Botswana Diam Regulatory News (BOD)

28th January 2020

Botswana Diamonds PLC

("Botswana Diamonds" or the "Company")

Placing to raise £250,000

Placing

The Board of Botswana Diamonds (AIM: BOD) is pleased to announce that it has today undertaken a placing with existing and new investors to raise £250,000 via the issue of 41,666,667 new ordinary shares (the "Placing Shares"), at a placing price of 0.6p per Placing Share (the "Placing Price"). Each Placing Share has one warrant attached with the right to subscribe for one new ordinary share at 0.6p per new ordinary share for a period of two years from 28th January 2020 (the "Placing Warrants"), being the expected date of the Placing Warrants issue.

The Placing Shares will rank pari passu with the Company's existing ordinary shares. Application will be made for the Placing Shares to be admitted to trading on AIM and it is expected that such admission will become effective on or around 11th February 2020.

Use of Proceeds

The funds raised will be used to fund exploration activities during the current year in Botswana, Zimbabwe and South Africa, which remain ongoing, and to provide additional working capital for the Company.

Total Voting Rights

In conformity with the Disclosure Guidance and Transparency Rules of the Financial Conduct Authority ("FCA"), the Company announces the following:

Following the issue of the Placing Shares, there will be a total of 669,221,902ordinary shares of 0.25p each in issue with each ordinary share carrying the right to one vote ("Ordinary Shares"). The Company does not hold any Ordinary Shares in Treasury. Therefore, the total number of Ordinary Shares in the Company with voting rights is 669,221,902. The above figure may be used by shareholders as the denominator for the calculations by which they will determine if they are required to notify their interest in, or a change to their interest in, the Company under the FCA's Disclosure and Transparency Rules.

Special note concerning the Market Abuse Regulation

This announcement contains inside information for the purposes of Article 7 of the Market Abuse Regulation (EU) No 596/2014 ("MAR"). Market soundings, as defined in MAR, were taken in respect of the Placing, with the result that certain persons became aware of inside information, as permitted by MAR. That inside information is set out in this announcement. Therefore, those persons that received inside information in a market sounding are no longer in possession of inside information relating to the Company and its securities. The person who arranged for the release of this announcement on behalf of the Company was Jim Finn, Director.

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