Issued Share Capital

12 December 2016

Karelian Diamond Resources Plc

(“KDR” or the “Company”)

ISSUED SHARE CAPITAL

Karelian Diamond Resources Plc (AIM: KDR, ESM: KDRI) announces that, following the Capital Reorganisation becoming effective as at the close of business on 9 December 2016, the issued share capital, which comprises 317,785,034 Ordinary Shares and 317,785,034 Deferred Shares, was admitted to trading on AIM and on ESM on Monday 12 December 2016. The above figure may be used by shareholders as the denominator for the calculations by which they will determine if they are required to notify their interest in, or a change to their interest in, the Company, under the Disclosure and Transparency Rules.

(All definitions used in this announcement are as per the circular sent to the Company’s shareholders on 17 November 2016.)

Further Information:

Professor Richard Conroy, Chairman, Karelian Diamond Resources plc	Tel: [phone]
David Hart / James Thomas / Nick Harriss, Allenby Capital Limited (Nomad)	Tel: [phone]
Ger Heffernan / Jan Fitzell, IBI Corporate Finance Limited (ESM Adviser)	Tel: [phone]
Jon Belliss / Elliot Hance, Beaufort Securities Limited (Broker)	Tel: [phone]
Michael Padley, Lothbury Financial Services Limited	Tel: [phone]
Don Hall, Hall Communications	Tel: [phone]

www.kareliandiamondresources.com