European Diamonds Plc (EPD: AIM) is a diamond exploration and development company with advanced projects in Finland and Lesotho.

In Finland, the company has explored a large part of the prospective Karelian Craton and identifed a number of kimberlite indicator trains. Kimberlites have been discovered in one of these areas and exploration continues in the others. Evaluation work on the promising Lahtojoki Pipe has begun with a 5,000 tonne bulk sample due to be collected before Easter 2005.

In Lesotho, European Diamonds holds a 25 year mining license to develop the Liqhobong diamondiferous kimberlites. The Liqhobong Project provides for the commencement of mining at 290,000 carats per annum from the end of 2004 from the Satellite Pipe and the evaluation of the adjacent large Main Pipe and start of a Feasibility Study in 2005.

European Diamonds will become a mid-tier diamond producer in 2005 and intends to grow through acquisition and in-house exploration. The experienced management and technical team of European Diamonds have a strong track record of discovery and a history of wealth creation for shareholders.



The Kingdom of Lesotho gained its independence from the UK in 1966 and is the only constitutional monarchy on the African continent. The country is a small, densely populated mountainous country situated in the east of the Republic of South Africa, which entirely encircles the country.

Diamonds in Lesotho
The country has long been known as a source of large, high quality diamonds, mostly from alluvial deposits. To date most of the country's diamond production has been derived from the Letseng-la-Terai deposit which was mined by De Beers between 1977-1981. Letseng has recently returned into production and is again producing high quality gems albeit on a modest scale. Apart from Letseng, the only other known significantly mineralised kimberlites in the country are the Liqhobong suite and the nearby lower grade Kao pipe all located about 40 kilometres west of Letseng also high in the Maluti mountains.





Finland project.

Project Highlights
Work undertaken by European Diamonds and the Geological Survey of Finland has proven that the Achaean-aged Karelian Craton is highly prospective for hard-rock diamond deposits.
European Diamonds currently have seven regional exploration projects in eastern and central Finland in addition to the Lathojoki project currently under evaluation.
The Company has recovered high quality kimberlite indicator minerals from all of the exploration projects and will continue with the field exploration of these areas in 2005.
Work on the Lentiira Project in central eastern Finland has identified a large kimberlite complex covering an area of some 160 square kilometres. Although the Company has recovered high quality indicator minerals and diamonds from the project area, to date only linear kimberlite dykes have been discovered.
None of the sampled dykes has proved to be the source of the highest quality indicators emanating from the highly prospective 'Railway' indicator train. Further assessment of this project will continue throughout 2005.





Corporate website : http://www.europeandiamondsplc.com/s/Home.asp

Shareholder info : http://www.europeandiamondsplc.com/s/InformationRequest.asp

visit my thread

I believe EPD are touring Europe this week with Minesite, yet didn't present at the London Minesite forum today.

I wonder why?

Shame they arn't just selling diamonds as promised.
Should have known better than to come back here although I've made money here in the past!!!!!

Looks like they have sold some diamonds !
LONDON (AFX) - European Diamonds PLC said it discovered two large diamonds at the Liqhobong kimberlite mine in Lesotho.

The gems weighed 29.2 carats and 24.3 carats. They were found less than a month after it discovered a 27.7-carat stone in the same site.

Separately, the miner said it sold 16,500 carats of the Liqhobong diamonds for 691,000 usd in Antwerp recently.

'In view of the present volatile rough diamond market, we view this sale as very positive. Market reception for our better quality yellow diamonds has been strong and the Liqhobong yellows are rapidly becoming sought-after in the European market,' said chief executive Roy Spencer.

monicca.egoy@afxnews.com

mbe/joy

Some great news today for EPD! 30p here we come!

Dynamite,

Only 16,500 carats sold in three months?

That's 30k this year so far then?

And the last parcel contained some stones carried over form the previous October!

A bit short of the 290k PA EPD production schedule, which keeps being put back!

This is (IMO) a really poor performance, and a lower average selling price than the previous tranche too!

Interesting that this is announced today, when they are touring Europe, so much for timely release of price sensitive information!

Nice larger stones too, but news released on the same day?

me a cynic?

Another positive article out on EPD.For those that are not familiar with the site it is free to register and read.

http://www.proactiveinvestors.co.uk

European Diamonds Plc: Turning point for European Diamonds?
By Penny Sterling.

European Diamonds has been having a torrid time of it lately.

Currently working up to full production on the Satellite Pipe on its Lesotho Liqhobong property, and having commenced bulk sampling at the nearby larger Main Pipe, the company also has kimberlite assets in Finland at a relatively early stage of exploration, where bulk sampling is currently underway.

Another horror show.....5 pence must surely be the next stop.

laila25,

Yes the chart looks bad, but 5p?

iIthink they wll be taken out before they get that low.

