STELLAR
DIAMONDS PLC
ANNUAL REPORT & ACCOUNTS 2013
Building a leading diamond company in West Africa STELLAR 
DIAMONDS PLC
Stellar Diamonds plc (AIM:STEL) is a focussed diamond development company 
with high-grade kimberlite assets in West Africa. The Company has established 
a resource base of 4 million carats and is advancing its Tongo project through a 
feasibility study in 2014  
The feasibility study work also aims to increase the Tongo resource base further and allow the Company 
to make a mining decision towards the end of 2014. The Company’s strategy remains to become a 
significant diamond producer in the medium term to meet the forecast diamond supply deficit.
CONTENTS
OVERVIEW
3 Highlights
4 Continuing Growth of Resource Base
6 Chairman’s Statement
BUSINESS REVIEW
7 Chief Executive Officer’s Statement
10 Diamond Market Outlook
11 Corporate Social Responsibility  
13 Droujba Project 
16 Tongo Project
19 Mandala Project
GOVERNANCE
20 Board of Directors
22 Key Management
 REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 30th JUNE  
 2013 - THE FOLLOWING PAGES REPRESENT THE AUDITED INFORMATION
24 Directors’ Report
26 Statement of Directors’ Responsibilities 
FINANCIAL STATEMENTS
27 Independent Auditor’s Report to the Shareholders of  
 Stellar Diamonds Plc 
29 Consolidated statement of comprehensive income 
30 Consolidated and Company statement of financial   
 position
31 Consolidated and Company statement of changes in  
 equity 
32 Consolidated and Company statement of cash flows
33 Notes to the financial statements 
STELLAR DIAMONDS PLC
355-359 The Strand
London WC2R 0HS
United Kingdom
Company registration number | 5424214 
Company incorporated on | 14 April 2005
www.stellar-diamonds.com HIGHLIGHTS
DROUJBA
Project JORC compliant resource 
increased from 2.5 to 3million carats 
(+20%)
Droujba pipe resource of 2.5million 
carats at a diamond value of $45 per 
carat
Katcha dyke resource of 446,000 
carats at a diamond value of $57 per 
carat.
Katcha resource delineated only over 
470m of 5,000m strike length to 
150m depth, has potential for multi-
million carat resource
Conceptual economic scoping study 
of Droujba pipe shows potential 
for short three year life of mine, 
producing 313,000 carats and $15m 
revenue at current diamond prices
Project placed on temporary care 
and maintenance whilst focus 
remains on Tongo and will be re-
assessed in 2014 if rough diamond 
prices continue to improve
4 MILLION 
carats
in Resource
Advancing
HIGH VALUE 
TONGO
PROJECT 
through 
feasibility
Programmes 
to INCREASE
RESOURCE 
BASE in 
TONGO
Dyke-1 JORC compliant resource 
increased from 0.66 to 1.074 million 
carats (+63%)
Resource diamond grade and value 
of 120cpht and $248 per carat
Dyke-4 evaluated at 110cpht and 
$140 per carat, offering further 
upside in resource
Dykes-2 and 3 not yet evalutated 
but small testing suggests grades of 
140cpht and 185cpht respectively
Positive conceptual economic 
scoping study of Tongo Dyke-
1, project now prioritised and 
advancing to feasibility stage in 2014
US $2.4m raised in July 2013 to 
progress Tongo Feasibility Study
US $2.5m spent on evaluation and 
development of Tongo and Droujba 
projects in the year
Operational and administrative cash 
costs reduced significantly
Debt Free
TONGO
FINANCIAL TONGO DYKE-1 CESS
17 year life of mine
Modest start-up capital of $16 million
Peak production of 90,000 carats 
per annum
Revenues of over $400 million
NPV (10%) of $53 million
Highly leveraged to increasing 
diamond prices 4       ANNUAL REPORT & ACCOUNTS 2013
OVERVIEW
ADVANCING TO 
FEASIBILITY STUDY 
AT TONGO
Stellar has a current combined resource base 
of 4 million carats at the Tongo and Droujba 
projects, with the potential to significantly 
increase this through further work on a number of 
diamondiferous kimberlites within the portfolio.
Economic scoping studies conducted on both 
projects has led Stellar to focus in the short term 
on delivering a feasibility study at the 1 million carat 
Tongo Dyke-1 kimberlite during 2014 prior to a 
production decision being made.
