Firestone Diamonds plc provided its quarterly update on operations at its Liqhobong Diamond Mine (Liqhobong) for the quarter ended 30 June 2019 (fourth quarter of the company's 2019 financial year), it's performance compared to market guidance for fiscal year 2019, and guidance for fiscal year 2020. Fourth Quarter ended 30 June 2019 summary: One Lost time injury (Q3: lost time injury free); Diamond recoveries of 208,572 carats, 34% higher than third quarter of 155,206 carats; Grade of 23.0 carats per hundred tonnes ("cpht"), higher than the 18.0 cpht in third quarter, and 22.6 cpht overall for fiscal year 2019; Ore tonnes treated of 904 902 tonnes, higher than third quarter of 862,838 tonnes; Waste tonnes moved for the quarter of 1,337,281 tonnes (third quarter: 1,242,481 tonnes); Operating cost of $12.57 per tonne treated (third quarter: $11.55 per tonne treated); Notable recoveries of a 72 carat yellow makeable diamond, a 22 carat makeable white diamond and an 11 carat fancy light-pink diamond; A total of 177,521 carats sold, lower than third quarter of 211,368 carats due to timing of sales, realising revenue of $12.7 million (third quarter: $16.8 million) at an average value of $71 per carat (third quarter: $80 per carat) and an average value for fiscal year 2019 of $73 per carat; Cash balance as at 30 June 2019 of $26.3 million (third quarter: $29.9 million) after the first capital repayment to ABSA of $1.9 million, following an 18 month capital grace period which came to an end on 30 June 2019, which reduced the outstanding loan balance to $65.9 million (third quarter: $67.8 million); and Waiver received from ABSA Bank Limited (ABSA) for certain of its covenants measured as at 30 June 2019 in terms of the $82.4 million Senior Secured Term Facility Agreement. Fiscal year 2019 results compared to guidance: The company achieved its market guidance for the financial year to end-June 2019: Diamond recoveries of 829 458 carats (fiscal year 2018: 835,832 carats), within guidance of between 820,000 and 870,000 carats; Ore tonnes treated of 3.7 mt (fiscal year 2018: 3.8 mt), within of guidance of between 3.6 and 3.8 mt; Waste tonnes moved of 4.4 mt (fiscal year 2018: 2.9 mt), within guidance of between 4.3 and 4.8 mt; and Operating cost of $11.49 per tonne treated (fiscal year 2018: $11.62 per tonne treated), significantly lower than guidance of between $15.00 and $16.00 per tonne treated. Fiscal year 2020 guidance: Diamond recoveries of between 820,000 and 870,000 carats; Ore tonnes treated of between 3.6 and 3.8 mt; Waste tonnes moved of between 6.0 and 6.5 mt; and Operating cost of between $13.501 and $14.501 per tonne treated. Operations: During the quarter ended 30 June 2019, Liqhobong treated 904 902 tonnes of ore, which was more than the 884,252 tonnes and 862,838 tonnes that were treated in second quarter and third quarter respectively, resulting in 3.7 mt for fiscla year 2019, within guidance of between 3.6 and 3.8 mt. Tonnes treated during the quarter were higher than the previous two quarters as fewer unscheduled plant repairs were necessary. Mining progressed to the higher grade southern part of the pit during the quarter resulting in the recovery of 208,572 carats which was 34% more than the previous quarter of 155,206 carats, taking total carats recovered for fiscal year 2019 to 829,458 carats, achieving guidance of between 820,000 and 870,000 carats. Although the recovered grade of 23.0 cpht was higher than the previous quarter of 18.0 cpht, it was 9% below the expected reserve grade which seems at this stage to result from treating harder, more competent ore in the southern part of the pit. Work is on-going to improve post-blast fragmentation as well as further optimisation of the tertiary crushing section to improve liberation and throughput.  During the quarter, 82 stones of plus 10.8 carats were recovered (third quarter: 64 stones). However, the overall average value of the +10.8 carat stones recovered during Fourth Quarter was lower than third quarter due to fewer better quality stones. It is pleasing to report that the positive trend on waste tonnes moved continued into the final quarter when, with an increased fleet which included the additional items of machinery that were mobilised in the previous quarter, 8% more waste of 1,337,281 tonnes was moved (third quarter: 1,242,481 tonnes), bringing total waste tonnes moved for Fiscal Year 2019 to 4.4 mt, within guidance of 4.3 to 4.8 mt.

The Company continues to mine broadly according to the most recent mine plan which was announced in December 2017.  During fiscal year 2020, the Company once again plans to treat between 3.6 and 3.8 mt of ore and to recover between 820,000 and 870,000 carats. The Company plans to develop the mine further through increased stripping of between 6.0 and 6.5 mt of waste rock.