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Dominion Diamond Corporation Reports Updated Reserve and Resource Statements for the Ekati and Diavik Diamond Mines

March 14, 2014

TORONTO, March 14, 2014 /PRNewswire/ – Dominion Diamond Corporation (TSX:DDC,
NYSE:DDC) (the “Company”) is pleased to release an updated reserve and
resource statement for the Ekati and Diavik Diamond Mines.

The tables below summarize the mineral reserves and mineral resources at
the Ekati Diamond Mine as at the end of January 31, 2014, and the
Diavik Diamond Mine as at the end of December 31, 2013, expressed in
millions of tonnes, carats per tonne, and millions of carats. The
mineral reserves set out below account for all depletions due to
production and sampling to the end of each of the respective statement
dates.

At the Ekati Diamond Mine, the resource model for the Pigeon kimberlite
pipe was updated in calendar 2013 after additional definition and
geotechnical drilling was conducted which resulted in an increase of
1.4 million tonnes of indicated resources to a total of 12 million
tonnes. Included in this increase is an additional 600,000 tonnes
being promoted to probable reserve status for a total of 7.3 million
tonnes as a result of conducting these additional drilling programs and
updating the open-pit design for the Pigeon kimberlite pipe.

For the Diavik Diamond Mine, new data from the processing of samples
from the 2012 deep drilling program on the A-154 North kimberlite pipe
was incorporated into the latest reserve and resource models in
calendar 2013. The updated A-154 North model has reclassified 2
million tonnes from probable to proven reserve status.

The A-154 South, A-418 and A-21 kimberlite pipes were not part of the
2012 drilling program and consequently there are no significant changes
to their reserve and resource models.

Totals may not add up exactly due to rounding. The values shown are on a 100% basis for both mines.

Mineral Reserves at Ekati Diamond Mine – January 31, 2014 (100% basis)

     ___________________________________________________________________
    |     Kimberlite Pipes  |    PROVEN   |    PROBABLE  |   PROVEN AND |
    |                       |   RESERVES  |    RESERVES  |    PROBABLE  |
    |_______________________|_____________|______________|______________|
    |     Zone Location|Type|M t|Ct/t|M ct|M t |Ct/t|M ct|M t |Ct/t|M ct|
    |__________________|____|___|____|____|____|____|____|____|____|____|
    |                                                                   |
    |___________________________________________________________________|
    |    Koala  |Core  | UG | - |  - |  - |5.1 |0.6 |3.0 |5.1 |0.6 |3.0 |
    |___________|______|____|___|____|____|____|____|____|____|____|____|
    |      Fox  |  Core| OP | - |  - |  - |0.5 |0.3 |0.2 |0.5 |0.3 |0.2 |
    |___________|______|____|___|____|____|____|____|____|____|____|____|
    |Misery Main| Core | OP | - |  - |  - |3.0 |4.0 |12.3|3.0 |4.0 |12.3|
    |___________|______|____|___|____|____|____|____|____|____|____|____|
    |   Pigeon  | Core | OP | - |  - |  - |7.3 |0.4 |3.1 |7.3 |0.4 |3.1 |
    |___________|______|____|___|____|____|____|____|____|____|____|____|
    |Stock-pile | Core |N/A | - |  - |  - |1.1 |0.2 |0.2 |1.1 |0.2 |0.2 |
    |___________|______|____|___|____|____|____|____|____|____|____|____|
    |Total Reserves         | - |   -|  - |17.0|1.1 |18.8|17.0|1.1 |18.8|
    |_______________________|___|____|____|____|____|____|____|____|____|
    |Note: Totals may not add up due to rounding                        |
    |___________________________________________________________________|

Mineral Resources at Ekati Diamond Mine – January 31, 2014 (100% basis)