Horror show.

Laila25,

I totally agree, management have failed to meet expectations, and I sold @ 38p ages ago!

If they commence mining at the required rate, I may buy back, but I'm not holding my breath!

Down a tad more today, I guess no diamond sale is expected in the near future.

The lesotho Promise has sold for US$12 million!



Golf-ball sized diamond is a $12m hit at auction
THE biggest diamond to be found in 13 years, the Lesotho Promise, was sold yesterday at auction for more than $12 million (6.4 million) and is expected to fetch in excess of $20 million once it is cut.

The 603-carat (120g) diamond, named after the tiny African mountain kingdom where it was found, went under the hammer at the Antwerp Diamond Centre and was sold to the South African Diamond Corporation, partly owned by luxury jeweller Graff.

The tenth largest white diamond ever to be found, it will be cut into a large heart-shaped gem and several smaller stones which will then be sold. The uncut diamond is a third bigger than a golf ball.

Johnny Kneller, from the South African Diamond Corporation, said that once it was cut, he expected to sell the stones for a third more than the auction price.

"We hope it's going to fetch over $20 million," he said.

The Lesotho diamond was found at the Letseng Diamond Mine high in the mountains of the tiny nation which is surrounded by South Africa, by a woman who was sorting through the rocks.

This article: http://news.scotsman.com/international.cfm?id=1498232006

Last updated: 10-Oct-06 01:50 BST

Andy, can you shine any light to why the share price is dropping. On other boards, investors are voicing their concerns over the lack of news published by EPD. Many, myself included have even sent the company emails for updates. No one has received any replies, which add to the frustration.

With production well underway, you would expect the SP to head North instead of South, So what the heck going on.

Scenic

These guys are the masters of spin IMO!
================================


European Diamonds PLC
26 October 2006


Liqhobong Diamond Mine Production Update

The management of EPD is pleased to provide the following technical update on
the mining and technical operations at Liqhobong.

Satellite Mine

Over the past year, an open pit mining operation has been successfully
established on this small, high grade kimberlite and a modern recovery plant
constructed to recover diamonds from this pipe.

The operation achieved 'Commencement of Commercial Production' (CCP)
as defined in the official mining licence documentation, in late July. This
requires the Satellite diamond recovery plant to have the demonstrated ability
to continuously process at two-thirds of the rated capacity of 60 tonnes per
hour over a period of 1 month. A number of delays relating to tailings disposal
and plant design issues have had the effect of delaying the achievement of full
production. In effect however, the plant is still undergoing commissioning with
various adjustments currently being made to the circuit.

For the 10 months to the end of September, the plant processed 67,577 tonnes of
kimberlite from the Satellite open pit for a total diamond recovery of 40,899
carats. It is important to note that grade at the mill, and therefore total
diamond recovery, is controlled by the current 1.35mm lower cut-off compared to
the 1.0mm cut-off noted in the Feasibility Study. Depending on the lower cut-off
decided on over the next year, at full production the plant should produce
between 650 and 850 carats per day.

Small diamonds are often not worth recovering, however the analysis of
information from the first sales in Antwerp now indicates that the -7 sieve
Satellite diamonds are fetching prices which imply that these small stones are
economic to recover. This conclusion has only been made possible with the
availability of the Antwerp sales data.

Three opportunities to enhance recoveries have been identified in the Satellite
plant circuit. These are; 1) existing slurry pumps should be replaced by more
reliable conveyors, 2) the existing tertiary crushing circuit needs to be
upgraded to allow for better fine crushing and 3) a second specialist DMS fines
cyclone needs to be introduced into the system to recover small diamonds.

Plans to improve both recovery and throughput are well advanced although, as for
many mining operations worldwide, lead times for new plant and equipment are
very long indeed.

A new conveyor system has been installed and is being commissioned at the
moment.

The Company, with the engineering firm Metso Minerals (South Africa) Ltd, has
acquired a suitable tertiary crusher. Metso has indicated that the new crusher
will be available for transport to site by the end of November.

The additional fines cyclone system, to address the recovery of small diamonds,
is expected on site at the end of November.

The Company has been assured by the contractors that all of the planned
equipment upgrades will be completed and on site by the end of November and
in-house commissioning is thus anticipated to be achieved by the end of the
year.

Main Pipe Evaluation

To date we have processed approximately 25,000 tonnes of bulk samples from the
Main Pipe through the Satellite facility. Processing the Main Pipe samples
through the Satellite plant has saved the Company considerable expense in that
this system closely simulates diamond recoveries expected during production and
thus avoids the expense of a purchasing a separate testing unit for this work.
It is anticipated that up to an additional 10,000 tonnes of bulk sample will be
collected from the pipe during the course of 2006 and into 2007.

