Change of Adviser

11 March 2016

                        Karelian Diamond Resources plc      
                         ("Karelian" or "the Company")                         

                               Change of Adviser                               

Karelian Diamond Resources plc (AIM: KDR; ESM: KDR.I), the diamond exploration
company focused on Finland, is pleased to announce that it has appointed
Allenby Capital Limited ("Allenby") as its nominated adviser. This decision has
been made in light of Allenby's acquisition of the corporate finance function
of the Company's previous nominated adviser, Sanlam Securities (UK) Limited,
and the Company's desire to retain continuity with one of its key advisers.

                                    - ends -

For further information please contact:

Karelian Diamond Resources plc                          Tel: [phone]   
Professor Richard Conroy, Chairman                                             
                                                                               
Allenby Capital Limited (Nomad)                         Tel: [phone]  
Virginia Bull/Simon Clements                                                   
                                                                               
Beaufort Securities Plc(Broker)                         Tel: [phone]  
Jon Bellis / Elliot Hance                                                      
                                                                               
IBI Corporate Finance Limited (ESM Adviser)             Tel: [phone]  
Ger Heffernan/Jan Fitzell                                                      
                                                                               
Lothbury Financial Services Limited                     Tel: [phone]  
Michael Padley                                                                 
                                                                               
Hall Communications                                     Tel: [phone]   
Don Hall                                                                       

Visit the website at: www.kareliandiamondresources.com