LACE UPDATE

22 November 2016

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")

Lace UPDATE

Further to the announcement of 16 November 2016, DiamondCorp announces that the board of the Company's operating subsidiary, Lace Diamond Mines (Pty) Ltd ("LDM"), has resolved to appoint Daniel Terblanche of Deloitte & Touche as the business rescue practitioner in accordance with the provisions of section 129 of the Companies Act, 71 of 2008. A board resolution of LDM to this effect has been filed, stamped and accepted by the Companies and Intellectual Property Commission.

The Company will provide further updates in due course.

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").