The production team will also continue to blend small quantities of the softer
Main Pipe kimberlite through the same plant for additional metallurgical testing
purposes preparatory to the Feasibility Study contemplated for next year.
Strategic blending will continue until all plant upgrades are completed. Because
of the lower grade of the Main Pipe kimberlite, this procedure has however
impacted somewhat on the total carats produced over this period.

A further 2000 metres of core drilling is underway to further develop the 3-d
geological model.

The Scoping/Pre-Feasibility Study is well underway with results due to be
available for independent review early in 2007.

EPD's CEO Roy Spencer commented 'Difficulties in simultaneously
processing both the weathered near surface clay rich kimberlite and the deeper
and harder fresh material required us to design, procure and install various
additions to the diamond recovery system. Despite severe winter snowfall and
long lead times for delivery of mining and processing equipment being
experienced worldwide, we are making good progress towards full production.

We are also looking at ways of further increasing revenue by recovering more of
the small stone sizes which our marketing analysis indicates are now economic.
We have continued to recover diamonds during the extended commissioning phase
and our Main Pipe results are very encouraging.

We expect to announce the results of a recent tender of diamonds in Antwerp as
soon as the final sales receipts have been received.

All in all, despite our operational difficulties in 2006 we have prepared the
ground for a long life, large and profitable diamond mine from a standing start
eighteen months ago.'

Mr Roy Spencer, GSSA Member, FAusIMM, and Chief Executive Officer of European
Diamonds plc is a 'qualified person' as defined under the AIM rules and a
competent person under the JORC reporting standards. This announcement has been prepared under Mr. Spencer's supervision and all reporting is to JORC standards.

For further information contact:
Kerry Spencer, European Diamonds
+44 (0) 1727 852 417

Allan Piper, First City Public Relations
+44 (0) 207 631 2737

Roy Spencer, CEO, European Diamonds:
+44 (0) 1727 852 417

James Cable, Finance Director, European Diamonds:
+44 (0) 20 7529 7502




This information is provided by RNS
The company news service from the London Stock Exchange

Really is time to get your feet wet again Andy! Encouraging third sale results today, plant upgrades soon to be in place, full production within 2-3 months from Satellite, Main valuations good....

Well EPD finally had another sale!

On the face of it the receipts of $2 million were quite stunning, but the 27 carat diamond discovered earlier this year, along with other large stones held back by EPD, were included, distorting the value of the sale.

However, what cannot be disputed is the total of $4.5 million sales achieved over the course of 2006.

The cynic in me questions the timing of this release, and once again there is a woolly statement of the sort that I really dislike in ANY company RNS.


-------------------------------------

European Diamonds PLC
27 December 2006




EUROPEAN DIAMONDS PLC



Results of Fourth Diamond Sale in Antwerp







The management of European Diamonds Plc is very pleased to announce that the
fourth sale of Liqhobong mine production, from the Company's Lesotho-based
subsidiary Liqhobong Mining Development Company (Pty) Ltd's open pit mining
operation, has been successfully concluded in Antwerp. A total of 13,567 carats
of run of mine goods were offered for tender by the Company's sales agents. No
bids were entered for 1,959 carats and the remaining 11,608 carats were sold for
U$2.17 million.



The Company's CEO, Roy Spencer has commented that 'The price for this parcel is
significantly higher than that achieved in previous sales, due in no small
measure to the extraordinarily high price of U$27,008 per carat achieved for a
27.7 carat clean D-colour stone, recovered from the Main Pipe, which was
included in this sale, together with several other smaller high quality stones
of between 11 carats and 23 carats. We believe this may be the highest price
paid on a per carat basis from Lesotho in recent times. If the 3 largest, high
quality stones, are removed from the equation, the remaining parcel fetched U$72
per carat.



Importantly, there are also indications that the 27 carat stone is a Type IIa
diamond fragment of a much larger diamond which, taken together suggests that
larger, similarly high quality stones, may be present in the Main Pipe.



The effect that these stones will have on the overall value of the Main Pipe
diamonds is still being assessed but will certainly increase the value from the
U$60 per carat achieved in the last sale. Similarly, the effect of these high
quality stones is being considered in the context of the Pre-Feasibility Study
we are currently working on and which will be completed in early 2007.

The 1,959 carats not sold were smaller low value stones and a decision on the
on-going marketing of this type of diamond will be made in due course.

This sale brings to a total of U$4.3 million, the gross proceeds from diamond
sales by the Company in the last 12 months.'

EPD MM's all moving up this morning and all blue on L2 ...about time we get some good news
Di

up 6% in last hour..MM's still marking up... I bought some more at 18.67 for some reason Barclays stockbrokers doesn't always show up...edit...now another 0.5p...come on EPD already in profit from this mornings trade
Di

somethings up...another 0.25p up now...maybe they have found a huge vane of diamonds!!