With an improving diamond market, Stellar is considering 
resuming mining at its Mandala alluvial diamond project as 
well as evaluating a number of new projects to enhance 
its portfolio of assets in West Africa. The company believes 
there are considerable opportunities in a region that has 
seen very little diamond exploration or development activity 
in the past decade.
DROUJBA
Location: Guinea
Status: Completion of 
economic scoping study
A 3 million carat resource has been 
established at the Droujba pipe (2.5mcts) 
and the Katcha dyke (0.5mcts) Both 
Droujba and Katcha have established 
high grades of 88cpht and 140cpht 
respectively, however the diamond values 
($45/ct and $57/ct) are relatively low when 
compared to world-wide mine averages. 
A conceptual economic scoping study on 
the Droujba pipe demonstrated that due 
to there present diamond value only a 
short three year, open pit mine is currently 
deemed feasible. This mine would yield 
over 300,000 carats at a capital cost of 
less than $3million, generating cash flows 
of $15million. Therefore the Company has 
placed Droujba on care maintenance and 
will review the economics of the project 
as diamond prices continue to increase.
Katcha holds multi-million carat potential 
since its current 446,000ct resource is 
established over only 470m of a 5,000m 
strike length to 150m depth. Further 
drilling and bulk sampling would be 
required to test this when diamond prices 
have improved.
TONGO
Location: Sierra Leone
Status: Moving to Feasibility Study
Dyke-1 has an established 1,074,000 carat 
resource, at a high grade of 120cpht and 
excellent diamond value of $248 per carat. 
During 2013 a positive economic scoping 
study was delivered on Dyke-1, which 
demonstrated the potential for a 17 year 
life of mine, at an initial capital cost of only 
£16m to produce over 1 million carats and 
revenues of over $400 million.
The project has therefore been prioritised 
to a feasibility study during 2014 prior to 
a production decision being made. The 
feasibility work will include further detailed 
drilling and bulk sampling of Dyke-1. 
Additional resource potential of adjacent  
diamondiferous kimberlites will also be 
tested, such as the nearby Dyke-4 which 
has a grade of 109cpht and diamond value 
of $140 per carat.
KONO
Location: Sierra Leone
Status: Licence Dispute (care and 
maintenance)
Stellar continues to persue reinstatement 
of its two Kono permits that it believes 
were illegally revoked by the Sierra Leone 
Ministry of Mines. Diplomatic channels are 
continuing to be followed but have so far 
not yielded success.
Therefore, the Company is now also 
following legal channels and has 
retained both local Sierra Leonean and 
International legal counsel. These legal 
firms have provided independent opinions 
on the license issue and both concluded 
that the Ministry of Mines has acted 
outside of its own Mining law in revoking 
Stellar’s permits. Stellar is currently 
considering its next steps in the legal and 
diplomatic process in order to protect its 
previous investment on the permits of 
over $20million. STELLAR DIAMONDS PLC       5
OVERVIEW
MANDALA
Location: Guinea
Status: Production
Mining at Mandala between 2009 and 
2011 previously yielded 128,000 carats 
at an average diamond value of $30 per 
carat. Some large, gem quality diamonds 
up to 37 carats were produced. Stellar 
has calculated a remaining resource of 
up to 200,000 carats predominantly from 
the N’Keleyani, river valley where average 
diamond grades of 50cpht and diamond 
values of $38 per carat were previously 
achieved.
Due to the improved rough diamond 
market Stellar is currently considering 
funding options to resume mining at the 
Mandala mine. The five year mining 
licence was also recently renewed to 
enable mining to resume.
BOURO
Location: Guinea
Status: License surrendered
During 2013 Stellar surrendered the 
Bouro diamond licenses. Although high 
bulk sample grades of 250cpht were 
achieved from the Bourno North dyke, the 
diamond value was established at only $25 
per carat as the goods were predominantly 
of industrial quality. In addition, the 
kimberlite proved to be irregular and 
inconsistent along strike which would 
make any future underground mining 
difficult. 6       ANNUAL REPORT & ACCOUNTS 2013
OVERVIW
At Tongo the JORC compliant diamond resource was increased 
from 660,000 carats to 1.1 million carats through additional 
drilling. The diamond grade was confirmed at 120cpht through 
further sampling and the average diamond value modelled at $248 
per carat, providing Stellar with a very high in-situ kimberlite value 
of $298 per tonne.
