West Africa-focused Stellar Diamonds' (LON:STEL) shares rose after it confirmed further high diamond grades had been returned from the bulk sampling programme under way at its 1.1 million carat Tongo dyke kimberlite project in Sierra Leone.

Highlights included:

- Initial sample processing yielded 151 carats from 141t of kimberlite for a grade of 107cpht with further results expected approximately every four weeks

- Anticipated that diamond grade will increase as further diamonds are recovered following re-processing

- Outstanding quality of diamonds classified as 86% gem quality with several stones greater than 1 carat in size

- Bulk sampling on-going with 772 tonnes collected to date as part of the Dyke-1 mining DFS

- Objective to recover a minimum 1,000 carat parcel for diamond grade and value confirmation

- Previous results established a grade of 120cpht at US$248 per carat from a 1,050 carat parcel

- Definitive Feasibility Study ("DFS") expected to be completed in 2014, culminating in a production decision at Tongo Dyke-1

I'm in ..worth a punt... let's see what happens!

Looking at the chart, I would think that the Northland Capital Partners target price of 4.3p to 5.5p looks far more realistic in the short term. 27p seems a bit off the wall right now. :-)

skyhigh - you should do spooky more often! I just happened to be looking at one or two penny tiddlers to have a speculative punt on this morning and noticed you has started this thread. I was a bit slow off the mark, but managed to get in at 1.8p - so far so good and looking forward to the next update.

Welcome aboard db4.
Still a good price to get in at.. (i'm in at 1.55p from last week. I think we'll both do well from this one...must be a potential 4 or 5 bag from here in the short term (imho) >>> GL

Exercise of Warrants
RNS
RNS Number : 9292A
Stellar Diamonds PLC
26 February 2014















NOT FOR DISTRIBUTION IN THE UNITED STATES OR FOR DISSEMINATION TO US NEWS WIRE SERVICES.



26 February 2014



AIM: STEL

Stellar Diamonds plc

("Stellar" or the "Company")



Exercise of Warrants



Stellar Diamonds plc, the London listed (AIM: STEL) diamond development company focused on West Africa, is pleased to announce it has raised £314,914 following the exercise of 28,628,545 warrants at a price of 1.1p each by existing investors Foradex Invest SRL ("Foradex") and Hottinger (Adam & Co.) ("Hottinger"). The Company is pleased to see the continued support of large shareholders, with the funds being used to further progress its flagship 1.1 million carat resource Tongo Dyke-1 kimberlite project in Sierra Leone which is currently undergoing a definitive feasibility study.



Stellar Diamonds Chief Executive Karl Smithson commented, "The exercise of these warrants underpins the supportive nature of our major shareholders and the prospectively of our project portfolio, particularly Tongo where recent results from bulk sampling taken for the DFS were outstanding, and confirmed the continued high grade nature of the 1.1 million carat resource. We are at an exciting juncture in the development of our company as we advance Tongo towards production and look forward to providing regular updates on the progress being made."



Stellar has issued 28,628,545 new ordinary shares of 1p each (the "New Ordinary Shares") following the exercise of warrants. The warrants were issued as part of the subscription announced on 17 December 2013. Application has been made for the New Ordinary Shares to be admitted to trading on AIM ("Admission"). It is expected that Admission will occur on or around 3 March 2014. The New Ordinary Shares will, when admitted, rank pari passu in all respects with the existing ordinary shares.

skyhigh - thanks for the welcome, here and on the other board! :-)

Stellar Diamonds confident of expanding resource base to 7.5mln carats this year
By Jeremy Naylor February 27 2014, 12:38pm


Karl Smithson, chief executive of Stellar Diamonds, tells Proactiveinvestors he is confident of getting the resource base to the 'seven-and-a-half million carat mark' this year. At current diamond pricing that adds up to US$1bn of 'target value', he added.

www.proactiveinvestors.co.uk

Sparkling prospect: Stellar Diamonds eyes big boost to resource base
By Ian Lyall March 03 2014, 11:13am

The 67% spike in Stellar Diamonds’ (LON:STEL) share price in the year to date has alerted investors to its presence.

However, its current market value almost certainly fails to recognise the explorer’s huge potential.

