Firestone Diamonds plc is a UK-based international diamond mining and exploration company with operations in the Namaqualand region of South Africa and Botswana. Namaqualand, which is located on the west coast of South Africa, has been one of the world's largest alluvial diamond producing regions for the past 60 years, with total production to date estimated to be worth more than $3 billion. Botswana is the world's largest producer of diamonds by value, with annual production of over 20 million carats worth over $1.6 billion.

Firestones strategy has been to build a portfolio comprising advanced development and production projects to provide sustainable cash flow to fund ongoing exploration programmes and to provide an early return on investment, together with large scale exploration projects which have the potential to yield significant reserves of gem quality diamonds.

The company operates the Avontuur Mine and the Oena Mine of Namaqualand, which produces high quality alluvial diamonds, and has a growing portfolio of advanced and early stage exploration projects in known diamond producing areas in Namaqualand and Botswana.



Since 1996 the company has increased reserves and resources more than thirty two times from 34,000 carats to over 1.1 million carats at present, with an estimated gross value of approximately 260 million. Firestone is debt free and well funded and has a highly qualified management team with extensive experience in the financing and development of diamond and other natural resource projects. Firestone is quoted on the Alternative Investment Market (AIM) of the London Stock Exchange and trades under the symbol FDI.L.

Firestone also has an exploration project in the USA.



Main Mining Pit, Avontuur Mine, Namaqualand, South Africa.






For FDI Corporate information : http://www.firestonediamonds.com/frcorporate.htm

For FDI homepage : http://www.firestonediamonds.com/index.htm

Firestone Dimaonds shares in issue: 65m 20p Ords

Firestone Diamonds PLC - Major Shareholders

Major Shareholders ---- Amount --- % Holding
Elfin Trust Company Ltd 7,200,000 16.68
Aurora Investment Trust 7,200,000 16.68
Gartmore Investment Mgt 5,418,116 12.56

RNS!

Large kimberlites discovered at Tsabong, what a start to the exploration of this new licence!

All are large kimberlites too! AFD's AK6 is 9 hectares for a direct comparison.

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

Firestone Diamonds PLC
13 December 2006

Firestone Diamonds plc

Kimberlite discovery at Tsabong project, Botswana



LONDON: 13 December 2006



HIGHLIGHTS


Three large kimberlites discovered

MK71 - 15 hectares

MK72 - 22 hectares

MK73 - 18 hectares

Kimberlite discovery comes in first month of exploration at Tsabong

Total number of kimberlites in licence area increased to 70

Samples being prepared for microdiamond, mineral chemistry and
petrographic analysis in Q1 2007

Exploration drilling to recommence in January 2007


Firestone Diamonds plc ('Firestone' or 'the Company'), the AIM-quoted diamond
mining and exploration company, today announces the discovery of three large
kimberlites at its Tsabong kimberlite project in Botswana.

Exploration at Tsabong commenced in November 2006, and is targeting
approximately 80 well defined geophysical anomalies that were identified from
aeromagnetic survey data. Geophysical and drilling crews were mobilised to the
area at the beginning of November and high resolution ground magnetic surveys
are being carried out on all kimberlite targets to select locations for drill
holes.

Drilling to the end of November has resulted in the discovery of 3 kimberlites,
known as MK71, MK72 and MK73. Modeling of the airborne and ground magnetic data
indicates that all 3 kimberlites are large, with estimated surface areas of
approximately 15, 22 and 18 hectares, respectively. Drill chip samples are
currently being prepared for dispatch to laboratories in South Africa and Canada
for microdiamond, mineral chemistry and petrographic analysis in Q1 2007. MK73
is located under only 16 metres of overburden, which will facilitate further
drilling and bulk s2ampling, should that be warranted by the results of the
initial evaluation. Exploration drilling will recommence in January 2007.

Philip Kenny, CEO of Firestone Diamonds, commented today: 'The discovery of 3
large kimberlites within weeks of starting exploration is very encouraging.
This brings the total number of kimberlites in our project area to 70, and with
many more targets to drill we expect to continue to make new discoveries when
drilling resumes in 2007.'

Details of the discovery holes, all of which were terminated in kimberlite, are
listed below:


Kimberlite Estimated Hole depth Kimberlite Depth of overburden Kimberlite type
size (m) intersection (m) (m)
(Hectares)

MK71 15 149 101 48 Crater/diatreme

MK72 22 215 124 91 Crater/diatreme

MK73 18 107 91 16 Diatreme/hypabyssal




Background information on Tsabong:

The Tsabong kimberlite field is one of the largest diamondiferous kimberlite
fields in the world. It contains 70 known kimberlites, of which 17 have been
proven to be diamondiferous, including the 180 hectare M1 kimberlite, which is
one of the largest known diamondiferous kimberlites.

