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

mm,s want your shares!!! bid right up to mid!!
hold!!!

i'm out now locking in profits good luck to holders and buyer alike.

sirshagalot,

Thanks, good luck to you too!

Nice finish to the week today, and reasonable volume too.

Interims approaching, maybe an opportunity for FDI to update the market on any further progress at Groen River, or the drilling campaign in Botswana!

Miserable start to the week anyone know why? The ups and downs of this share are turning into a real mystery ride.

What on earth is going on with FDI. I'm really quite surprised by its yo-yo-like tendancies. Andy, any thoughts?

queen1,

No not sure what to make of the current volatility.

Looking at today's trades, there were two bursts of selling, 08:00 and 10:20, where mostly small trades sells were made in quick sucession, and resulted in a drop in price.

Volume was lower today.

The strange thing is, these small trades, or are these small trades being traded by one or more big players and are being filtered onto the market by they brokers.

aldwick,

I had thought of that, but dismissed the idea as unlikely, as it seems like a lot of trouble to go through when a large seller could put through one or two protected sells via their broker.

To be honest, I think yeserday's trades look like a small bear raid, with two groups of (smallish) sells all bunched together within a few minutes of each other, one at 08:00, and the other at 10:21.

Surely if a large seller was drip feeding into the market he would be more discreet?


Directors and management own over 33% of these, and two large holders take the total of tightly held stock over 50% of the company, so only around 20 million shares ibn the float, and most of that seems to be long term holders IMHO.

Maybe someone has placed an order at a lower level, and MM's are trying to fill?

Thanks guys. I guess my question though is why would anyone want to sell at present. Please pardon the pun but most indicators point to a sparkling future for FDI.

could this have anything todo with African Diamonds?news today re: Debeers not wanting to buy there Co.
just a thought

queen1,

Well I'm not selling!

I may well add if we fall a bit further, I believe, like you, that FDI has a 'sparkling' future.



Parkin,

No I think not personally, our sudden rise, and fall occurred before the AFD rumour.

You may be right that the AFD rumour seemingly being quashed today may have had a small adverse effect on the junior diamond sector, but only to a small degree IMHO.

Usually a rumour of a buy will help the SP to rise, if you read the notice it says that AFD are playing down the rumour, thats what probably knocked the SP.
As for FDI, look at the chart for the past year or so and you will notice that the SP has bounced off the 50 DMA, maybe it will come down to this, but going on its past it shoulf then bounce at this point, I think around the 150 mark, a good buying opportunity............IMHO

hampi,

cheers for the chart comments, I have pasted the chart below with the 50 DMA, and you are indeed correct.



Another solid day today, and I for one am pleased to see stability, and a steadily increasing price, rather then the cliff faces we have had recently.

Some news would be nice, surely another update from Botswana must be due soon?

Well up another 10p so far today, maybe some news is imminent?

hard to fathom the recent moves, but I feel we will be rewarded in the longer term.

That's what I'm hoping for Andy. Thanks for the chart.

queen1,

Pleasure.

Well we have news, as I expected, and it all looks good to me!

Placing to raise 3,700,000, and new prospecting licences obtained in Groen River and Botswana!


The firestone story just keeps improving!
-------------------------------------------------------

Firestone Diamonds PLC
18 March 2005

Firestone Diamonds plc
New projects acquired in Orapa and Groen River areas
Significant expansion planned in Jwaneng area
Placing to raise 3.7 million

LONDON: 18 March 2005

Firestone Diamonds plc ('Firestone' or 'the Company'), the AIM-quoted diamond
mining and exploration company, today announces significant expansions to its
exploration projects in the Orapa and Jwaneng areas in Botswana, and in the
Groen River Valley area in South Africa.

New joint venture in Orapa area

The Company has entered into an agreement to acquire an 81% interest in Daly
City Ventures (Proprietary) Limited ('Daly City'), a private Botswana company.
Daly City is the holder of Prospecting Licence 40/2003 in the Orapa area, which
hosts the Orapa, Letlhakane and Damtshaa diamond mines. Orapa is the second
largest diamond mine in the world in terms of carat production, producing
approximately 16 million carats per annum with a value of over $800 million.

PL 40/2003 covers an area of approximately 380 square kilometres and is located
approximately seven kilometres north of the Letlhakane Mine. Under the terms of
the agreement, Firestone will finance and carry out all exploration and
evaluation work on PL 40/2003, up to and including the completion of bankable
feasibility studies on any kimberlites discovered in the project area. There is
already one known kimberlite in PL40/2003, in which Firestone can earn a 76%
interest. This kimberlite will be re-evaluated by Firestone as part of its
planned work programme.