The plan for the current year is simple: produce a definitive feasibility study for the Tongo Project in Sierra Leone, while compiling a maiden resource for Baoule in Guinea.

In doing this it hopes to boost its resource base to 7.5mlm carats, which at current diamond prices adds up to a contained value of just over US$1bn.

If it hits those milestones then expect a re-rating of the stock, although you could see a decent bump if the company can resolve its long-running wrangle over the ownership of the Kono Project in Sierra Leone.

Stellar chief executive Karl Smithson told Proactive Investors: “If we do get that back people will look at Sierra Leone and us a little bit differently in politically de-risking our assets. And of course we will have this great project [Kono] back as well.”

However, the predictable news flow will come from Tongo and the exploration work on Baoule.

Tongo is the most advanced of the portfolio and, according to Smithson, geologically de-risked after bulk sampling programme that has helped compile a 1.1mln carat resource.

A second bulk sample is underway to support the definitive feasibility study due out later this year with the aim of recovering a minimum of 1,000 carats.

Previous results established a grade of 120 carats per hundred tonnes at US$248 per carat; 86% of the stones were of gem quality.

Eye-catching also are the costs for developing the project, which, at US$16mln over two years, are cheap for any mining project, particularly an underground development.

It is also worth pointing out that the current resource has been compiled from the first of four kimberlite dykes.

Samples have been taken from dykes two and three, which indicate potential grades of 140 and 185 carats per hundred tonnes respectively.

A larger bulk sample on Dyke-Four points to a grade of around 110 carats per hundred tonnes and a value of US$140 a carat.

Last year’s scoping study underlined the potential of Dyke-One as it pointed to life of mine cash flows of US$169mln, although this is based on recovering just 638,000 carats from the potential 1.05mln.

If we take the higher figure, then cash flows rise to US$412mln, the net present value is US$53.1mln and the internal rate of return of is 32%.

Of course there will be more granularity on the economics when the DFS is published in the second half of the year.

Key to increasing the resource estimate will be the development of Baoule, a large diamondiferous pipe in the Aredor region of Guinea, a renowned diamond district.

There is a wealth of information on the alluvial diamonds from the area, which, at US$400 a carat, are of the very highest quality.

The suspicion is that the Baoulé kimberlite may be one of the sources for these stones.

The project was explored in the early to mid noughties by Rio Tinto (LON:RIO) and bulk sampling was carried out by the Trivalence Mining Corp, which means there is plenty of historic data, which Stellar has access to.

Stellar is targeting an initial 22mln-tonne resource that could be mined as an open pit down to 300 metres.

The estimated grade is 13-40 carats per hundred tonnes though even at that lower figure, this gives a resource of 3mln carats.

The value of the stones is put very conservatively at US$200 a carat, although the quality of the alluvial diamonds found in the area suggests this number might rise.

The group will earn 75% of Baoule by spending US$5mln, which will be a combination of cash and assets moved into the joint-venture company.

The plan would be to move equipment currently at the company’s Droujba project 60 kilometres away, which would allow Stellar to begin bulk sampling.

This and the planned 10,000 metre drill programme would allow the group to compile a maiden resource for Baoulé by the year-end targeting 3mln carats.

Smithson said: “This is a different beast to Tongo – it is going to be a large open-pit.”

As well as Tongo, Baoulé and Kono, the group owns the3 million carat Droujb project, a kimberlite pipe, and Mandala, an alluvial discovery. Both are in Guinea and both could restart production when the prices of rough diamonds improve.

Currently the resource base stands at just under 4mln carats. Mentioned earlier, the group is targeting an initial resource of 3mln carats for Baoule, which, with an additional 500,000 carats for Tongo would give a total of just under 7.5mln carats, or a contained value of US$1.1bn.

“We have kept our heads down for the last couple of years,” Smithson says of the work it has taken to get to this stage.

“Like most junior resource stocks we have taken a bit of a beating over the last few years. But we now see a general improvement in sentiment towards the small-caps and diamond companies in particular, particularly those with production or near production assets like Stellar.”

Next set of drilling results due out very soon.

