DMC - DiamondCorp plc - Insurance Settlement

DMC - DiamondCorp plc - Insurance Settlement                                    
DiamondCorp plc                                                                 
JSE share code: DMC                                                             
AIM share code: DCP                                                             
ISIN: GB00B183ZC46                                                              
(Incorporated in England and Wales)                                             
(Registration number 05400982)                                                  
(SA company registration number 2007/031444/10)                                 
(`DiamondCorp` or `the Company`)                                                
INSURANCE SETTLEMENT                                                            
DiamondCorp plc, the African diamond mine development and exploration company,  
is pleased to announce that its South African operating subsidiary Lace Diamond 
Mines (Pty) Limited has reached agreement with Mutual and Federal Insurance     
Limited on a claim for damage to timbers and pumps in the vertical shaft at the 
Lace mine incurred during heavy rains earlier in the year.                      
The settlement agreed and received is R27,000,000 (approximately GBP2.07        
million) after deductibles. A 5% commission is payable to the settlement agent  
Alexander Forbes Risk Services (Pty) Limited.                                   
In the current underground mine development plan, it is proposed that the       
vertical shaft at Lace be used for upcast ventilation rather than being re-     
equipped for ore hoisting.                                                      
London                                                                          
15 December 2011                                                                
AIM Nomad: Fairfax I.S. plc                                                     
AIM Brokers: Fairfax I.S. plc, Ocean Equities Ltd                               
JSE Sponsor: PSG Capital (Pty) Limited                                          
DiamondCorp plc, Paul Loudon +44 20 3151 0970/+27 56 212 2308                   
Ewan Leggat, Fairfax I.S. plc +44 207 598 5368                                  
Guy Wilkes, Ocean Equities Limited +44 207 786 4370                             
John-Paul Dicks, PSG Capital (Pty) Limited +27 21 887 9602                      
Charmane Russell/Marion Brower, Russell & Associates +27 11 880 3924            
Date: 15/12/2011 12:45:00 Supplied by www.sharenet.co.za                     
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