Diamcor Announces Increase in Total Carats Tendered and Sold Compared to Prior Quarter

KELOWNA, December 16, 2021 - Diamcor Mining Inc. (TSXV:DMI)(OTCQB:DMIFF)(FRA:DC3A), ("Diamcor" or, the "Company") announced today that an additional 2,925.66 carats of rough diamonds have been recovered, delivered, tendered, and sold from the processing of quarry material at the Company's Krone-Endora at Venetia Project (the "Project"), representing an increase of approximately 175.66 carats compared to the approximately 2,750 carats the Company anticipated it would deliver, tender and sell as announced on November 18, 2021. This brings the total rough diamonds delivered, tendered, and sold for the current quarter to 5,442.57 carats, an increase of 25% over the previous quarter sales. The sale of the 5,442.57 carats generated gross revenues of USD $1,074,780.69, which resulted in a combined average price of USD $197.48 per carat for the period. Additional rough diamonds already recovered but not yet delivered, as well as any further rough diamonds recovered from the Project during the balance of the quarter to December 31, 2021, will be held as stock on hand to be delivered and tendered in the coming quarter.

The Company remains pleased with the continued progress on targeted increases in processing volumes from the phase one facility upgrades which were completed ahead of schedule as announced on September 8, 2021. These upgrades continue to demonstrate the ability to achieve the desired goal to increase historical processing volumes by 100%. The Company also continues to advance its efforts on the planning and deployment of a larger second phase of upgrades to its processing facilities, which remain on schedule for completion in H1 2022. These additional upgrades are designed to support further targeted processing volume increases beyond the targeted 100% increase in historical processing volumes associated with the now completed phase one upgrades.

"We are pleased with the increase in the total rough diamonds tendered and sold in the current quarter, and our focus remains on optimizing processing volumes and recoveries based on the phase one upgrades for the balance of December and the upcoming quarter" stated Mr. Dean Taylor, Diamcor CEO. "The sales achieved in the current quarter are effected by the variability in time frames between the delivery of rough diamonds and their eventual tender and sale, however we continue to believe the positive impact of these upgrades will continue to be demonstrated in the coming quarters".

About Diamcor Mining Inc.

Diamcor Mining Inc. is a fully reporting publicly traded junior diamond mining company which is listed on the TSX Venture Exchange under the symbol V.DMI, and on the OTC QB International under the symbol DMIFF. The Company has a well-established operational and production history in South Africa and extensive prior experience supplying rough diamonds to the world market.

About the Tiffany & Co. Alliance

The Company has established a long-term strategic alliance and first right of refusal with Tiffany & Co. Canada, a subsidiary of world famous New York based Tiffany & Co., to purchase up to 100% of the future production of rough diamonds from the Krone-Endora at Venetia Project at then current prices to be determined by the parties on an ongoing basis. In conjunction with this first right of refusal, Tiffany & Co. Canada also provided the Company with financing to advance the Project. Tiffany & Co. is owned by Moet Hennessy Louis Vuitton SE (LVMH), a publicly traded company which is listed on the Paris Stock Exchange (Euronext) under the symbol LVMH and on the OTC under the symbol LVMHF. For additional information on Tiffany & Co., please visit their website at www.tiffany.com.

About Krone-Endora at Venetia

In February 2011, Diamcor acquired the Krone-Endora at Venetia Project from De Beers Consolidated Mines Limited, consisting of the prospecting rights over the farms Krone 104 and Endora 66, which represent a combined surface area of approximately 5,888 hectares directly adjacent to De Beers' flagship Venetia Diamond Mine in South Africa. On September 11, 2014, the Company announced that the South African Department of Mineral Resources had granted a Mining Right for the Krone-Endora at Venetia Project encompassing 657.71 hectares of the Project's total area of 5,888 hectares. The Company has also submitted an application for a mining right over the remaining areas of the Project. The deposits which occur on the properties of Krone and Endora have been identified as a higher-grade "Alluvial" basal deposit which is covered by a lower-grade upper "Eluvial" deposit. The deposits are proposed to be the result of the direct-shift (in respect to the "Eluvial" deposit) and erosion (in respect to the "Alluvial" deposit) of material from the higher grounds of the adjacent Venetia Kimberlite areas. The deposits on Krone-Endora occur in two layers with a maximum total depth of approximately 15.0 metres from surface to bedrock, allowing for a very low-cost mining operation to be employed with the potential for near-term diamond production from a known high-quality source. Krone-Endora also benefits from the significant development of infrastructure and services already in place due to its location directly adjacent to the Venetia Mine.

Qualified Person Statement:

Mr. James P. Hawkins (B.Sc., P.Geo.), is Manager of Exploration & Special Projects for Diamcor Mining Inc., and the Qualified Person in accordance with National Instrument 43-101 responsible for overseeing the execution of Diamcor's exploration programmes and a Member of the Association of Professional Engineers and Geoscientists of Alberta ("APEGA"). Mr. Hawkins has reviewed this press release and approved of its contents.

On behalf of the Board of Directors

Mr. Dean H. Taylor
President & CEO
Diamcor Mining Inc.
www.diamcormining.com

For further information contact:

Mr. Dean H. Taylor
Diamcor Mining Inc.
DeanT@Diamcor.com
+1 250 862-3212

Mr. Rich Matthews
Integrous Communications
rmatthews@integcom.us
+1 (604) -757-7179

This press release contains certain forward-looking statements. While these forward-looking statements represent our best current judgement, they are subject to a variety of risks and uncertainties that are beyond the Company's ability to control or predict and which could cause actual events or results to differ materially from those anticipated in such forward-looking statements. Further, the Company expressly disclaims any obligation to update any forward looking statements. Accordingly, readers should not place undue reliance on forward-looking statements.

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SOURCE: Diamcor Mining Inc.