Firestone plans to carry out approximately 10,000 metres of exploration drilling
in Tsabong on selected kimberlite targets in 2007. As none of the known Tsabong
kimberlites have been evaluated on an adequate scale or using modern techniques,
a detailed evaluation programme will be undertaken concurrently with the planned
exploration programme. Approximately 6,000 metres of 80 mm diameter core
drilling is planned on the 7 highest priority diamondiferous kimberlites during
2007.


For further information:

Philip Kenny, Firestone Diamonds +44 20 8834 1028 / +44 7831 324 645
Laurence Read/Joss Simson, Conduit PR +44 20 7429 6600 / +44 7979 955 923
Jamie Cumming, Bell Lawrie +44 141 314 8103 / +44 7768 044 620

Hello Andy, Ray A, queen1....
I have been holding these shares for a few years now, although I don't contribute to the B.B., and always read your posts with interest. Why do you think today's good news had such a small impact on the price?

Andy,

Great news, after a long wait we are now getting the wanted newsflow! Looking forward to a great New Year.

NP oston

Nice to see you here. I agree, after both today's news and Groen, SP reacted rather like a damp squib. The initial RNS 11 Oct on granting of Tsabong licence had much greater effect. Given time, I trust the potential will be recognised.

Nposton,

Welcome!

I really don't understand why the market didn't react to this excellent announecement to be perfectly honest!

With this news FDi have demonstrated how quickly they have assembled and equipped an exploration team, and hit the ground running in Botswana.

Given the award of the licence was only made a few weeks ago, this is no mean achievement IMO!


RayA,

Africa goes on holiday for a month soon, so I don't expect any more announcements until February now, but FDI have given us some good and prompt newsflow in the last few weeks, and as they are in sole control of the Tsabong licence, they control the newsflow, so I hope they will continue in this vain.

It's actually fairly typical of the market in general I think at present. Bad news seems to be followed by sharp falls but good news doesn't seem to be doing the reverse in as many cases. I know that FDI has bombed in the past on bad news but as we've observed it has hardly moved a muscle this week.

We are not the only ones surprised by the lack of reaction to all the news.

SHARES 14 Dec p53 "......this was meant to be the news that sent its shares rocketing back up. Instead, it didn't move an inch as the City remained inimpressed."

All gone very quiet here. I plan to be at AGM on Mon, anyone else going? Good chance to meet Directors and usually an excellent presentation on current developments.

Ray A,

I will be there all being well, so I look forward to seeing you.

Deja vu!
I hadn't checked my shares for a few days when I received the RNS from FD via e-mail at work. While I was considering how many more cases of the 2005 claret's to invest in (I say invest although they could increase ten-fold and I won't be selling), I check the price and they have gone down!!??
AGM should be interesting.

NPoston

You could be forgiven for being dejected by more "Red" today. However, it seems that many FDI investors could benefit from a visit to their optician to cure short-sight!

I was at the AGM with Andy when PK was encouraging, although still not jam today tomorrow may not be too far away.

The progress made at Tsabong with rapid announcements of now 7 potential kimberlites. There are new projects with De B to increase low risk cash flow from Buffels River. At Bonte Koe major plant has been put in for more sophisticated crushing and should meet increased rate within Feb. Oena, they are still to appoint a contractor but problem has been to get contract terms right. More work to do at GRV but now further south. Hope this brief info gives you some confidence!

I've been in since these were 1 well over 2 years ago. I enjoyed the ride up to 190p and have endured the fall since. I've held on as I believe strongly in the share's prospects, a view strengthened by recent posts on here. Onwards & upwards!!

Firestone Diamonds has been awarded a prospecting licence for the BK11 kimberlite in the Orapa field, Botswana and plans bulk sampling for the second half of 2007.

The BK11 prospect has produced historical grades of between 2 and 17 carats per hundred tonnes and is 20 km from De Beer's Orapa Mine and 5 km from the major new mine at AK6 being developed by De Beers and African Diamonds.

Firestone chief executive Philip Kenny said: 'With the infrastructure already available in the Orapa area and a new mine being developed 5 kilometres away at AK6, the grade required for BK11 to be economically viable will be modest.'

queen1

Firestone looks very nice but further away from production than AFD and without DeBeers involvement.

They do hold 5% of AFd which perhaps shows the management aren't stupid :-)

Sadly I don't have the cash for both

Nor me, so I'm in FDI, for better, for worse!

queen1 --- FDI going well

Indeed they are - no fall today despite more market woes. Building a good platform here I feel.

What do we think of the interim results? The SP is off but they looked pretty encouraging to me.

I agree the interims look good. I am pleased to see the j/v with De Beers at Bronte Koe increasing turnover by 90% with more to come. Keeps things ticking over while Company develops its other interests. I purchased these shares over 2years ago at 101p and stayed with them during the sp ups and downs.I believe patience will reap considerable rewards with this one. Probably a good time to buy a few more at around this 120p level.

I bought in at almost exactly the same time Guscavalier but at 2p less! I'm also certainly happy to hold and wait.

4 NEW KIMBERMITES FOUND TODAY IN BOTSWANA THATS ONE OF THE REASONS THE PRICE AS GONE UP