At the Droujba project, the JORC compliant diamond resource 
was increased from 2.5 million carats to 3.1 million carats through 
drilling and sampling a small 700m section of the 5,000m long 
Katcha dyke which runs adjacent to the Droujba pipe. The Katcha 
dyke has a grade of 140cpht and modelled diamond value of $57 
per carat. The project diamond resource could be considerably 
expanded through further dilling and sampling of the Katcha Dyke. 
Further bulk sampling of the Droujba pipe confirmed a grade of 
88cpht and diamond value of $45 per carat. In order to prioritse 
our projects, Stellar decided to conduct economic scoping studies 
of the existing resources at Tongo and Droujba projects, using 
existing revenues. Paradigm Project Management (PPM), based 
in Johannesburg, was appointed as independent consultants to 
undertake this work.
The conclusion was that the Tongo project is currently deemed 
to have better economic potential than the Droujba project under 
current market conditions, primarily due to the higher diamond 
grade and value of Dyke-1 compared to the Droujba pipe. Based 
on the work conducted by PPM and extrapolated for the Board’s 
assessment, Tongo has a calculated NPV of $53million. Therefore, 
the Board decided to prioritise and accelerate the Tongo project 
through the feasibility study stage and, hopefully, towards a 
production decision in the latter part of 2014. Although Droujba 
has potential for a short term, three year open pit mining operation 
producing over 300,000 carats, a higher diamond price is required 
to make a larger scale mine feasible. The Company has placed 
Droujba on care and maintenance with the economics periodically 
reviewed as the diamond price changes going forward. The 
current consensus is that the rough diamond price will increase 
significantly in the next few years and the Board believes that 
Droujba has the potential to deliver a good return for shareholders.
The Kono license dispute with the Ministry of Mines continued, 
though little progress has been made towards the reinstatement of 
the two permits that the Company believes were wrongly revoked. 
Legal opinions by local Sierra Leonean and International based 
lawyers support the Company’s position and although the Board 
prefers a negotiated settlement, it is currently considering its legal 
position in respect of this issue.
Stellar completed two share placings with new and existing 
shareholders this year, raising a total of £2.6million. These funds 
were primarily allocated towards the scoping studies and ongoing 
Tongo costs as part of the feasibility study. For the year ended 30 
June 2013, the Group incurred an operating loss before interest, 
tax and impairments of $3m (2012: $4m) - In addition to this, an 
impairment charge of $2m (2012: $1.4m) was recognised in the 
year. The operating loss is in line with the Board’s expectations 
given the Group’s stage of development and has been reduced 
steadily over recent years. The impairment charge related to the 
Droujba project in Guinea following the results of the Conceptual 
Economic Scoping Study completed in the year and the decision 
to focus on Tongo kimberlite project in Sierra Leone. At the balance 
sheet date, the Group had net assets of $16.3m and no debt.
The rough diamond market continues to show some volatility in 
pricing, though a good first half of 2013 was generally reported 
by producers. However, tight liquidity is an ongoing issue as the 
diamond banks continue to tighten credit lines, and a weakening 
rupee has not helped the predominantly Indian manufacturers. 
Nevertheless, the fundamentals of the diamond market remain 
robust with a long term supply deficit forecast as rough and 
polished demand is driven by strong growth in Chinese, and to 
a lesser extent Indian and USA, diamond jewellery consumption. 
Although some new diamond mines are coming on stream over 
the next five years, these are unlikely to meet the demand growth 
in the longer term and therefore the consensus remains that rough 
prices will significantly increase as a result. 
The Board believes the next year will be a key milestone in the 
Company’s history which will hopefully lead to a positive decision 
in favour of production at the Tongo project. The Board remains 
confident that if the current rough diamond price increases 
with the expected consensus, the Droujba project will become 
economically viable.
I would like to extend my thanks to the continued support of 
shareholders in difficult market conditions. Your Company is well 
positioned to evolve from an exploration to mining company and 
fulfill its strategy of becoming a diamond producer in a market that 
has some of the best economic fundamentals the resource sector 
has to offer. I would finally like to thank the Stellar management and 
staff for their unwavering commitment to meeting all targets and 
objectives under often very challenging conditions. I am confident 
that they will continue to deliver results and with the support of 
shareholders we will take this Company to the next level.
