First Tranche of Data Received From Rio Tinto

17 January 2011

                       KARELIAN DIAMOND RESOURCES PLC

FIRST TRANCHE OF DATA RECEIVED FROM RIO TINTO MINING AND EXPLORATION LIMITED

  * Over 53,000 surface samples
   
  * 122 diamonds present in the samples
   
  * Over 600 probe results (of kimberlite indicator minerals) from over 200
    locations across Finland
   
Karelian Diamond Resources plc ("Karelian") (AIM: KDR, ESM: KDR.I), the diamond
exploration company focused on Finland, is pleased to announce that it has
received its first tranche of confidential information from Rio Tinto Mining
and Exploration Limited ("Rio Tinto") in accordance with its confidentiality
agreement with Rio Tinto, as announced on 22 July 2010, relating to samples
taken across Finland.

The data comprises over 53,000 surface samples and over 600 analytical probe
results and other kimberlitic mineral data, kimberlitic indicator minerals
reported from over 200 locations. 122 diamonds were recovered from various
locations in Finland.

Karelian will integrate Rio Tinto's data with that gathered from its own
exploration programme to assist in identifying potential targets in Finland.

Karelian Chairman, Professor Richard Conroy said:

"I am delighted that the agreement with Rio Tinto has already yielded such a
vast amount of data that is relevant to our diamond exploration programme in
Finland, which has itself already led to the delineation by Karelian of the
largest diamoniferous kimberlite pipe yet discovered in Finland. The data from
Rio Tinto will be of enormous value in relation to the Company's ongoing
exploration programme, the objective of which is to make a major economic
diamond discovery in Finland comparable to the world class discoveries already
made on the Russian side of the Karelian Craton."

Further Information:

Professor Richard Conroy, Chairman, Karelian Diamond       Tel: [phone]
Resources Plc                                                                  
                                                                               
Simon Clements/Virginia Bull, Merchant Securities Limited                  Tel:
(Nomad)                                                        [phone]
                                                                               
John Grant/ Karen Kelly/ David Lawman, XCap Securities Plc                 Tel:
(Broker)                                                       [phone]
                                                                               
John Tuite, IBI Corporate Finance Limited (ESM Adviser)    Tel: [phone]
                                                                               
Michael Padley/Michael Spriggs, Lothbury Financial                         Tel:
Services Limited                                               [phone]
                                                                               
Don Hall, Hall Communications                              Tel: [phone]

http://www.kareliandiamondresources.com