smooth transition.

“Varda joined the Petra board in January 2019 and became Remco chair in April 2020, becoming Petra's chair in November 2023. She oversaw various changes that resulted in a smaller and more efficient board and has helped steer Petra through a challenging diamond market.

“On behalf of the board and Petra, we are grateful to Varda for the significant contributions she has made during her tenure and wish her every success in her future endeavours,” says Vargas.