Mountain Province Diamonds Provides Update on Gahcho Kue Environmental Impact Statement

November 5, 2010

Shares Issued and Outstanding: 72,678,923

TORONTO AND NEW YORK, Nov. 5 /PRNewswire/ – Mountain Province Diamonds Inc.
(“Mountain Province”, the “Company”) (TSX: MPV, NYSE-AMEX: MDM) today
announced that the operator of the Gahcho Kue Joint Venture, De Beers
Canada Inc (“De Beers”), has notified the Gahcho Kue Environmental
Impact Review Panel (the “Panel”) that the Gahcho Kue Environmental
Impact Statement (EIS) is on track for completion and submission before
the end of 2010.

Submission of the EIS will result in the resumption of the Environmental
Impact Review of the Gahcho Kue Project, which is being led by the
Panel.  The Panel is an independent administrative tribunal established
by the Mackenzie Valley Environmental Impact Review Board (the “Review
Board”) under the Mackenzie Valley Environmental Resource Management Act. The five members of the Panel are appointed from members of the Review

The Review Board is a co-management board responsible for the
environmental impact assessment process in the Mackenzie Valley, where
the Gahcho Kue Project is located.  The Review Board’s mission is to
conduct fair and timely environmental impact assessments in the
Mackenzie Valley that protect the environment, including the social,
economic and cultural well-being of its residents.

Commenting, Mountain Province President and CEO, Patrick Evans, said:
“Completion and submission of the Gahcho Kue EIS will represent a key
milestone in the permitting process of Gahcho Kue diamond project. As
the world’s largest viable diamond development project, Gahcho Kue will
make an important contribution to economic development in Canada’sNorthwest Territories and to Canada’s diamond industry”.

Located in Canada’sNorthwest Territories, the Gahcho Kue Project
consists of a cluster of kimberlites, three of which have a probable
mineral reserve of 31.3 million tonnes grading 1.57 carats per tonne
for total diamond content of 49 million carats. A recently completed
independent feasibility study indicates that the Gahcho Kue Project has
an ungeared IRR of 33.9% (excluding sunk costs) and can support an
annual average production of 4.45 million carats over an 11 year mine
life. Mountain Province is a 49% participant in the Gahcho Kue JV with
De Beers Canada (51%).

Forward-Looking Statements

This news release may contain forward-looking statements, within the
meaning of the “safe-harbor” provision of the Private Securities
Litigation Reform Act of 1995, regarding the Company’s business or
financial condition. Actual results could differ materially from those
described in this news release as a result of numerous factors, some of
which are outside the control of the Company.

SOURCE Mountain Province Diamonds Inc.

Source: newswire

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