Article published earlier this week:

SMALL CAPS FOCUS: Stellar year ahead for diamonds explorer as it looks to boost its resource base

By Ian Lyall, Proactive Investors

PUBLISHED:14:55, 10 March 2014| UPDATED:15:27

The 93 per cent spike in Stellar Diamonds’ share price in the year to date has alerted investors to its presence. However, its current market value almost certainly fails to recognise the explorer’s huge potential, according to chief executive Karl Smithson.

The plan for the current year is simple: produce a definitive feasibility study for the Tongo Project in Sierra Leone, while compiling a maiden resource for Baoule in Guinea.


In doing this it hopes to boost its resource base to 7.5million carats, which at current diamond prices adds up to a contained value of just over US$1billion.

If it hits those milestones then expect a further re-rating of the stock, although you could see a decent bump if the company can resolve its long-running wrangle over the ownership of the Kono Project in Sierra Leone.

Smithson told Proactive Investors: ‘If we do get that back people will look at Sierra Leone and us a little bit differently in politically de-risking our assets. And of course we will have this great project [Kono] back as well.’





However, the predictable news flow will come from Tongo and the exploration work on Baoule. Tongo is the most advanced of the portfolio and, according to Smithson, geologically de-risked after bulk sampling programme that has helped compile a 1.1million carat resource.

A second bulk sample is underway to support the definitive feasibility study due out later this year with the aim of recovering a minimum of 1,000 carats. Previous results established a grade of 120 carats per hundred tonnes at US$248 per carat; 86 per cent of the stones were of gem quality.


Eye-catching also are the costs for developing the project, which, at US$16million over two years, are cheap for any mining project, particularly an underground development. It is also worth pointing out that the current resource has been compiled from the first of four kimberlite dykes.






Samples have been taken from dykes two and three, which indicate potential grades of 140 and 185 carats per hundred tonnes respectively. A larger bulk sample on Dyke Four points to a grade of around 110 carats per hundred tonnes and a value of US$140 a carat.


Last year’s scoping study underlined the potential of Dyke One as it pointed to life of mine cash flows of US$169million, although this is based on recovering just 638,000 carats from the potential 1.05million.


If we take the higher figure, then cash flows rise to US$412million, the net present value is US$53.1million and the internal rate of return of is 32 per cent.


Of course there will be more granularity on the economics when the DFS is published in the second half of the year. Key to increasing the resource estimate will be the development of Baoule, a large diamondiferous pipe in the Aredor region of Guinea, a renowned diamond district.


There is a wealth of information on the alluvial diamonds from the area, which, at US$400 a carat, are of the very highest quality. The suspicion is that the Baoulé kimberlite may be one of the sources for these stones.


The project was explored in the early to mid noughties by Rio Tinto and bulk sampling was carried out by the Trivalence Mining Corp, which means there is plenty of historic data, which Stellar has access to.


Stellar is targeting an initial 22million-tonne resource that could be mined as an open pit down to 300 metres. The estimated grade is 13-40 carats per hundred tonnes though even at that lower figure, this gives a resource of 3million carats.

The value of the stones is put very conservatively at US$200 a carat, although the quality of the alluvial diamonds found in the area suggests this number might rise. This would get the group to the magic US$1billion of value in the ground – not bad for a company currently worth US$16.5million.


‘We have kept our heads down for the last couple of years,’ Smithson says of the work it has taken to get to this stage.

‘Like most junior resource stocks we have taken a bit of a beating over the last few years.

‘But we now see a general improvement in sentiment towards the small-caps and diamond companies in particular, particularly those with production or near production assets like Stellar.’

Ian Lyall writes for Proactive Investors. For more on the market's most exciting growth stocks, go to proactiveinvestors.co.uk

The late afternoon jump in the share price would suggest a leak of the drilling results due out any day.

Looking good!

I was thinking about perhaps buying into boohoo today, but decided to have a little top-up here on the dip instead !

Something strange going on with these shares.

Market makers show 1.85 bid 1.95 offer on screen

Just done a dummy deal

Got quoted 1.93p to sell 70000 instead of 1.85p

Got quoted 1.92p to buy 70000 instead of 1.95p

Note I get a better deal by selling them than buying them!!!

How does that work?

