======================================================================= Re: News Releases - Tuesday, October 12, 2010 Dealings by Directors and Significant Shareholders ======================================================================= NOT FOR DISTRIBUTION IN THE UNITED STATES OR FOR DISSEMINATION TO US NEWS WIRE SERVICES. AIM: STEL Stellar Diamonds plc ("Stellar" or the "Company") Stellar, the AIM-quoted diamond mining and exploration company focused on West Africa, announces that the following directors, having participated in the Companys recent �1.9 million placing ("the Placing"), have been allotted new Ordinary Shares of 5 pence each at a price of 5 pence per share ("Placing Shares") and granted one warrant for every two Placing Shares, each with an exercise price of 12 pence for a period of 18 months.

Their participation and each of their resulting interests in the enlarged share capital are set out below.
The Company also confirms that Richmond Capital LLP currently holds an aggregate of 21,446,287 Ordinary Shares, representing 15.4% of the enlarged share capital following its participation in the Placing and its purchase of Ordinary Shares from Altima Partners LLP.

Altima Partners LLP has notified Stellar that it no longer holds an interest in the Company and the Company has duly accepted the resignation of Altimas representative on the Stellar Board, Paul Rankine.

Lord Daresbury, Stellars non-executive chairman, comments, "I would like to take this opportunity on behalf of the Board to thank Paul for his valued contribution over the past three years and wish him well in the future." The Company is awaiting confirmation of holdings by other significant shareholders that participated in the Placing and may make further announcements in due course.

Enquiries: Stellar Diamonds plc Karl Smithson, Chief Executive Tel: +44 (0) 7783 707 971 Angus Ogilvie, Finance Director Tel: +44 (0) 7885 201 903 RBC Capital Markets Martin Eales / Brett Jacobs Tel: +44 (0) 20 7653 4000 Astaire Securities Charles Vaughan Tel: +44 (0) 20 7492 4763 Pelham Bell Pottinger Charles Vivian / James MacFarlane Tel: +44 (0) 20 7861 3232 About Stellar Diamonds plc Stellar Diamonds plc is a London (AIM: STEL) quoted diamond mining and exploration company that has a portfolio of projects in West Africa. Two projects in Guinea are in production, Mandala and Bomboko, which provide cash flow to the Company.

Stellar also owns rights over four high-grade kimberlites that are the focus of further development.

In Sierra Leone the Tongo and Kono projects comprise a series of kimberlite dykes, with the Kono project having produced 4,200 carats of diamonds through underground trial mining.

In Guinea the Droujba kimberlite pipe and the Bouro kimberlite dykes are located in proximity to the Mandala mine and demonstrate grades of up to 200cpht and 500cpht respectively. ======================================================================= Copyright (c) 2010 STELLAR DIAMONDS PLC (AIM:STEL) All rights reserved.

For more information visit our website at http://www.stellar-diamonds.com/ or send mailto: Message sent on Mon Oct 11, 2010 at 11:42:14 PM Pacific Time =======================================================================