     _____________________________________________________________________
    |     Kimberlite Pipes  |   MEASURED  |     INDICATED  |    INFERRED  |
    |                       |   RESOURCES |     RESOURCES  |   RESOURCES  |
    |_______________________|_____________|________________|______________|
    |     Zone Location|Type|M t|Ct/t|M ct| M t |Ct/t|M ct |M t |Ct/t|M ct|
    |__________________|____|___|____|____|_____|____|_____|____|____|____|
    |                                                                     |
    |_____________________________________________________________________|
    |    Koala  | Core | UG | - |  - |  - | 7.1 |0.6 | 4.3 |0.2 |1.0 |0.2 |
    |___________|______|____|___|____|____|_____|____|_____|____|____|____|
    |Koala North| Core | UG | - |  - |  - |   - |  - |   - |0.1 |0.6 |0.1 |
    |___________|______|____|___|____|____|_____|____|_____|____|____|____|
    |      Fox  | Core | OP | - |  - |  - | 6.0 |0.2 | 1.4 |0.8 |0.3 |0.2 |
    |___________|______|____|___|____|____|_____|____|_____|____|____|____|
    |      Fox  | Core | UG | - |  - |  - |20.2 |0.3 | 6.1 |5.7 |0.3 |1.7 |
    |___________|______|____|___|____|____|_____|____|_____|____|____|____|
    |Misery Main| Core | OP | - |  - |  - | 3.7 |4.5 |16.8 |0.8 |2.9 |2.3 |
    |___________|______|____|___|____|____|_____|____|_____|____|____|____|
    |   Pigeon  | Core | OP | - |  - |  - |12.0 |0.5 | 5.9 |1.7 |0.4 |0.8 |
    |___________|______|____|___|____|____|_____|____|_____|____|____|____|
    |    Sable  | Core | OP | - |  - |  - |15.4 |0.9 |13.3 |  - |  - |  - |
    |___________|______|____|___|____|____|_____|____|_____|____|____|____|
    |      Jay  |Buffer| OP | - |  - |  - |36.2 |2.2 |78.1 |9.5 |1.4 |12.9|
    |___________|______|____|___|____|____|_____|____|_____|____|____|____|
    |     Lynx  |Buffer| OP | - |  - |  - | 1.3 |0.8 | 1.0 |0.1 |0.8 |0.1 |
    |___________|______|____|___|____|____|_____|____|_____|____|____|____|
    |Stock-pile | Core |N/A | - |  - |  - | 1.1 |0.2 | 0.3 |6.6 |0.2 |1.0 |
    |___________|______|____|___|____|____|_____|____|_____|____|____|____|
    |Sub-Total  Core Zone   | - |  - |  - |65.5 |0.7 |48.0 |15.9|0.4 |6.3 |
    |_______________________|___|____|____|_____|____|_____|____|____|____|
    |Sub-Total  Buffer Zone | - |  - |  - |37.5 |2.1 |79.1 |9.6 |1.3 |13.0|
    |_______________________|___|____|____|_____|____|_____|____|____|____|
    |Total Resources        | - |  - |  - |103.0|1.2 |127.1|25.5|0.8 |19.3|
    |_______________________|___|____|____|_____|____|_____|____|____|____|
    |Mineral resources are inclusive of mineral reserves                  |
    |_____________________________________________________________________|
    |Mineral resources are reported at +1.0 mm (diamonds retained on a 1.0|
    |mm slot screen)                                                      |
    |_____________________________________________________________________|
    |Note: Totals may not add up due to rounding                          |
    |_____________________________________________________________________|

The mineral resources have reasonable potential to be mined but do not
have mining losses and/or dilution applied at this time, and as such
they represent in situ values. Mineral resources that are not mineral
reserves do not have demonstrated economic viability.

The Company has an 80% participating interest in the Core Zone joint
venture and a 58.8% participating interest in the Buffer Zone joint
venture.

Mineral Reserves at Diavik Diamond Mine – December 31, 2013 (100% basis)