The Company considers the prospects for the discovery of further kimberlites in
this area to be very good. The initial work programme for PL40/2003 is currently
being developed and is expected to commence during the second quarter of 2005.

New prospecting permit, Groen River Valley

The Company is pleased to announce that it has been awarded a prospecting permit
for a substantial new area in the Groen River Valley region, which results in
the Company's land position increasing 150%, from approximately 20,000 hectares
to over 50,000 hectares. The Groen River Valley project is the Company's most
promising exploration project in South Africa, due to the high quality and large
size of diamonds that have been mined in the region and the substantial land
position controlled by the Company.

The ground covered by the new prospecting permit is adjacent to the Company's
current project area, and is believed to contain significant extensions to the
diamondiferous palaeo channels identified by the Company through work carried
out in the region in recent years. The new area will be explored by Firestone
through its black-empowerment subsidiary, African Star Minerals.

New applications in Jwaneng area

The Jwaneng Mine is the biggest diamond mine in the world, producing
approximately 12 million carats per annum with a value of over $1.5 billion.
Firestone is already active in the Jwaneng region, where the Company's Jwaneng
Project, which covers an area of approximately 3,700 square kilometers, is being
explored by De Beers in joint venture with Firestone.

As much of the region around Jwaneng is still considered to be highly
prospective for the discovery of new diamondiferous kimberlites, the Company
decided in 2004 to significantly expand its licence interests in the region, and
submitted applications for areas covering approximately 2,900 square kilometers.
The Company is awaiting the granting of prospecting licences for these areas,
and has recently submitted further applications for an additional 2,800 square
kilometers.

Update on Orapa and Mopipi Projects

Firestone's Orapa and Mopipi projects, which cover a total area of approximately
4,900 square kilometers and are located in the Orapa area, are being explored by
De Beers in joint venture with Firestone. Drilling of targets identified by
high-resolution geophysical surveys carried out in 2004 is under way. The
Company announced in February that three new kimberlites had been discovered
approximately 15 kilometres south of the Orapa Mine. Evaluation of the material
recovered from drilling is being carried out at De Beers' laboratories in
Johannesburg. Microprobe analysis of the kimberlitic indicator minerals and
analysis of the size/distribution frequency of the microdiamond populations from
each of the kimberlites is being carried out to allow an initial evaluation of
the economic potential of the kimberlites to be made.

With a total of 180 targets identified to date for follow up in the Orapa and
Mopipi project areas, the Company considers that it is likely that more
kimberlites will be discovered as drilling continues in the coming months. Given
the fact that more than 10% of the 75 known kimberlites in the Orapa region are
economic, the Company continues to believe that the prospects for new economic
discoveries in the area are very good. Results from further drilling and
evaluation work will be provided as they become available.

Philip Kenny, Chief Executive of Firestone, said today: 'Firestone has
exceptional exploration potential through its projects in the Orapa, Jwaneng and
Groen River Valley regions. Much of the area around the Orapa and Jwaneng mines
is still considered to be highly prospective for the discovery of new
diamondiferous kimberlites, as modern geophysical and other exploration
techniques have not been fully applied in these areas. We also believe that the
Groen River has the potential to become an important new alluvial diamond
producing region. Today's announcements indicate that we have made substantial
progress towards our objective of becoming the biggest holder of exploration
rights in these key regions.'

Placing

The Company also announces that it is placing 2,475,000 new ordinary shares of
20 pence each in the Company with institutional investors at a price of 1.50
per share to raise 3.7 million before expenses. The proceeds of the placing
will be used to accelerate the pace of exploration and development of the
Company's exploration projects, and for general working capital purposes. These
new ordinary shares will rank pari passu in all respects with the existing
ordinary shares in the Company. Application will be made for the new ordinary
shares to be admitted to trading on the Alternative Investment Market of the
London Stock Exchange, and it is expected that trading will commence on 24 March
2005.

Interim Report

The Company will announce its interim results for the six month period to 31
December 2004 at the end of March. Production from the Company's mining
operations for the period will show an increase from the prior six month period,
in line with expectations. Detailed updates on the Company's mining operations
and exploration projects will be provided in the Interim Report.