Great rns this morning

Continued High Grade and Diamond Quality at Tongo
RNS
RNS Number : 5200C
Stellar Diamonds PLC
18 March 2014















NOT FOR DISTRIBUTION IN THE UNITED STATES OR FOR DISSEMINATION TO US NEWS WIRE SERVICES.



18 March 2014



AIM: STEL

Stellar Diamonds plc

("Stellar" or the "Company")



Continued High Grade and Diamond Quality at Tongo Project, Sierra Leone



Stellar Diamonds plc, the London listed (AIM: STEL) diamond development company focused on West Africa, is pleased to announce that bulk sampling at its 1.1 million carat resource Tongo kimberlite dyke project in Sierra Leone continues to yield high grades and exceptional quality diamonds.



Highlights:



· Continual high grade results from bulk sampling programme at Dyke-1 of Tongo Project as part of Definitive Feasibility Study ('DFS')

· Consistent outstanding gem quality diamonds recovered with stones up to 6.7 carats in size

· Processing to date has yielded 551.6 carats at an average grade of 126.3cpht

· Grade anticipated to increase as further diamonds are recovered from re-processing

· Objective to recover a minimum 1,000 carat parcel for diamond grade and value confirmation

· Previous results established a grade of 120cpht at a modelled value of US$248 per carat

· DFS on Dyke-1 targeted to be completed by YE 2014, with production decision to follow



Stellar Diamonds Chief Executive Karl Smithson commented, "The results from the on-going bulk sampling programme are excellent and continue to underscore the high grade nature of the Tongo Dyke-1 kimberlite. The presence of larger gem stones up to 6.7 carats in size bodes well for the diamond valuation, which will be undertaken as part of the definitive feasibility study that is on track for delivery towards the end of 2014. Our bulk sampling programme will continue with the objective of recovering a parcel of at least 1,000 carats for diamond grade and value modelling on the current 1.1 million carat JORC compliant resource, calculated on one of four diamondiferous dykes on the project."

UPDATE - Stellar shares up 9%, Tongo programme continues to unearth 'exceptional' stones
By Ian Lyall

March 18 2014, 11:15am



Shares in Stellar Diamonds (LON:STEL) rose 9% after it said it continued to recover high grades and ‘exceptional’ quality stones from its Tongo kimberlite dyke project in Sierra Leone.

So far the group has recovered 551.6 carats from its bulk sampling programme at an average grade of 126.3 carats per hundred tonnes, which is higher than the estimated grade 120 carats per hundred tonnes.

Not just that, a number of ‘outstanding’ gem quality diamonds have been uncovered with stones up to 6.7 carats in size.

Stellar said it anticipates the grade will increase as further diamonds are recovered from re-processing.

The bulk sampling of the 1.1mln carat Tongo dyke is taking place as part of the definitive feasibility study, which is on track for completion by the end of this year.

Chief executive Karl Smithson said: “The results from the on-going bulk sampling programme are excellent and continue to underscore the high grade nature of the Tongo Dyke-1 kimberlite.

“The presence of larger gem stones up to 6.7 carats in size bodes well for the diamond valuation, which will be undertaken as part of the definitive feasibility study that is on track for delivery towards the end of 2014.

“Our bulk sampling programme will continue with the objective of recovering a parcel of at least 1,000 carats for diamond grade and value modelling on the current 1.1 million carat JORC compliant resource, calculated on one of four diamondiferous dykes on the project.”

At 11.15pm, the stock, up almost 100% in the year to date, rose 0.17p to 2.07p. Broker Daniel Stewart holds a price target of 5p, suggesting there is plenty of headroom for growth.

Interim Results Release Date and Investor Evening
RNS
RNS Number : 6308C
Stellar Diamonds PLC
19 March 2014















NOT FOR DISTRIBUTION IN THE UNITED STATES OR FOR DISSEMINATION TO US NEWS WIRE SERVICES.



19 March 2014



AIM: STEL

Stellar Diamonds plc

("Stellar" or the "Company")



Release Date for Interim Results and Proactive Investors Presentation Evening



Stellar Diamonds plc, the London listed (AIM: STEL) diamond development company focused on West Africa, is pleased to announce that the Company's Interim Results for the six months to 31 December 2013 will be released on Thursday 20 March 2014.