     ___________________________________________________________________
    |     Kimberlite Pipes  |     PROVEN   |   PROBABLE  |   PROVEN AND |
    |                       |    RESERVES  |   RESERVES  |    PROBABLE  |
    |_______________________|______________|_____________|______________|
    |           |     Type  |M t |Ct/t|M ct|M t|Ct/t|M ct|M t |Ct/t|M ct|
    |___________|___________|____|____|____|___|____|____|____|____|____|
    |                                                                   |
    |___________________________________________________________________|
    |A-154 South|      UG   |0.8 |4.1 |3.1 |1.4|3.4 |4.8 |2.2 |3.6 |7.8 |
    |___________|___________|____|____|____|___|____|____|____|____|____|
    |A-154 North|      UG   |5.7 |2.1 |12.2|1.8|2.2 |3.9 |7.5 |2.1 |16.1|
    |___________|___________|____|____|____|___|____|____|____|____|____|
    |    A-418  |      UG   |4.4 |3.7 |16.2|2.1|2.9 |6.2 |6.5 |3.4 |22.4|
    |___________|___________|____|____|____|___|____|____|____|____|____|
    | Stockpile |      N/A  |0.2 |2.7 |0.5 | - |  - |  - |0.2 |2.7 |0.5 |
    |___________|___________|____|____|____|___|____|____|____|____|____|
    |Sub-Total - Underground|10.9|2.9 |31.4|5.3|2.8 |14.9|16.2|2.9 |46.3|
    |_______________________|____|____|____|___|____|____|____|____|____|
    |Sub-Total  - Stockpile |0.2 |2.7 |0.5 | - |  - |  - |0.2 |2.7 |0.5 |
    |_______________________|____|____|____|___|____|____|____|____|____|
    |Total Reserves         |11.1|2.9 |32.0|5.3|2.8 |14.9|16.4|2.9 |46.8|
    |_______________________|____|____|____|___|____|____|____|____|____|
    |Note: Totals may not add up due to rounding.                       |
    |___________________________________________________________________|

The mineral resources have reasonable potential to be mined but do not
have mining losses and/or dilution applied at this time, and as such
they represent in situ values. Mineral resources that are not mineral
reserves do not have demonstrated economic viability.

Mineral Resources at Diavik Diamond Mine – December 31, 2013 (100%
basis)

     ___________________________________________________________
    |Kimberlite Pipes|   MEASURED  |   INDICATED |    INFERRED  |
    |                |   RESOURCES |   RESOURCES |   RESOURCES  |
    |________________|_____________|_____________|______________|
    |           |Type|M t|Ct/t|M ct|M t|Ct/t|M ct|M t |Ct/t|M ct|
    |___________|____|___|____|____|___|____|____|____|____|____|
    |                                                           |
    |___________________________________________________________|
    |A-154 South| UG | - |  - |  - | - |  - |  - |0.04|4.0 |0.1 |
    |___________|____|___|____|____|___|____|____|____|____|____|
    |A-154 North| UG | - |  - |  - | - |  - |  - |2.2 |2.6 |5.7 |
    |___________|____|___|____|____|___|____|____|____|____|____|
    |    A-418  | UG | - |  - |  - | - |  - |  - |0.3 |2.4 |0.7 |
    |___________|____|___|____|____|___|____|____|____|____|____|
    |     A-21  | OP |3.6|2.8 |10.0|0.4|2.6 |1.0 |0.8 |3.0 |2.3 |
    |___________|____|___|____|____|___|____|____|____|____|____|
    |Total Resources |3.6|2.8 |10.0|0.4|2.6 |1.0 |3.3 |2.7 |8.8 |
    |________________|___|____|____|___|____|____|____|____|____|
    |Note: Totals may not add up due to rounding.               |
    |___________________________________________________________|

Qualified Person

The reserve and resource information for the Ekati Diamond Mine set out
in this release was prepared by or under the supervision of Mats
Heimersson, P. Eng., an employee of the Company and a Qualified Person
within the meaning of National Instrument 43-101. The Qualified Person
has verified the data disclosed, and the data underlying the
information contained herein.

The reserve and resource information for the Diavik Diamond Mine set out
in this release was prepared by or under the supervision of Calvin G.
Yip, P. Eng., an employee of Diavik Diamond Mines Inc. and a Qualified
Person within the meaning of National Instrument 43-101. The Qualified
Person has verified the data disclosed, and the data underlying the
information contained herein.

About Dominion Diamond Corporation

Dominion Diamond Corporation is a Canadian diamond mining company with
ownership interests in two major producing diamond mines. Both mines
are located in the low political risk environment of the Northwest
Territories in Canada.

The Company operates the Ekati Diamond Mine through its 80 per cent
ownership as well as a 58.8% ownership in the surrounding areas
containing additional resources, and also owns 40% of the Diavik
Diamond Mine. It supplies rough diamonds to the global market through
its sorting and selling operations in Canada, Belgium and India and is
the world’s fourth largest producer of rough diamonds by value.

For more information, please visit www.ddcorp.ca

SOURCE Dominion Diamond Corporation


Source: PR Newswire



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