CHAIRMAN’S 
STATEMENT
Dear Shareholder,
Stellar continues to make good progress on 
its strategy of advancing key diamond projects 
towards production. This past year we have 
delivered on our objectives of increasing our 
diamond resource base and conducting preliminary 
economic scoping studies at the Tongo and 
Droujba projects. Stellar now has a signed off 
inferred resource base of 4 million carats, a 29% 
increase compared to last year.
LORD DARESBURY
Non-Executive Chairman
21st November 2013 STELLAR DIAMONDS PLC       7
At Tongo, the Dyke-1 resource was increased from 
660,000 carats to 1,074,000 carats (+69%) through deeper 
drilling, and the resource base now extends to 300m 
below surface. The high grade and high value of 120cpht 
and $248 per carat were maintained and this demonstrates 
consistency, both along strike and at depth, of the dyke. 
The quality of the Dyke-1 diamonds is excellent with a very 
high percentage of gems that exhibit shapes and colours 
that will be in great demand when in production.
There is also considerable potential to further increase 
the resource base at Tongo as we are yet to really test the 
adjacent Dykes-2, 3 and 4. However, limited bulk sampling 
at Dyke-4 this year yielded grades of 109cpht and diamond 
values of $140 per carat, so this target is certainly worth 
further attention. Furthermore, previous microdiamond 
sampling at Dykes-2 and 3 yielded modelled commercial 
diamond grades of 140cpht and 185cpht respectively, so 
we have plans to drill test these two kimberlites during our 
next phase of drilling.
CE O’S  
STATEMENT
Tongo 5tph Process Plant
BUSINESS REVIEW
I am once again very pleased to report that a number of key milestones have been achieved on track and 
within budget. Our key objectives for this past year were firstly to achieve an increase in our resource 
bases at the Tongo and Droujba projects, which was then followed by the completion of economic 
scoping studies. This process has allowed Stellar to prioritise the higher value Tongo project and focus 
our resources on delivering a full feasibility study during the course of 2014.
Stellar’s resource base has increased 29% from 3.1 million carats to 4 million carats and there is potential to significantly 
increase this further through additional drilling of existing and as yet undrilled kimberlites within the project areas.
JORC COMPLIANT RESOURCES (+1mm)
Kimberlite Tonnes Grade (cpht) Carats Value $/ct In-situ Value $/t
Tongo 895,000 120 1,074,000 248 298
Droujba 3,960,000 63 2,474,000 45 28
Katcha 319,000 14 446,000 57 80
TOTAL 
RESOURCES
5,174,000 3,994,000
MILESTONES ACHIEVED
∞  Increased resource base +9% to 4 million carats
∞  Economic scoping studies successfully completed
∞ Tongo project prioritised to feasibility stage
∞ Maintained excellent health and safety record 8       ANNUAL REPORT & ACCOUNTS 2013
Kimberlite Strike Length (m) Grade (cpht) Value ($/ct)
Dyke-1 2,500 120 248
Dyke-2 800 140 unknown
Dyke-3 300 185 unknown
Dyke-4 1000 109 140
At Droujba, exploration work was limited to the drilling and 
sampling of the 5km long Katcha dyke that lies adjacent 
to the Droujba pipe. Although Katcha is very extensive in 
strike length, drilling only focussed on a 470m section 
near to the Droujba pipe and down to a depth of 150m. 
Bulk sampling was also conducted in this section and the 
sample was processed via the on-site 5tph DMS plant 
with diamond recovery by X-Ray Flowsort under secure 
conditions.
From this work a resource of 446,000 carats was obtained 
for a 470m section of Katcha to a depth of 150m, at a grade 
of 140cpht and diamond value of $57 per carat. Clearly if 
this resource grade was rolled out to the entire length of 
the Katcha kimberlite then a multi-million carat diamond 
resource base can be achieved.
Bulk sampling of the Droujba pipe was also undertaken to 
provide a larger parcel of diamonds for valuation. During 
this work, 1,477 carats were produced at an average 
diamond grade of 100cpht from the hypabyssal kimberlite. 
When combined with the previous bulk sampling results an 
average bulk sample grade of 88cpht was realised, which 
is significantly higher than the signed off resource grade of 
70cpht for the hypabyssal kimberlite. We therefore think 
that the actual grade of Droujba is higher than previously 
published. It should be noted that large stones of 67 and 
49 carats were produced during this work and although 
they were poor quality stones it does show the potential 
for large stones in the Droujba pipe.
