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Diamond Fields Announces First Mineral Resource for Beravina Project

Resource Estimates

Diamond Fields Announces First Mineral Resource for Beravina Project

Vancouver, B.C. (27 December 2018) – Diamond Fields Resources Inc. (TSX-V: DFR)

(“DFR” or the “Company”) is pleased to announce a maiden Inferred Mineral Resource

estimate (“Mineral Resource”) of 1.5 million tonnes grading 22.7% Zircon (ZrSiO4)

(equivalent to 15.3% ZrO2) for its Beravina project in Madagascar (“Beravina” or the

“Project”).

Sybrand van der Spuy, CEO, said “We are pleased to have achieved our objective of

completing a NI 43-101 compliant resource statement for the Beravina Project before the end

of the year. The resource statement is an important milestone in Beravina’s development and

clearly shows the high grade nature of the deposit. We are continuing with our work to test

the market for our product and also evaluate financing options for Beravina’s continued

advancement.”

Inferred Mineral Resource Estimate

Beravina Mineral Resource at a cut-off grade of 9% ZrO2, 14 December 2018

Category Tonnes

(Millions)

ZrO2

%

ZrSiO4

%

HfO2

%

ThO2

ppm

U3O8

ppm

Density

t/m3

Inferred 1.5 15.3 22.7 0.3 537 46 3.1

The Mineral Resource was estimated using The Canadian Institute of Mining, Metallurgy and

Petroleum (CIM) Best Practice Guidelines and is reported in accordance with the 2014 CIM

Definition Standards, which have been incorporated by reference into National Instrument

43-101 – Standards of Disclosure for Mineral Projects.

The Mineral Resource is reported at a cut-off grade of 9% ZrO2, which is the lowest grade

block estimate within the mineralisation model. Given the relatively high grade of the

deposit, the qualified person considers that mineralisation at this cut-off grade (of 9%) will

satisfy the test for reasonable prospects for eventual economic extraction should present

market conditions remain.

The zircon mineralisation occurs within a zoned quartz-feldspar pegmatite. The

mineralisation is contained within the outer quartz-zircon zone that forms a roughly circular

outcrop on the Beravina hill. The mineralised zone was modelled as a sheath of

mineralisation with the hangingwall being towards the centre of the sheath and the footwall

being the outside of the mineralised zone. The mineralised zone plunges to the north at

between approximately 50° and 65° and is generally between 10m and 20m wide.

Eleven holes inclined at 50° and two vertical holes were drilled at Beravina in 2006 and

2011. These were subjected to a complete re-logging and resampling exercise by MSA in

2018. Ten of the holes intersected the mineralised zone. The drillholes are between

approximately 19m and 104m long. The drillhole intersections are aligned in two horizontal

lines; one on the north side and the other on the south side of the deposit.

The core samples taken by MSA were assayed at SGS Randfontein (South Africa). Samples

were dried and then crushed to 80% less than 2mm. A sub-sample of 500g was pulverised to

85% less than 75µm using a carbon steel ring and puck pulveriser. ZrO2 and HfO2 were

analysed using XRF with borate fusion, and ThO2 and U3O8 were analysed by ICP-MS with

sodium peroxide fusion. The samples were subjected to a quality control and assurance

process consisting of the laboratory’s internal processes as well as the insertion of blank and

certified reference material samples by MSA. The ZrO2 and HfO2 assays were confirmed

within close limits by completion of check assays on a representative number of samples by a

second laboratory (ALS Chemex in Vancouver).

A three-dimensional block model of the mineralised zone was created based on the drillhole

logging and assays, and the mapped outcrop. The grades of ZrO2, HfO2, ThO2 and U3O8

were estimated into the block model using inverse distance squared interpolation. Density

was estimated using a formula based on the estimated percentage of zircon. The Mineral

Resource was classified as Inferred largely due to the low number of mineralised

intersections and incomplete drill coverage of the deposit. The down-dip extent of the

Mineral Resource was limited to 50m from the deepest drillhole and the mineralisation is

open at depth.

The Company intends to file a full NI-43-101 Technical Report on its

website http://www.diamondfields.com and SEDAR within 45 days of this announcement.

The Mineral Resource information contained in this press release has been reviewed and

approved by Jeremy C. Witley, Pr. Sci. Nat. (Geological Science) of the MSA Group. Mr

Witley is a Qualified Person (as that term is defined by National Instrument 43-101) and is

independent of the Company.

DIAMOND FIELDS RESOURCES INC.

SIGNED: “Sybrand van der Spuy”

Sybrand van der Spuy, CEO and Director

Contact: +27 78 4558700

Michael Oke/Andy Mills: +44 20 7321 0000

Aura Financial LLP: www.aura-financial.com

Notes to Editors:

Diamond Fields Resources Inc. (“DFR”) is a TSX Venture Exchange listed exploration and mine

development company with assets in Madagascar and Namibia. In Madagascar, DFR is developing

the Beravina Project, an advanced high grade hard rock zircon exploration prospect located in the

west of the country, approximately 220km east of the port of Maintirano and near a state road. In

Namibia, International Mining and Dredging Holdings (Pty) Limited is undertaking an initial six

month (non-continuous) offshore diamond mining program on DFR’s ML 111 licence area. The ML

111 concession has a ten year mining licence, effective until 4 December 2025, and lies within

Luderitz Bay between Diaz Point in the south and Marshall Rocks in the north and at depths of 15 to

70 metres.

Website: www.diamondfields.com

The Company’s public documents may be accessed at www.sedar.com

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the

policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this

release.

Forward-Looking Statements:

Statements in this release that are forward-looking statements are subject to various risks and

uncertainties concerning the specific factors identified in Diamond Fields’ periodic filings with

Canadian Securities Regulators. Such forward-looking information represents management’s best

judgment based on information currently available. No forward-looking statement can be guaranteed

and actual future results may vary materially. Diamond Fields does not assume the obligation to

update any forward-looking statement, except as otherwise required by law.