In addition Stellar Diamonds will be presenting at the Proactive Investors One2One Investor Forum at 6pm on Thursday 20 March 2014 at the Chesterfield Mayfair Hotel, 35 Charles Street, Mayfair, W1J 5EB. CEO Karl Smithson will outline development at the Company's two core projects, the Tongo Kimberlite Dyke Project in Sierra Leone and the Baoulé Kimberlite Pipe Project in Guinea. To register for the event please click on the following link http://www.proactiveinvestors.co.uk/register/event_details/222.

All looking good & bubbling under!

Thanks for your postings db4..this looks a double bagger this year at least (imho)

skyhigh - yes, bubbling up nicely !

Interim Results
RNS
RNS Number : 7391C
Stellar Diamonds PLC
20 March 2014















NOT FOR DISTRIBUTION IN THE UNITED STATES OR FOR DISSEMINATION TO US NEWS WIRE SERVICES.

20 March 2014

AIM: STEL

Stellar Diamonds plc

("Stellar" or the "Company")



Interim Results for the six months to 31 December 2013



Stellar Diamonds plc, the AIM listed (AIM: STEL) diamond development company focused on West Africa, is pleased to announce its unaudited interim results for the six months to 31 December 2013.



Highlights

· Tongo Kimberlite Dyke Project, Sierra Leone ("Tongo"):

o Significant de-risking of high grade Tongo project

o Resource increased to 1.1 million carats for Dyke-1

o Economic scoping study leads to robust project NPV10 of US$53.1 million, a 32% IRR and a projected 17 year life of mine at a significantly low-cost starting capex of US$16 million

o Commenced further bulk sampling at Dyke-1 for enhanced diamond value modelling as part of a
Definitive Feasibility Study ("DFS") targeted for delivery in Q4 2014

o Post-Period end bulk sample results returned further high grades at an average of 126.3cpht and
outstanding gem quality diamonds - results are on-going

o Additional resource potential from three remaining dykes at Tongo

· Baoulé Kimberlite Pipe Project, Guinea ("Baoulé"):

o JV signed for 75% working interest in Baoulé located in Guinea's most renowned diamond mining district, Aredor

o Development has commenced post period end with a target to define a 3 million carat JORC resource by YE 2014

· Droujba Project, Guinea:

o Diamond resource increased to 3.1 million carats

o Project placed on care and maintenance in anticipation of higher diamond prices

· Mandala Project, Guinea:

o Alluvial mining licence renewed for a further 5 year period

o Project remaining on care and maintenance in anticipation of higher diamond prices

· Kono Project, Sierra Leone:

o Resolution to licence dispute continues through dialogue with the Ministry of Mines

· Financial:

o Total of £1.87 million raised through placing of shares and exercising of warrants demonstrating strong support from Board of Directors and existing major shareholders

o £0.8 invested in the pursuit of advancing key projects through economic scoping studies and into
feasibility study stage with the objective of reaching a production decision on Tongo and defining a 3
million carat resource at Baoulé by Q4 2014



Stellar Diamonds Chief Executive Karl Smithson commented, "We are delighted by the progress made at our flagship high grade Tongo project over the period which shows robust economics justifying the Board's decision to advance the project to the feasibility study phase. The addition of the Baoulé kimberlite to our portfolio is an exciting development as the diamondiferous pipe offers significant potential in the form of a large diamond resource with high diamond values. Having already delivered on several significant milestones during 2013, we look forward to the year ahead as we aim to further unlock the potential and advance towards our goal of becoming a diamond producer in West Africa."



Chairman's Statement



The period under review has seen a number of positive advancements as we look to build shareholder value through the de-risking and development of our portfolio of diamond projects in West Africa, in particular at our two highly prospective core projects. The first is our high-grade 1.1 million carat JORC resource Tongo Kimberlite Dyke Project in Sierra Leone which offers outstanding gem quality diamonds at a high diamond grade; and the second is our newly acquired Baoulé Kimberlite Pipe project, located in the prolific Aredor region of Guinea. We are currently conducting a Definitive Feasibility Study at Tongo while Baoulé is a longer term project but has the potential to be a "game-changer", offering the potential of a multi-million carat resource at substantially high diamond values.



