Issue of Equity

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')

GRANT OF OPTIONS

DiamondCorp plc, announces that on 19 August 2010, the board of the company ratified a recommendation from the Company's Remuneration Committee to grant 1,860,000 share options ("new options") over fully paid ordinary shares in the Company to Mr Paul Loudon, the Company's Chief Executive Officer.

The exercise price of the new options is 12p, and they vest in equal tranches over three years on condition that the Company's share prices trades above 17p. The new options bring the total shares held under option by Mr Loudon to 2,550,000.

The Board and the Remuneration Committee also resolved to grant 2,460,000 new options to senior management (not directors) of the Company, at the same exercise price with the same vesting terms.

Following these option grants, the total number of shares under option will be 7,005,000 (representing 4.71% of the Company's issued share capital) of which the number granted to Directors is 3,480,000 (representing 2.34% of the Company's issued share capital).

The Board and the Remuneration Committee also resolved to adjust the exercise price of the 2,685,000 options in issue prior to the new options to 2,130,000 at 31p (originally 135p at the time of grant) and 555,000 at 21p (originally 50p at the time of grant).

London

20 August 2010

AIM Nomad: Cenkos Securities plc

AIM Brokers: Cenkos Securities plc, Fairfax I.S. plc JSE Sponsor: PSG Capital (Pty) Limited DiamondCorp plc, Paul Loudon +44 20 7256 2651 Liz Bowman/Ivonne Cantu, Cenkos Securities plc +44 20 7397 8900 Ewan Leggat, Fairfax I.S. plc +44 207 598 5368 John-Paul Dicks, PSG Capital (Pty) Limited +27 21 887 9602 Charmane Russell/Marion Brower, Russell & Associates +27 11 880 3924