Alto Cuilo update

Petra Diamonds Ld
23 November 2005

For release 23 November 2005



                             Petra Diamonds Limited



           Alto Cuilo - new kimberlitic bodies identified and drilled





Petra Diamonds Limited ('Petra' or 'the Company'), the AIM-quoted and ASX-listed
diamond mining group, announces an update with regards to the kimberlite
exploration programme at the Alto Cuilo project in north eastern Angola.



Further to the identification of additional magnetic anomalies following the
recent low level Midas survey, the anomalies have been prioritised for drilling
in order to ascertain whether or not they are kimberlitic in nature, in
preparation for selecting the best anomalies for large diameter drilling and
bulk sampling in 2006.



The Company announces that drilling has intersected a further two new
kimberlitic bodies, AC71, estimated at 32 hectares in area and AC72, estimated
at 30 hectares. A good sample of Reworked Volcanoclastic Kimberlite ('RVK') was
obtained to a depth of 122.8 metres from AC71 whilst at AC72 well developed RVK
intercalated within crater facies sands was intersected from 80 metres to the
end of the hole at the current depth of 197.8 metres. These positive results are
particularly pleasing as they confirm the potential for further kimberlitic
anomalies from the increase in known anomalies identified in the Midas survey.



A surface exposure of material from the large AC16 body (the approximately 125
hectare anomaly) has been treated through the bushman jig. Whilst this was not
large enough to arrive at a grade estimate, macro diamonds were recovered from
this sample indicating the diamond potential of this anomaly.



Alluvial work continues with bulk sampling and pitting.



Adonis Pouroulis, Petra's Chairman, commented, 'We are pleased to announce the
discovery of further kimberlitic bodies at Alto Cuilo, further increasing the
footprint of kimberlitic discoveries to date to approximately 382 hectares. This
shows that Alto Cuilo is an exceptional project and we look forward to more
positive developments over the coming months and thereafter on the commencement
of the kimberlite bulk sampling programme.'





 Ends






Notes

1. The information in this update that relates to Exploration Results, Mineral
Resources or Ore Reserves is based on information compiled by Jim Davidson who
is a Member of the Geological Society of South Africa, a 'Recognised Overseas
Professional Organisation' ('ROPO'), included in a list promulgated by the ASX
from time to time. Jim Davidson is a full-time employee of the Company and has
sufficient experience which is relevant to the style of mineralisation and type
of deposit under consideration and to the activity which he is undertaking to
qualify as a Competent Person as defined in the 2004 Edition of the '
Australasian Code for Reporting of Exploration Results, Mineral Resources and
Ore Reserves'. Jim Davidson has given his written consent to the inclusion in
the report of the matters based on his information in the form and context in
which it appears.



2. It should be noted that the potential quantity in this report is conceptual
in nature, there has been insufficient exploration to define a Mineral Resource
and it is uncertain if further exploration will result in the determination of a
Mineral Resource.





For further information, please contact:


Parkgreen Communications, London

Justine Howarth / Cathy Malins

Tel [phone]



Petra Diamonds, Perth

John Baillie

Tel [phone]



Field PR, Adelaide

Kevin Skinner

Tel [phone]

Mobile [phone]







Notes to Editors:



In December 2004 Petra implemented a formal Joint Venture Agreement with BHP
Billiton World Exploration Inc ('BHP Billiton') regarding the Alto Cuilo diamond
project in north eastern Angola.  Under the terms of the Joint Venture
Agreement, BHP Billiton can, by investing up to US$60 million in Petra Diamonds
Alto Cuilo Limited, the JV vehicle ('Vehicle') which holds Petra's share in Alto
Cuilo, acquire a share of up to 75% of the Vehicle.



Petra continues to yield exploration success at Alto Cuilo, with the discovery
of several major kimberlitic anomalies in 2005. A low-level Midas helicopter
survey, carried out in July and August this year, identified new anomalies of
26, 60, 125 and 148 hectares in surface area, these discoveries being in
addition to the existing 109 hectares (115 million tonne) kimberlitic deposit
identified by Petra in 2004.










                      This information is provided by RNS
            The company news service from the London Stock Exchange