Tongo Project, Sierra Leone

In line with our strategy of advancing Tongo towards production, independent consultant Paradigm Project Management ("PPM") was commissioned to undertake an economic scoping study on Tongo Dyke-1, which was delivered on budget and on schedule in July 2013. With an attractive NPV10 of US$53.1 million, a 32% IRR and a projected 17 year life of mine at a significantly low-cost starting capex of US$16 million, the Board decided to prioritise Tongo for development. The project also offers significant upside with the potential to increase the conservative historic two year old modelled diamond value of US$248 per carat and the current JORC resource of 1.1 million carats, which is derived from only one of four diamondiferous dykes in the licence area. With this in mind, the immediate focus is the completion of the on-going DFS which is targeted by year end.



Work was initiated towards the delivery of the DFS with the commencement of a bulk sampling programme in September 2013, targeting a diamond parcel of up to 1,000 carats for enhanced diamond value modelling. We are confident that we will see an increase in the US$248 per carat value, taking into account the recovery of diamond prices since the financial crisis. In October 2013, we blasted the first of our Dyke-1 ore to be processed via our on-site 5tph DMS plant with a view to exporting the diamond parcels to Antwerp for valuation.



We are delighted by the outstanding quality of diamonds recovered and we are highly encouraged by sample processing results to date, which have so far yielded 551.6 carats for an average grade of 126.3cpht. Indeed the diamonds have been classified with an average of 77.63% gem quality with several stones greater than 1 carat in size, including a 6.70 carat diamond discovered in the most recent sample. We anticipate that these high grades will increase as further diamonds are recovered following re-processing. Bulk sampling is on-going with 2,150 tonnes collected to date, and we expect the first 500 carat parcel to be exported to Antwerp by the end of Q1 2014 with a second export of 500 carats targeted for export at the end of Q2 2014 to complete the bulk sampling exercise.



Our plan for 2014 is to conduct further drilling to increase the current resource of 1.1 million carats to over 1.5 million carats. Other elements of the DFS will be conducted by independent consultants to include refined geological modelling, mine planning, capital and operational budgeting, and environmental and social impact studies with the full DFS report targeted for publication in Q4 2014. We will then be in a position to consider the various financing options for mine construction with a view to potentially commencing production by the end of 2015. We believe the enlarged resource coupled with potentially higher diamond prices will enhance the existing value of the project.



Baoulé Project, Guinea

At Baoulé, a JV was signed in December 2013 with Société Tassiliman, a Guinean incorporated company. Under the terms Stellar has the option to earn into 75% of the project through US$5 million expenditure under an indefinite time period with the opportunity to purchase the remaining 25% at fair market value. The project is located in Guinea's most renowned diamond mining district, Aredor, where just downstream, a diamond resource has recently been defined by SRK for Trivalence Mining Corporation with values in excess of US$400 per carat, including the presence of 100 carat stones.



With an address as prospective as this we are excited to commence development potential and intend to deliver a maiden diamond resource by the end of 2014, subject to funding. Our confidence in being able to deliver a resource as significant as 3 million carats is heightened by the large volume of data available from previous operators who held the licence from 2000-2004. Stellar has taken this data and created a geological model which demonstrates that the Baoulé pipe, to a depth of 300m, has the potential to host a resource of least 22 million tonnes of kimberlite. The historical data indicates a grade of between 13 and 40 carats per hundred tonnes ("cpht") and our 3 million carat resource target is based on the minimum grade of 13cpht. Clearly if we achieve a higher grade then the 3 million carats can be exceeded. Furthermore our internal diamond value estimation stands at US$200 per carat, however we feel that this is a conservative number, being based on a diamond sale made from the kimberlite 13 years ago where a value of US$157 per carat was achieved. The only way to ascertain the diamond grade and value with any certainty is via conducting our own bulk sampling and we are currently making preparations to collect an initial 1,000 carat diamond parcel for this purpose utilising our existing diamond plant and resources.



Other Projects

Following a resource increase to 3.1 million carats at our Droujba kimberlite pipe project in Guinea ("Droujba"), PPM undertook an economic scoping study. Although the project offers the potential for the short term production of over 300,000 carats, we decided that putting Droujba on care and maintenance until an improvement in diamond prices would increase production potential and therefore bring more value uplift for shareholders.