For further information:

Philip Kenny, Firestone Diamonds +44 20 7370 6452 / +44 7831 324 645
Leesa Peters, Conduit PR +44 20 7618 8708/ +44 7812 159 885
Jamie Cumming, Bell Lawrie White +44 141 314 8103
Website:
www.firestonediamonds.com




Background information:

Botswana

Botswana is the world's largest producer of diamonds, with annual production of
approximately 30 million carats, worth over $2.5 billion and accounting for over
25% of worldwide production by value. Botswana hosts Debswana's Jwaneng, Orapa,
Letlhakane, and Damtshaa mines and is considered to be one of the best countries
in the world to explore for kimberlite - the primary source rock for diamonds.
Debswana is owned in equal shares by the Botswana Government and De Beers.



Firestone Diamonds

Firestone has extensive diamond exploration interests in Botswana, as follows:

The Orapa Project covers approximately 1,300 square kilometers and is
located close to the Orapa and Letlhakane diamond mines.

The Mopipi Project covers approximately 3,600 square kilometers and is
located close to the Orapa and Letlhakane diamond mines.

The Jwaneng Project covers approximately 3,700 square kilometers and is
located close to the Jwaneng Mine.

Firestone entered into separate joint ventures with De Beers over all three of
these projects in 2004. Under the terms of the joint venture agreements, De
Beers can earn a 61% interest in each project by financing and carrying out all
exploration and evaluation work, up to and including the completion of bankable
feasibility studies on any kimberlites discovered in the project area.

Firestone is also active in the Namaqualand region of South Africa, one of the
most prolific alluvial diamond producing regions in the world, where the
Company's Bonte Koe, Avontuur and Oena mines are located. The Company has
extensive exploration properties in Namaqualand, including the Groen River
Valley exploration project. Firestone also has a large scale kimberlite
exploration project in the United States, in which American Diamonds is earning
a 60% interest.

Firestone is quoted on the London Stock Exchange's Alternative Investment Market
(AIM).

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

From sharecrazy, but a more compact synopsis

Update this morning Crazies. Firestone FDI today announces significant expansions to its exploration projects in the Orapa and Jwaneng areas in Botswana, and in the Groen River Valley area in South Africa. The Company also announces that it is placing 2,475,000 new ordinary shares of 20 pence each in the Company with institutional investors at a price of 1.50 per share to raise 3.7m before expenses. The proceeds of the placing will be used to accelerate the pace of exploration and development of the Company's exploration projects, and for general working capital purposes. These new ordinary shares will rank pari passu in all respects with the existing ordinary shares in the Company. Application will be made for the new ordinary shares to be admitted to trading on AIM, and it is expected that trading will commence on 24 March 2005.

The Company will announce its interim results for the six month period to 31 December 2004 at the end of March. Production from the Company's mining operations for the period will show an increase from the prior six month period, in line with expectations. Detailed updates on the Company's mining operations and exploration projects will be provided in the Interim Report.