Following on from the resource work, we appointed 
independent consulting group Paradigm Project 
Management (PPM) to conduct economic scoping studies 
at Tongo and Droujba. The objective was to determine 
preliminary economics of the deposits and allow Stellar 
the opportunity to prioritise one project into the feasibility 
study stage.
Droujba 5tph Process Plant
Droujba bulk sampling
Droujba Plant & Pipe
BUSINESS REVIEW
CEO’S STATEMENT
(CONTINUED) STELLAR DIAMONDS PLC       9
As you will read in the project sections of this report, the 
Tongo project at the current time demonstrates superior 
economics and a healthy NPV of $53million, which is why 
we recently announced the decision to push T ongo Dyke-1 
towards a full feasibility study. This programme, to include 
detailed drilling, bulk sampling and environmental/social 
impact studies, is expected to take 12 months to complete 
but at the end of this period we hope to be in a position 
to take a production decision. Whilst we focus our efforts 
on the Tongo project, Droujba will be placed on care and 
maintenance for the next year.
The Kono license dispute in unfortunately ongoing. Both 
diplomatic and legal approaches continue to be followed 
though this has not yet led to the reinstatement of the 
permits. Local (Sierra Leone) and International legal 
opinions clearly show that the licenses were illegally 
revoked by the Ministry of Mines in Sierra Leone and 
Stellar reserves the right to invoke international arbitration 
if diplomacy continues to be unsuccessful.
I continue to believe in a very good outlook for the 
diamond sector. Since the crisis in 2009, diamond 
prices have recovered strongly and although we have 
seen some volatility in prices this past year, the short 
term outlook is for stability and improvement in prices 
into 2014. Furthermore, although there are a number of 
mines due to enter production over the next five years, 
depletion of existing large mines continues as they go 
deeper and underground, so  this new production is likely 
to be more than offset by reduction in exiting production 
lines. With continued growth of middle class wealth in 
China and India, demand for diamond jewellery is set to 
show continued strong growth. Therefore, the forecast of 
demand far exceeding supply of rough diamonds remains 
in place and our strategy of being a significant diamond 
producer in a market of increasing rough prices is the right 
one.
Our continued project development in pursuit of becoming 
a producer would not be possible without the ongoing 
support of our shareholders. Through their continued 
support, Stellar has raised a total of £2.6million in new 
equity funding over the past 12 months. We welcomed a 
new significant shareholder during this process, Foradex 
Invest, which now holds a 13% interest in Stellar.
Finally, I once again extend my sincere gratitude to 
everyone involved in Stellar: from our shareholders 
for providing ongoing understanding and support, our 
Board of Directors who provide excellent guidance and 
governance and not least of all our management and 
staff for continuing to deliver on our milestones, year 
after year. I commend the ongoing dedication and work 
ethic of our teams under challenging economic and 
operational conditions. With our Tongo project now 
moving through the feasibility stage, I feel that the hard 
work and commitment is about to be rewarded with a 
positive production decision by the end of 2014.
KARL SMITHSON
Chief Executive Officer
BUSINESS REVIEW 10       ANNUAL REPORT & ACCOUNTS 2013
Australia 
2% 
Botswana 
24% 
Russia 
23% 
Canada 
16% 
South Africa 
8% 
Zimbabwe 
5% 
RoW 
22% 
Australia 
7% 
Botswana 
16% 
Russia 
27% 
Canada 
8% 
South Africa 
6% 
Zimbabwe 
10% 
RoW 
26% 
BUSINESS REVIEW
Annual rough diamond production in 2012 came in 
at 128 million carats, a slight increase on 2011 but still 
considerably lower than the peak production years of 
pre-2009 (circa. 170mcts).  It is unlikely that worldwide 
rough production will achieve those pre-crisis levels again 
in the short term, since there are no new major diamond 
discoveries and existing large mines are getting deeper 
or going underground, resulting in reduced production.  
However, Bain (2013) reports that 11 new mines generating 
18 million additional carats will come on stream by 2018, 
though this will be offset by the declining production from 
older mines.
The value of 2012 rough production was $12.6 billion, 
down from $14 billion in 2011 and reflecting a general 
weakening of rough diamond prices in that period.  