In November 2013, our Mandala alluvial mining licence in Guinea was renewed for a further five year period. Previous mining yielded 128,000 carats at a grade of 33cpht with gems up to 37 carats, however the project is currently on care and maintenance and, as with Droujba, will be reassessed on the further recovery of rough diamond prices.



With regards to our Kono licences in Sierra Leone, where underground trial mining on two kimberlites yielded over 4,000 carats of highly quality diamonds, we continue to pursue diplomatic and legal remedies in order to recover the licences which we believe were wrongly revoked by the Ministry of Mines. Our position has been supported by both local and international legal opinions and we remain hopeful that a negotiated settlement should recover some value for all stakeholders in the project.



Corporate

In order to advance Tongo up the development curve and commence bulk sampling, we successfully raised £0.62 million (gross) in July 2013 through a placing of 61,823,036 ordinary shares at 1.00p. All six of our Directors participated, along with other third party investors, highlighting the confidence the Board has in delivering value at Tongo. Shortly after, a further £0.94 million (gross) was raised through the conditional placing of 94,275,000 ordinary shares to institutional and other investors at a price of 1.00p per share.



Following the appointment of Daniel Stewart & Company plc as our Nominated Adviser and sole Broker in November 2013, a further £0.31 million was raised before expenses in December 2013 through a subscription of 28,628,545 new ordinary shares of 1p each at a price of 1.1p per subscription share by two of our highly supportive major shareholders Foradex Invest SRL and Hottinger. Participants were also issued warrants to subscribe for 28,628,545 new ordinary shares also at a price of 1.1p per share which expired on 28 February 2014 and subsequently, post period-end, £0.31 million was raised following the exercise of those warrants.



These funds have been utilised primarily for bulk sampling at Tongo, care and maintenance costs for our remaining projects and initial development at Baoulé, however our planned active 2014 work programme for our core projects will be subject to further financing initiatives being implemented either at the project or company level.



Outlook

We remain mindful of controlling our cost base and in line with this we are focusing our funds on our two core projects, Tongo and Baoulé. By abiding by this philosophy, and advancing these two prospective projects in our portfolio, we believe we are delivering maximum value for shareholders.



Our plan for the year ahead consists of delivering on three main objectives: to target an increase in the Tongo resource to over 1.5 million carats; to complete a DFS at Tongo; and, to define a JORC resource at Baoulé, which we anticipate to be 3 million carats or higher. This threefold strategy will further unlock the intrinsic value of the Company by increasing our aggregate resource base to a possible 7.5 million carats and reaching a production decision point over a potential 1.5 million carats at Tongo. With a robust outlook for the diamond market, Stellar, as a new producer, will be ideally positioned to benefit, particularly as the growth of demand over supply makes for a positive long-term outlook for rough diamond prices.



With impressive high grade results and consistently outstanding gem quality diamonds coming from bulk sampling at Tongo, and the exciting prospect of our potentially "game-changing" Baoulé project, 2014 is set to be a high impact year for Stellar. I look forward to updating shareholders on our progress and would like to take this opportunity to thank you for your continual loyal support.



Lord Daresbury

Non-Executive Chairman



** ENDS **

Stellar Diamonds PLC Given “Hold” Rating at Sanlam Securities (STEL)
Posted by Zach Kirkland on Mar 27th, 2014

Stellar Diamonds PLC (LON:STEL)‘s stock had its “hold” rating reaffirmed by equities researchers at Sanlam Securities in a research report issued on Thursday, StockRatingsNetwork reports. They currently have a GBX 2.10 ($0.03) price target on the stock. Sanlam Securities’ price objective indicates a potential upside of 22.09% from the company’s current price.

Stellar Diamonds PLC (LON:STEL) opened at 1.6967 on Thursday. Stellar Diamonds PLC has a 52 week low of GBX 0.90 and a 52 week high of GBX 2.202. The stock has a 50-day moving average of GBX 1.77 and a 200-day moving average of GBX 1.27.

STEL has been the subject of a number of other recent research reports. Analysts at Daniel Stewart & Co reiterated a “buy” rating on shares of Stellar Diamonds PLC in a research note on Tuesday, March 18th. They now have a GBX 5 ($0.08) price target on the stock.