Diamond Exploration Claim Reservations Granted

20 January 2014

                Diamond Exploration Claim Reservations Granted                 

  * Two Claim Reservations granted in Kuusamo region of Finland
   
  * Both reservation areas have been shown to contain diamondiferous indicator
    minerals
   
______________________________________________________________________________

Karelian Diamond Resources plc ("Karelian") (AIM: KDR, ESM: KDRI), the diamond
exploration company focused on Finland, is pleased to announce that TUKES (The
Finnish Mining Authority) has granted Karelian the first two of four
exploration claim reservations in the Kuuusamo area for which the Company has
made applications.

The decision to apply for the reservations was based on analysis of airborne
geophysics together with till sampling and integration of data made available
to Karelian under its agreement with Rio Tinto Mining and Exploration.

In both areas, kimberlitic indicator minerals were recovered in till samples
and further studies, including microprobe analysis, showed the presence of
diamondiferous kimberlitic indicator minerals.

Kuusamo is located in the North-East of Finland just south of the Arctic Circle
and is bordered to the East by Russia.

A Claim Reservation gives exclusive rights to apply for exploration claims
within the reservation area.

This release has been approved by Kevin McNulty PGeo, who is a member of the
Company's technical staff, who holds a BSc/MSc in Geology and Remote Sensing,
in accordance with the guidance note for Mining, Oil & Gas Companies issued by
the London Stock Exchange in respect of AIM Companies, which outlines standards
of disclosure for mineral projects.

Professor Richard Conroy, Chairman, commented:

"We are delighted to have been granted these claim reservations in an area of
Finland which we believe to be highly prospective for diamonds. Following the
recent successful fundraising, the Company will now proceed with its
exploration programme in the area."

Further Information:

Professor Richard Conroy, Chairman, Karelian       Tel: [phone]        
Diamond Resources plc                                                          
                                                                               
Simon Clements/Virginia Bull, Sanlam Securities UK Tel: [phone]       
Limited (Nomad)                                                                
                                                                               
Ger Heffernan, IBI Corporate Finance Limited (ESM  Tel: [phone]        
Adviser)                                                                       
                                                                               
Jon Belliss/Abigail Wayne, XCAP Securities PLC     Tel: [phone]       
(Broker)                                                                       
                                                                               
Michael Padley/Michael Spriggs, Lothbury Financial Tel: [phone]       
Services Limited                                                               
                                                                               
Don Hall, Hall Communications                      Tel: [phone]        

http://www.kareliandiamondresources.com