However, this is still some 50% higher than the levels 
seen in 2009 ($8.6 bn.) for a similar volume of rough 
production, demonstrating the strong rebound in prices 
since the crisis.
Although rough prices firmed up in early 2013 the latter 
part of the year saw a general weakening of prices 
due to tighter liquidity conditions of the buyers and 
manufacturers, as some diamond banks attempted to 
reduce exposure.  Furthermore, a weakening of the Indian 
rupee negatively impacted on the buying capacity of the 
Indian manufacturers and resulted in slower demand from 
one of the most important buying markets.  
Polished prices remained relatively stable in 2013, however 
the margins on polishing remain thin and have caused 
some De Beers sight holders not to defer some allocation 
of goods at a number of sights this year.  Near term rough 
polished prices are expected to remain weak though a 
general improvement is expected in 2014.
 Going forward, industry consultants Bain (2013) forecast 
a balanced diamond market over the next four years, but 
with a growing supply-demand gap in the longer-term 
(post 2018).  The group forecast supply growth at 2% per 
year, but this will be comfortably outstripped by demand 
growth of 5.1% to 2013 as Chinese and Indian middle 
classes continue to grow rapidly. In China, for example, 
Bain predicts that the middle class will triple by 2023 and 
rough diamond demand will therefore more than double 
positively impacting on diamond prices.
The medium to longer term outlook for rough diamond 
producers therefore remains very positive.
DIAMOND MARKET  
OUTLOOK
Source: Kimberley Process, 2013
PRODUCTION (MCTS) PRODUCTION VALUE ($M)
2004 2005 2006 2007 2008 2009 2010 2011 2012
Global Production (cts/m) 159 177 176 168 163 125 133 124 128
Value (US$ bn.) 10.2 11.6 12.1 12.1 12.7 8.6 12 14.4 12.6 STELLAR DIAMONDS PLC       11
BUSINESS REVIEW
CORPORATE SOCIAL 
RESPONSIBILIT Y  
Stellar continues to invest in its local communities 
within its area of operations, working closely with 
the local authorities and civic leaders towards 
identifying and executing specific development 
projects that can provide both immediate and long 
term benefit.
KANKAYLAY PRIMARY SCHOOL SUPPORT
Over the past 12 months the Tongo Project has continued 
to provide financial and material support to the local 
Kankaylay Primary School. Last year when the company 
started supporting the school, it had 87 pupils. This year 
the number has grown to 164.
Stellar also showed its commitment to supporting sport 
within the local communities by sponsoring soccer matches 
between the Villages, providing good quality soccer balls to 
the teams, and with sponsoring a team during the Sierra 
Leone 52nd Independence Day sports meeting.
Other areas where the company continued to provide 
assistance were with the upkeep of the roads in a 10km 
radius of the Project, supplying sand & stone to local 
villages for maintaining schools, churches & mosques 
and transport through to local hospitals for medical 
emergencies amongst others.
In Guinea, the Company continues to support the 
local community mostly by way of upgrading the rural 
infrastructure and specifically the access routes and roads 
using our earth moving equipment. During the year main 
road between Seredou and Bounoudou, amounting to 
some 50km of road was repaired and graded either side of 
the rainy season. In addition, the 9km track to the isolated 
village of Namouezou was upgraded thanks to our team 
allowing for ease of commerce and movement of people.
Class 1 - 2013
Classroom Materials for 2013
The new river crossing into Sanjama 
Handing over Soccer Balls 12       ANNUAL REPORT & ACCOUNTS 2013
BUSINESS REVIEW
Grading and repairing the local A local road newly upgraded by Stellar
Grading and repairing the local roads Project Geologist Abdoulaye Diallo with the thankful community of Namouezou STELLAR DIAMONDS PLC       13
DROUJBA KIMBERLITE PIPE & 
KATCHA KIMBERLITE DYKE
The Droujba project 
resource was 
increased by 20% from 
2.5 million carats to 3 
million carats, primarily 
through the addition of 
0.5 million carats from a 
short section of the 5km 
long Katcha dyke.  
A conceptual economic 
scoping study was 
completed on the upper part 
of the Droujba pipe which showed 
that under current diamond prices, 
a three year open pit mine producing 
over 300,000 carats would deliver 
profitable revenues of $15m. 
However, although the Droujba project 
has considerable upside potential at a 
higher diamond price it was decided to 
place the project under temporary care 
and maintenance whilst Tongo is advanced 
through the feasibility study stage.
