FTSE Classification

Gem Diamonds Limited
24 August 2007



24th August, 2007

                              GEM DIAMONDS LIMITED
                       ('Gem Diamonds' or the 'Company')

           FTSE NATIONALITY COMMITTEE CLASSIFICATION OF GEM DIAMONDS


Gem Diamonds (LSE: GEMD) is pleased to announce that the FTSE Nationality
Committee has approved a UK classification status for Gem Diamonds. The Company
will now be considered for FTSE UK Index Series inclusion at the next quarterly
review, subject to the standard criteria which apply to any potential new
entrant to the FTSE Series Indices.



ENDS



For further information:

Gem Diamond Technical Services
Clifford Elphick
Angela Parr
Tel: [phone]


Pelham PR
Candice Sgroi
Tel: [phone]




About Gem Diamonds

Gem Diamonds is a diamond mining company with a balanced portfolio of a
producing kimberlite mine, two producing alluvial mines, development projects
and long-term prospects. Established in July 2005, Gem Diamonds is pursuing an
accelerated growth strategy and aims to become one of the world's leading
diamond producers. Gem Diamonds currently has one producing kimberlite mine, Let
seng, in Lesotho, two producing alluvial mines - Cempaka in Indonesia and
Mbelenge in the Democratic Republic of Congo (DRC), a kimberlite development
project in Botswana, three development projects in the DRC, one in the Central
African Republic and an option to develop the Chiri kimberlite concession in
Angola.

The Company recently made an offer to Kimberley Diamond Company's shareholders
to acquire their shares in this company, which owns the Ellendale Mine in north
western Australia.

Gem Diamonds has a specific focus towards higher value diamonds, a segment of
the market that its management believes will deliver superior long term returns.

In February 2007, Gem Diamonds listed on the London Stock Exchange and raised
over US$600 million (net of expenses) to fund development of its existing assets
as well as to pursue acquisitive growth opportunities. Gem Diamonds trades under
the code GEMD. At the time of this announcement the market capitalization of the
company is approximately US$1,2 billion.


For further information about Gem Diamonds visit www.gemdiamonds.com.





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