Mantle Bearing Kimberlite at Seitapera

15 May 2008

                        Karelian Diamond Resources plc                         

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

              MORE MANTLE NODULE-BEARING KIMBERLITE FOR KARELIAN               

                        IN LATEST DRILLING AT SEITAPERÄ                        

  * Mantle Material Present Over Entire Length Of Two Drill Holes
   
  * Drill-Testing Of Targets in Major Kimberlite Indicator Mineral Train
    Continues
   
Karelian Diamond Resources plc (AIM:KDR) is pleased to announce that two
further drill holes into its diamondiferous Seitaperä kimberlite pipe in
Eastern Finland both intersected mantle nodule-bearing kimberlite over their
entire lengths of 50.00 m and 48.20 m respectively. In some sections of core up
to 50 percent mantle material is present over intersections of up to 5 m.

The presence of mantle material in a kimberlite is a pre-requisite for it to
have economic diamond potential.

In total, approximately 225 kg of kimberlite was collected from the drill core
and, following detailed logging and sampling for mineral chemistry studies, it
is intended to submit about 100 kg of this material for micro-diamond analysis.

The latest drilling follows the recently announced favourable results from
mineral chemistry and micro-diamond analysis on the Seitaperä pipe.

Elsewhere in the Kuhmo region, ongoing work has included systematic drill
testing of a number of geophysical targets which the Company has identified
within a pronounced kimberlite indicator mineral train more than 5 km long and
up to 1.5 km wide. To date, three targets have been tested in a progressive
up-ice direction, but none has yet yielded a kimberlite source. Several more
targets remain to be tested within this train, which includes G9 and G10
garnets as well as numerous kimberlitic chromites.

The Company had also planned to drill a new 5 ha anomaly beneath a lake in the
Kuhmo area which was identified and delineated by ground geophysics in January
2008. It was unable to do so, however, because Finland has experienced the
mildest winter officially recorded since records began over a century ago,
resulting in insufficient lake ice developing to allow drilling rig access. It
is now planned to drill-test this prominent target next winter.

Commenting today, Professor Conroy, Chairman of Karelian Diamond Resources,
said: "These results show that we continue to make progress in evaluating our
diamondiferous Seitaperä pipe. We are particularly encouraged by the presence
of a high proportion of mantle nodules in the drill core because of the
importance of this material in relation to the presence of diamonds. We are
also pleased with the identification of further drilling targets in the Kuhmo
area".

This release has been approved by Dr. Stephen Grimmer, who is a member of the
Company's technical staff, who holds a PhD in Geochemistry/MSc in Exploration
Geology, 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.

Further Info: Professor Richard Conroy, Chairman Karelian Diamond Resources
plc. Tel: +-353-1-661-8958

Charles Dampney, City Capital Corporation Limited. Tel: + 44-20-7842-5867

Jeffrey Coburn/Virginia Bull, John East & Partners Limited Tel:
+-44-20-7628-2200

Ron Marshman/John Greenhalgh, City of London PR Limited. Tel: +-44-20-7628-5518