Offer Update: Suspension From Trading (2178Y)

TIDMAFD

RNS Number : 2178Y

African Diamonds PLC

20 December 2010

NOT FOR RELEASE, PUBLICATION OR DISTRIBUTION IN WHOLE OR IN PART IN, INTO OR FROM ANY JURISDICTION WHERE TO DO THE SAME WOULD CONSTITUTE A VIOLATION OF THE RELEVANT LAWS OF SUCH JURISDICTION

20 December 2010

African Diamonds PLC ("African Diamonds" or the "Company")

Offer Update: Suspension from Trading

African Diamonds announces that following the approval by its shareholders of the Scheme (as announced on 26 November 2010) pursuant to which Lucara would acquire the entire issued share capital of the Company, trading on AIM in AFD Shares has been suspended pending the Court Hearing to sanction the Scheme to be held later today.

For the avoidance of doubt, defined terms in this announcement have the same meaning as those in the Scheme Document.

For further information please contact:

African Diamonds Plc

John Teeling Tel: [phone]

James AH Campbell Tel: [phone]

finnCap

Matthew Robinson Tel: [phone]

Henrik Persson

College Hill

Nick Elwes Tel: [phone]

www.afdiamonds.com

This announcement is made by African Diamonds and is not intended to, and does not, constitute or form any part of an offer to sell or an invitation to purchase or subscribe for any securities or the solicitation of any vote for approval in any jurisdiction, nor shall there be any sale, issuance or transfer of the securities referred to in this announcement in the United States or any jurisdiction in contravention of applicable law. The Offer has been made solely on the basis of the Scheme Document, which contains the full terms and conditions of the Offer. The Scheme Document has been posted to those shareholders able to receive it. Any response in relation to the Offer should be made only on the basis of the information in the Scheme Document.

AFD Shareholders are advised to read the formal documentation received by them in relation to the Offer carefully as it contains important information.

Whether or not certain AFD Shares were voted at the Court Meeting or the General Meeting, if the Scheme becomes effective those AFD Shares will be cancelled pursuant to the Scheme in return for 0.8 of a Lucara Share (credited as fully paid up and rounded down to the nearest whole number) and one (1) BD Share.

The availability of the Offer to AFD Shareholders who are not resident in and citizens of the United Kingdom may be affected by the laws of the relevant jurisdictions in which they are located or of which they are citizens. Such persons should inform themselves of, and observe, any applicable legal or regulatory requirements of their jurisdictions. Further details in relation to overseas shareholders are contained in the Scheme Document.

To the extent that the Offer is effected by way of the Scheme, the Lucara Shares to be issued to AFD Shareholders under the Scheme have not been, and will not be, registered under the US Securities Act, or under the securities laws of any state, district or other jurisdiction of the United States, the Republic of South Africa, Singapore, Canada or Japan.

These written materials are not an offer of securities for sale in the United States. Securities may not be offered or sold in the United States absent registration under the US Securities Act or an exemption therefrom. Lucara has not registered and does not intend to register any of the Lucara Shares under the US Securities Act.

finnCap, which is authorised and regulated in the United Kingdom by the Financial Services Authority, is acting exclusively for African Diamonds and no-one else in connection with the matters described in this Announcement and will not be responsible to anyone other than African Diamonds for providing the protections afforded to clients of finnCap nor for providing advice in relation to the Acquisition or any other matter described in this announcement.

This information is provided by RNS

The company news service from the London Stock Exchange

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