Paragon Diamonds

Paragon Diamonds Limited, the AIM quoted diamond development company in Lesotho, Africa, is pleased to provide an update on the composition of the Board of Meso Diamonds (Pty) Ltd ('Meso'), the Company's 80% owned Lesotho subsidiary. The Government of the Kingdom of Lesotho holds the remaining 20% interest in Meso, which was recently granted the Mining Lease 009/2013 over the Lemphane Kimberlite Diamond Project ('Lemphane') where Stage 1 production of large high value stones is due to commence in the near term. In line with the terms of the Mining Lease, two Government nominees, Mr Mothabathe Hlalale and Mr Tšepang Mara, have been appointed to the Board of Meso as non-executive directors with immediate effect. Mr Mothabathe Hlalale (Mosotho), a graduate in law from the National University of Lesotho, previously served as a District Officer and as a Senior Legal Officer in the Government of the Kingdom of Lesotho. Most recently, he has been active as a businessman and entrepreneur in Lesotho, involved in property development, agribusiness and service delivery in utilities, especially electrification. Mr Tšepang Mara (Mosotho) is a professional in the fields of Law and Human Resources. He qualified from the Lesotho Institute of Public Administration & Management and currently serves as Public Prosecutor for the Lesotho Law Office. To date, Mr Mara has spent his career in public service, in the legal, human rights and human resources fields. In addition, Paragon has nominated and Meso has approved the appointment of two further non-executive directors to join the Board of Meso: Mr Philip Falzon Sant Manduca (British), who was recently appointed Executive Chairman of Paragon; and Mr Simon Retter (British), who is currently Finance Director of Paragon. Dr Stephen Grimmer (British), currently Managing Director of Paragon and Mr Sam Matekane, (Mosotho) currently Chairman of Matekane Mining and a 10% shareholder of Paragon, will both continue as Directors of Meso. Dr Grimmer will take up the role of executive Chairman of Meso. The position of executive Managing Director of Meso has been created and will be filled in due course. Mr Nicholas Baggott (British), who has served as security manager for Meso will stand down as a Director of Meso with immediate effect. Paragon MD Stephen Grimmer said: "I welcome the appointment to the Board of Ntate Hlalale and Ntate Mara, and look forward to their engagement and contribution in building Meso Diamonds, alongside of Paragon, into a successful diamond mining company to the benefit of all shareholders and stakeholders. I also welcome my colleagues Mr Falzon Sant Manduca and Mr Retter onto the Board at this crucial stage in the development of the Company, as we fast-track Lemphane towards Stage 1 production in H1 2015 and in the process confirm its credentials as the next world class pipe in Lesotho. I also appreciate greatly the continuation of Ntate Matekane as a Director; he brings a wealth of local business and mining experience to the Board. Finally I thank Mr Baggott for his dedicated service to the Company over the last three years and look forward to his continued contribution in a managerial role."