REG-Karelian Diamond Res.: Lahtojoki Diamond Deposit Update

Karelian Diamond ResourcesAnnouncement

29/03/2023 07:15

29 March 2023

Karelian Diamond Resources plc

(“Karelian Diamonds” or the “Company”)

LAHTOJOKI DIAMOND DEPOSIT UPDATE
* Landowner compensation paid
* Two compensation amounts appealed - mining area land possession not affected
* One boundary outline appealed - formal registration of mining concession
delayed
Karelian Diamond Resources plc (AIM: KDR) is pleased to announce that having
paid the amount of compensation due to the landowners, as decided by the
National Land Survey of Finland (announced by the Company on 14 December
2022), it is now entitled to land possession over the entire mining concession
area.

A mining concession over the Lahtojoki deposit has already been approved by
TUKES (the Finnish mining authority).  The National Land Survey of Finland,
on the order of TUKES, carried out the proceedings to establish the mining
concession for the applied area.  The process involved two public meetings in
relation to ground rental compensation for local landowners.

The total compensation agreed was €162,815 and this was paid from existing
cash resources within the three-month period from 28(th) December 2022, as
required.  The owners of two landholdings have appealed the amount of
compensation (and the boundary line in one case) but this does not affect the
Company’s entitlement to land possession over the entire mining concession
area.  Formal registration of the mining concession will however be delayed
until the boundary appeal is finalised.

The Company can now proceed with initial work on the mining concession area. 
The Lahtojoki diamond mining project comprises a mining concession covering 71
hectares (c.176 acres) which includes a kimberlite pipe with a surface area of
16 hectares (c.40 acres).

The Lahtojoki diamond deposit, as well as containing high quality colourless
gem diamonds, also contains coloured diamonds, including pink diamonds which
are highly sought after and can command prices up to 20 times that of normal
coloured diamonds.

Further announcements will be made at the appropriate time.

Professor Richard Conroy, Chairman of Karelian Diamond Resources PLC,
commented:

“I am very pleased that the compensation to landowners, as determined by the
National Survey of Finland, has been paid and that there have only been two
appeals against the amounts determined, together with one boundary appeal. 
This is a further step forward in the Company’s plan to bring in a diamond
mine in Finland.”

Further Information:

 Karelian Diamond Resources plc  Professor Richard Conroy, Chairman  +353-1-479-6180   
 Allenby Capital Limited (Nomad)  Nick Athanas / Nick Harriss        +44-20-3328-5656  
 First Equity Limited (Broker)  Jason Robertson                      +44-20-7330-1883  
 Lothbury Financial Services  Michael Padley                         +44-20-3290-0707  
 Hall Communications  Don Hall                                       +353-1-660-9377   

http://www.kareliandiamondresources.com



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