Star Diamond Corporation Announces Appointment of Lisa Riley to its Board of Directors and the Formation of Special Committee

TSX: DIAM

SASKATOON, Feb. 3, 2020 - Star Diamond Corp. (TSX: DIAM) ("Star Diamond" or the "Corporation") is pleased to announce that Lisa Riley has been appointed as an independent member of the board of directors (the "Board") of Star Diamond.

"Lisa has had significant success throughout her career and her extensive experience advising mining companies and investors will be invaluable to Star Diamond," said Ewan D. Mason, Chairman of the Board. "We are very pleased to have Lisa join our Board."

As previously disclosed, Star Diamond received notice (the "Exercise Notice") in November 2019 from Rio Tinto Exploration Canada Inc. ("RTEC") advising that RTEC was exercising all four of its options under the Option to Joint Venture Agreement dated June 22, 2017. The Board has formed a Special Committee of non-management directors (Ewan D. Mason, Harvey J. Bay, Lisa K. Riley and C. Michael Ryer) to review and consider the Exercise Notice, including whether the options have been validly exercised by RTEC, to oversee the Corporation's dealings with RTEC including in relation to the Exercise Notice and to consider the Corporation's alternatives in the context of the Exercise Notice.

About Star Diamond Corporation

Star Diamond Corp. is a Canadian based corporation engaged in the acquisition, exploration and development of mineral properties. Shares of the Corporation trade on the TSX Exchange under the trading symbol "DIAM". The Fort à la Corne kimberlites (including the Star - Orion South Diamond Project) are located in central Saskatchewan in close proximity to established infrastructure, including paved highways and the electrical power grid, which provide significant advantages for future mine development.

Caution Regarding Forward-Looking Statements

This press release contains "forward-looking statements" and/or "forward-looking information", within the meaning of applicable Canadian securities legislation. All statements, other than statements of historical fact, are forward-looking statements. Generally, forward-looking statements can be identified by the use of forward-looking terminology such as "plans", "expect", "is expected", "in order to", "is focused on" (a future event), "estimates", "intends", "anticipates", "believes" or variations of such words and phrases or statements that certain actions, events or results "may", "could", "would", or the negative connotation thereof. Forward-looking statements included or implied in this press release include the review and consideration by the Special Committee of the Exercise Notice and statements relating thereto. These forward-looking statements are based on the Corporation's current beliefs as well as assumptions made by and information currently available to the Corporation. Although management considers these assumptions to be reasonable based on information currently available to it, they may prove to be incorrect. By their very nature, forward-looking statements involve inherent risks and uncertainties, both general and specific, and risks exist that predictions, forecasts, projections and other forward-looking statements will not be achieved. We caution readers not to place undue reliance on these statements as a number of important factors could cause the actual results to differ materially from the beliefs, plans, objectives, expectations, anticipations, estimates and intentions expressed in such forward-looking statements.

SOURCE Star Diamond Corp.