Gem Diamonds Di Regulatory News (GEMD)

17 October 2012

GEM DIAMONDS LIMITED

("Gem Diamonds" or "the Company")

NOTIFICATION OF INTERIM MANAGEMENT STATEMENT

Gem Diamonds Limited (LSE: GEMD) will be releasing its Interim Management Statement for the period 1 July 2012 to 11 November 2012 at 07:00 GMT on Monday, the 12th November 2012.

For further information:

Gem Diamonds Limited

Sherryn Tedder, Investor Relations

Tel: +27 (0) 11 560 9600

Mob: +27 (0) 83 943 4505

Kim O'Farrell, Public and Media Relations

Tel: +44 (0) 203 043 2080

Mob: +44 (0) 776 506 1316

Pelham Bell Pottinger

James MacFarlane

Tel: +44 (0) 20 7861 3232

About Gem Diamonds:

Gem Diamonds is a leading global diamond producer with a focus on high value diamonds. Its production portfolio comprises kimberlite and lamproite mines in Lesotho and Australia, and a mine development project in Botswana. Both production mines are world-leaders in production of the highest quality, highest value gems: remarkable whites from the Letšeng mine in Lesotho; fancy yellow diamonds from Ellendale in Australia. This production positions the Company strongly in a segment of the market expected to generate attractive returns over the long term.

Gem Diamonds has a clear and consistent growth strategy based on the development of its existing assets and maximising its revenue from its rough diamonds by pursuing cutting and polishing initiatives further down the diamond pipeline. The strategy has been implemented with a view to maximizing the returns from the Company's existing assets based on the favourable supply demand dynamics which are forecast over the longer term.