Amities/ A mere reiteration of your sentiments queen1 reg the negative comments of sir wish a very lot made on the 8th march ; and one i regard as a load of utter twaddle .Much the same was said when FDI with seemingly indecent haste moved from 40p to over 100p last summer.To my mind FDI is the real gem of the diamond industry; and no-one can tell me of a mining company who not so long ago turned over a mere 1m stg and yet showed a profit a tad in excess of 300,000. This old chestnut As regards the recent rise lt was inevitable that such a prolific rise of late in s/p of FDI, and in such a short a period of time, would invite equally big profit taking. This of course , is what occured, and may have been the agenda all along when taken in light of todays very exiting RNS .ln addition it also appears to be a big buyer in the market dealing out of market hours and in tranches of 10,000. This fact is especially bourne out by todays ( Friday-18th march ) trading where the same anonomous party accumulated over 140,000 shares out of hours at a full 5p above mid price @ 175p ; and then added a further 100,000 ( all in tranches of 10,000) declared by the market at approx 3-45 . . No support ? -Utter tosh . And what with todays positive RNS which in itself lends a tangible bridghead of support @ 150+ plus i think it would be pure utter folly to sell now juste as the saga of this old chestnut is begining to unfurl and the companys true fiscal potential is facing realization . lt has so many irons in the fire-as listed so extensively by Andy that i need say no more - and i strongly believe that certain of thier advanced projects will pay huge rewards for holders in the not so distant future .But for those who stay the course will be a case of patting thier own backs in self congragulation . l hold quite a few from 42p, 64p, 90p, 115p and 162p . a'bientot /sois sages ./ faires attention ,,,,,@+ J,,,lncidentally is this the same Andy who waxed lyrical over GFM @ 2p during the latter days of the hi tec boom sell off....??? ,,4 years on; and i still hold ,,but not my original 500,000 ,but ones bought at much higher prices later on in their development -from 9p to 27p. l see the as one of the star performers of 2005 ! ln fact i tipped them on Motley Fool as my stock of 2005 along with FDI,,,JKX was my tip of 2004,, and i still hold a tad shy of 200,000 despite temporary stalling at the 150 mark. What with the BP/Turkish Oil farm in on the JKX Georgia black sea license ( 4% could yield up to 130 mmbo) and planned tappings into the incredibly oil rich azeri/russian markets i see another year of success for them also And coupled with this the highest oil futures price ever !! Aprils @ almost $58 p/b; and the POTENTIAL is massive ,When u consider Glencarrys overseas persuaded both Swiss oil Traders and Naftogaz to sell them via the market a relatively small percentage of thier respective holdings in JKX ( but still in excess of 30m shares ) at au undisclosed price but believed to be in excess of 185p and you will see that much is expected of JKX in 2005. l have endeavoured to find out the precise figure but as yet am told only in excess of 175p !! ln JKX they have all the prerequisite imgredients to success Their management is errudite , knowledgeable and progressive yet robust and patient without vacillitating. They have extensive knowledge of the area in which they operate, have close connections to the appropriate ministries , a loyal and local workforce. And considering the geo-political working environment of JKX in what posterity will label the "Orange Revolution"; an environment that could have led to civil war as often accompanies such a power vacuem in the meltdown of a virtual police state and in which two distict but fundementally different factions vie for power,the company suffered no disruption due to the due dilligence and common sense of the peoples and workers ; and even overcame a problem with one of thier mines during this period and negotiated new licenses .And now with an enviable balance sheet in which profits doubled and subsequent leverage more than quadrupled JKX are thus enabled to embark on much larger programmes as SOLE operator. What more could you ask ? Also news recently illustrated that directional drilling of an older well increased its rate of production quite dramatically, News is due shortly on a mine spudded in late Jan .,Speculative, l agree , but worth noting -HUNT oil of Texas have been awarded a contract on the very productive Black Sea sea area belonging to The Ukraine .An area which probably had most of the Hunt execs reaching for thier atlasses ; and i find it difficult to believe JKX who themselves are well known as an entity with a portfolio of almost exclusive interest in the Ukraine and the Russias BUT who also happen to mine in East Texas at Shelby county are unknown to one another and furtermore will not play some part in all this ..... ,And so be the same at FDI whose managements absolute conviction that diamoniferous sources lay in abundance within the confines of their Orapa license was so deeply held that they spent literally years searching without reward, and even suffered, the dissappointment and despondency of watching others such as De Beers and AFD reaping success in the same area; YET they laboured on and ON -using the model of using the sale of industrial alluvial diamonds to finance the high cost/risk work at Orapa and other sites ,The years rolled on; and interest in FDI started to fade....,,,,,and then came the very break they had been waiting for; and one which led to De Beers interest and subsequent j/v ,,and like your London busses ,,furthur discoveries came.....virtually one after the other.......,,,We have barely finished the first chapter in the story of FDI; and if not unfortunately swallowed up by De Beers ( AAL ) or even Rio or one of the big boys at a nice premium its story will only get better. .Finally; i make NO secret that i have what some may consider a big interest; and therefore be slightly bias. SO i STRONGLY ADVISE anyone to do as much INDEPENDANT reasearch as they can before taking a position .Everyone knows thier trading position best ! bonne chnce ...@+ J.

Amities / Sorry everyone ! lol l got rather carried away there. But JKX and FDI constitute over 18% of my portfolio and are companies i have tracked for years Therefore it is inevitable l would prattle on so much ,,,,,,esp sorry to the FDI thread being subjected to JKX prognastications ,,,,@+ J

Phew.....! The FrenchConnection, welcome to the FDI BB. How long did it take you to write that last post? It took me long enough to read it!! As a holder in both FDI and JKX (although it would appear a far smaller holder than yourself) I was certainly interested in what you have to say. It is interesting to draw parallels between the two companies and I for one am convinced that both are excellent companies (even if I have been a little troubled by the FDI sp volatility of late :-) ) Still, as you say, the RNS is good news so roll-on the results and the imminent breaking of the 2 barrier!