DIAMONDCORP PLC - Diamond sales

Diamond sales

DiamondCorp plc
AIM share code: DCP & JSE share code: DMC
ISIN: GB00B183ZC46
(Incorporated in England and Wales)
(Registration number 05400982)
(SA company registration number 2007/031444/10)
 (“DiamondCorp”, “the Group” or “the Company”)

Diamond Sales

DiamondCorp is pleased to announce that the Company’s operating subsidiary, Lace
Diamond Mines (Pty) Ltd (“LDM”), has completed the sale of diamonds recovered from the
Lace mine prior to LDM being placed in business rescue.

    -   A total of 5,129.9 carats were delivered to Johannesburg for tender. After boiling
        losses, a total of 5,116.6 carats were prepared for sale.
    -   The parcel comprised run of mine production with five stones larger than 10 carats
        and the largest stone being a 19.43 carat non-gem diamond. Unfortunately, all the
        larger goods were either non-gem, or contained carbon inclusions or cracks which
        resulted in reduced valuations.
    -   Nonetheless, all reserve prices were exceeded and the diamonds were sold for
        $590,744.86, representing $115.46 per carat.
    -   In the size fractions (+7 sieve size) up to 5 carats in size, prices achieved were
        comparable or better than achieved throughout the year.
    -   In the smallest size fractions (-7 sieve size) prices were weaker.
    -   All sales proceeds have now been received.
    -   As a result of this sale, the average carat value achieved for the year has fallen to
        $146/ct, 11% lower than the $164/ct forecast average.
    -   While a proportion of this fall is the result of the weaker market in the lowest size
        fractions, it is largely the absence of high quality gems amongst the larger stones in
        the last two sales. One large gem could just as easily swing the average the other
        direction.


Contact details:

DiamondCorp plc
Paul Loudon, Chief Executive
Tel: +27 56 216 1300
Chris Ellis, Interim Non-Executive Chairman
Tel: +44 (0) 20 3151 0970

UK Broker & Nomad
Panmure Gordon (UK) Limited
Adam James/ Atholl Tweedie
Tel: +44 20 7886 2500

JSE Designated Advisor
Sasfin Capital (a division of Sasfin Bank Limited)
Megan Young
Tel: +27 11 445 8068

SA Corporate Advisor
Qinisele Resources Proprietary Limited
Dennis Tucker/Andrew Brady
Tel: +27 11 883 6358
This announcement contains inside information for the purposes of Article 7 of the Market
Abuse Regulation (EU) No 596/2014 ("MAR").

United Kingdom
12 December 2016

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