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Operational Update – August 2012

Operational Update – September 2012

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Disclaimer

The content of information contained in this Presentation has not been approved by an authorised person within the meaning of the Financial Services and Markets Act 2000 (“FSMA”). Reliance upon this Presentation for the purpose of engaging in any investment activity may expose an individual to a significant risk of losing all of the property or other assets invested. If any person is in any doubt as to the contents of this Presentation, they should seek independent advice from a person who is authorised for the purposes of FSMA and who specialises in advising in investments of this kind. This Presentation is being supplied to you solely for your information.

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Disclaimer

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Forward-looking Statements

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Executive Summary

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Company Synopsis

Botswana Diamonds (BOD) is an AIM and Botswana listed company with

exploration/development projects located in the best diamond address in

the world

JV with “diamond major” in Botswana

Significant upside in Mobilong exploration licence in Cameroon -

Diamonds found. Potential projects in Zimbabwe and elsewhere

Experienced management team which previously sold African Diamonds’s

AK6 kimberlite project to Lucara for c.$100 million

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Company Snapshot

AIM listed diamond explorer focussed on projects in Botswana, Cameroon and Zimbabwe

Experienced management team looking to emulate their success with African Diamonds

Exciting prospects in the right areas with encouraging results

Share Price – 1 Year

Significant Shareholders Corporate Information

Shareholders who hold more than 3% % Holding

Rene Nominees 10.47

John James Teeling 9.89

HSBC Global Cust Nom Ltd 7.36

WB Nominees Ltd 6.41

James Finn 3.59

TD Waterhouse Nominees (Europe) Ltd

3.32

Exchanges AIM (LSE)

Ticker BOD

Shares in Issue 138m

Market Cap 5.53

Share price 4

Cash position $1 m

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Management team - Pedigree and Experience

John Teeling - Executive Chairman 40 years’ experience in mineral exploration. Founder of African Diamonds, sold

to Lucara Diamonds Corp for c. $100 million in 2010.

Jim Finn - Director 20 years’ resource company experience. Holds qualifications in finance and

accounting. A director of a number of resource and industrial ventures. Has led the listing procedure for ten AIM companies.

David Horgan - Director He is Managing Director of AIM listed oil explorer Petrel Resources plc and

Clontarf Energy plc. Holds a Law degree from Cambridge and an MBA from Harvard.

Robert Bouquet - Director 18 years' experience in diamond industry, 14 of which with De Beers and Rio

Tinto Diamonds in a variety of strategic and commercial roles. Experience in diamond producer countries, particularly in Africa as well as in all

diamond cutting centres.

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Company Strategy

Secure high potential ground/projects in world

renowned diamond provinces.

Take advantage of existing geological knowledge and

data.

Utilise Joint Venture’s to maximise project potential and value to shareholders.

Use our expertise in paleoplacers to explore new

opportunities.

Shareholder Value

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The right areas...

CAMEROON

Paleoplacer deposit discovered. Three diamonds discovered so far in initial bulk sampling.

BOTSWANA

Active 50/50 JV with a major using new technology to identify large diamondiferious kimberlites in the Orapa area.

A highly prospective 262 sq. km exploration licence owned 100% by BOD – 5 high potential targets identified.

ZIMBABWE

A Production Sharing Agreement with a local group over a 4,000 hectare concession in Chimanimani.

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...the right properties...

Location Licences

Structure Size Renewal Date

Latest News

Botswana – Orapa

1 100% BoD 262 sq km May – 15 12 targets identified; 5 high potential , to proceed to percussion drilling.

Botswana (JV) – NE

Up to 11

JV NA Under application

Targets identified and applications for licences submitted.

Cameroon – Libongo

1 85% 484 sq km Aug – 15 Bulk sampling ongoing, diamonds found on the block.

Zimbabwe – Chimanimani

1 PSA; NA Pending Initial feasibility study undergone regarding the prospectivity of the area.

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…at the right time

Diamonds considered a late

economic development commodity

Emerging markets will drive growth

Prices remain at historically strong

levels

Industry structural changes

underway

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Areas of Operation and Portfolio

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Botswana: The Best Address in Diamonds

Botswana, the Switzerland of Africa

Largest diamond producer by value in the world.

Botswana Diamonds management established African Diamonds in 2002

Discovered the Karowe mine, one million carats a year, including high value Type 2 in Orapa

The company was sold to Lucara (TSX: LUC) in December 2010

Source: Lucara

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Botswana PL170/2012 Kaapvaal Craton

Highly prospective 262 sq km block awarded in May 2012

Part of the Orapa kimberlite cluster

On the Kaapvaal craton with up to 60m of sand

De Beers explored lightly but ineffectively

Modern techniques are more precise

High resolution geophysics completed; five highly prospective opportunities identified

Percussion drilling to commence

Geology similar Gope Mine of Gem Diamonds and the recent Petra discovery X36

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Botswana: Joint Venture

JV with diamond major. The major holds a proven technology which will be used in Botswana for the first time;

― Initial area of interest – NW territory of Botswana

― New approach to traditional areas

― Significant upside in difficult, underexplored areas

Secondary analysis and targeting followed by prospecting

Geophysical data has being processed. Geochemical data collection completed

Full results due Qtr 4 2012. Initial results indicate a number of attractive areas

Applications for concessions in the identified area has commenced.

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Botswana - Areas of Joint Venture Interest

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Cameroon: Mobilong Diamondfields

New paleo-conglomerate diamond field

emerging in east Cameroon

CNK Mining (Korean) are constructing a

1 million carat p.a. mine in Mobilong

adjacent to BOD licence

480sq km of Exploration Licence - Terms

are 4 years with renewals

CNK Licence

Area

BOD Licence

Area

Initial Area of Focus

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Cameroon: Libongo Licence

Several outcrops of paleo-

conglomerate identified

Three diamonds already found, helping

to confirm value of the resource

Evidence of artisanal workings in area;

Three 100 tonne bulk samples are

being analysed to confirm presence of

diamonds

An evaluation to be undertaken on

whether economic

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Zimbabwe: Emerging Diamond Powerhouse

It is likely that Zimbabwe will be

among the top diamond

producers

Political uncertainty

Sanctions apply to many diamond

operators

BOD holds kimberlite concessions

and has a PSA with the holders of

a licence in Chimanimani

Project Areas

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Summary

Expert management team with previous track

record in successful diamond exploration

Operating in the right areas

Positive initial results

Working towards JVs to de-risk projects

Sufficient cash for near-term exploration

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Contact Details

162 Clontarf Road Clontarf Dublin 3

Ph: +353 1833 2833 Web: www.botswanadiamondsplc.com

www.botswanadiamonds.co.uk Email: Info@botswanadiamondsplc.com

info@botswanadiamonds.co.uk

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Appendix - Diamond Market

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Appendix: Diamond Market

22 Source: Bain report, December 2011

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Appendix: Diamond Market

23 Source: Bain report, December 2011

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Appendix: Diamond Market

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Source: Bain report, December 2011 Source: RBC Capital Markets, September 2010

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Appendix - Diamond Source

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Crudely concentric structure

Crust

Solid lower and upper mantle

Liquid outer core

Solid inner core

Appendix: Evolution of the Earth

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Appendix: Eruption Of A Kimberlite Volcano

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Crater

Diatreme

Xenoliths

Root

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Appendix: Diamondiferous Kimberlites

mobile belt craton

lithosphere

diamond stability zone

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Appendix: Diamond Deposits

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Appendix: Global Diamond Deposits