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

Well done for coming back in Ray A. I still believe FDI has a compelling case for future share price outperformance and am sticking with it!

Yes, must agree I am a bit surprised about sp weakness. I am in at 102p having been on the rollercoaster ride. I think we will do alright in the end.

Andy, Queen1,

Maybe, expectation for AGM news is bringing back support for a trek back north, anyway, decided to add today at 1.09. Unfortunately (or fortunately?) will be in Portugal on 31st Jan (AGM), anyone else going?

I'm not Ray A but it's good to see the slow but steady climb back up from sub 1 levels.

Ray A,

Yes I think that may be the case.

I hope to attend the AGM, although work may prevent it this year.

Should I manage to go, I will of course type up a brief synopsis afterwards.

Have a great time in Portugal, lovely country, weather should be pleasant.

Ray A,

nice tight spread, and good volume for the last few days!

Building up for the BK11 and Tsabong results I think!

Andy, would the recent SP strength and rise from sub 1 to over 130p suggest that results are expected to be good?

queen1,

Absolutely, they seemed quietly confident at the recent presentations.

It should be stressed that the BK11 bulk sample had not been processed at that point, but it was due within the next few days, and they will already have had a look at the core samples, so may have a gut feeling from prima facie.

MK45, due to be bulk sampled later this year, has already produced some mantle eclogite, a good sign apparently! :-)

Potentially an exciting year for FDI then. Perhaps a push back to the highs of 2-3 years ago of 200p.

Andy,

Thanks for your post, looking very good now but still anticipation until we get an RNS which should really move the SP north. Presume you didn't make the AGM but read your report of Tim's presentation at Diamond Day, all very positive.

Can PK read my mind? Not the end game but this morning's RNS a positive milestone!

Ray A,

Absolutely.

All seemingly going to plan, we just need a positive result now!

Interesting that we may receive micro diamond analysis at any time now, and we know BK11 bulk sampling is anticipated soon, so more than one event may occur within the next month or so.

Good news and the market has, for once, reacted accordingly:

Firestone Diamonds said it has received encouraging results from the MK1 kimberlite at its Tsabong project in Botswana after initial grade estimates 20 carats per hundred tonnes. The company said bulk sampling for the microdiamonds will commence shortly.

Philip Kenny, chief executive said: 'We have 83 kimberlites in our licence area and with 14 high interest kimberlites to be bulk sampled in 2008 and bulk sampling expected to commence in March, we believe that the prospects for a significant economic discovery are good.'

nice to see this one back on track and my holding well back into profit again.Future looking good.

queen1, Gus,

An excellent RNS, IMO, FDI are rightfully being re-rated after the most positive announcement Firestone have ever made, IMO.

If this is confirmed by further samples, at 20 CPHT at around $100 per carat, this would be an economic mine!

It should be stressed that further results are required to confirm, but the grade increasing the deeper they drilled is very encouraging!

My recent top ups were well timed for a change!

Exciting times chaps and I'm glad I've stayed with this one.

queen1,

Interesting that the SP has held around the recent highs, not much stock around apparently...

Yes, it's good to see Andy, particularly considering the market falls of the last 2 days.

Andy, queen1,

Certainly looking good and glad I topped up prior to the news breaking. What sort of time scales do we envisage? With macro diamond bulk sampling soon to start, could results be expected within months? If all goes well as anticipated, I guess it will be two or three years before production could start. Confidence is certainly boosted with FDI use of Tinus OOsterfield as independent consultant.

All,

A note for your diary, FDI are presenting at the next Proactiveinvestors.com Forum, in London, on the 10th April, commencing at 18:00.


I will post a link to the registration page when available.