RESOURCE DRILLING PROGRAMME
Stellar has focussed on drilling the Droujba pipe and 
adjacent Katcha kimberlite dyke over the past twelve 
months.  A total of 8,867m has been drilled in this 
programme and the Droujba pipe has been intersected 
as deep as 414m vertically below surface where the pipe 
remains open at depth.  Drilling of Katcha comprised 
seven holes along a 500m strike length of the dyke near 
to the Droujba pipe, the deepest intersection being 134m 
below surface.
The drilling has proven the depth extent of Droujba and 
the significant potential for the 5km long Katcha dyke to 
add considerable tonnage to the overall Droujba resource 
base.  Further drilling will be required along Katcha to 
confirm this.
BUSINESS REVIEW 14       ANNUAL REPORT & ACCOUNTS 2013
DROUJBA PIPE BULK SAMPLING AND DIAMOND VALUATION
A summary of the Phase-1 and 2 bulk sampling results at Droujba show that the average grade achieved is 89cpht (See 
Table).
Sample Number Dry Tonnes 
processed
Recovered +1mm dry grade 
(cpht)
Largest Stone 
(carats)
DBS-1-4 (Ph-1 average) 938.68 669.55 71.33 13.80
DBS-5 244.60 171.20 69.99 7.60
DBS-6 239.14 232.70 97.31 9.55
DBS-7 257.36 270.30 105.03 49.20 estimated
DBS-8 269.96 264.70 98.05 11.15
DBS-9 288.33 238.65 82.77 3.45
DBS-10 183.02 299.85 163.83 67.0 estimated
DBS5-10 (Ph-2 average) 1,482.41 1,477.40 99.66 67.0 estimated
Average Ph-1 and Ph-2 2,421.06 2,146.95 88.68 67.0 estimated
Although the updated surface bulk sample grade has increased from 71cpht to 88cpht, the Droujba pipe resource grade 
remained at 70cpht as modelled in March 2012 using spatially more representative microdiamond data that was available 
for the resource at depth. 
The previous diamond parcel of 506 carats and recent diamond parcel of 1,461 carats were valued by three independent 
diamond valuators in Antwerp in late 2012. The 506 carat parcel was valued at between $39 and $52 per carat whereas 
the 1,461 carat parcel was valued at between $24 and $46 per carat. The two parcels combined had a modelled value of 
between $30 and $45 per carat (average of $38 per carat). The lower average value as compared to March 2012 ($50/ct) 
is due to a weaker rough diamond market and paucity of larger gem stones in both parcels valued. 
KATCHA DYKE BULK SAMPLING AND DIAMOND VALUATION
Bulk sampling and drilling of a 475m section of the 5km long Katcha dyke was previously reported by Stellar at a grade 
of 161cpht.  However, this was not converted into a resource at the time of the last annual report and it was one of the 
stated objectives of the Company for this year. 
Using the Katcha microdiamond data and bulk sample results, CAE Mining modelled the diamond grade by plotting 
cumulative size distribution (log probability) and total diamond content curves. At a cut off of +1.0mm the in-situ 
modelled diamond grade for the kimberlite is calculated to be 140cpht. 
The 477 carat parcel of Katcha diamonds was valued by three independent valuators in Antwerp at between $35 and $65 
per carat, with a modelled value of between $40 and $55 per carat (average $47.5 per carat). 
REVISED RESOURCE STATEMENT
During this year, CAE Mining updated the Droujba resource statement to include 446,000 carats defined in the 475m 
section of Katcha utilising the bulk sampling and microdiamond data. The Company considers that the full 5,000m strike 
of Katcha could host a multi-million carat resource based on the resource generated from approximately one tenth of 
the kimberlite strike length.
Although the Phase-2 Droujba bulk sampling yielded a grade of 100cpht, which when combined with the Phase-1 results 
gave an average grade of 89cpht, CAE Mining still modelled the resource grade at 70cpht based on the microdiamond 
results.  
Therefore the overall Droujba/Katcha resource increased only 20% to just under 3 million carats (see Table).
BUSINESS REVIEW STELLAR DIAMONDS PLC       15
Droujba Kimberlite 
Pipe 
Depth (mamsl) Tonnes Grade (cpht) Carats
Hypabyssal 540 to 380 1,700,000 70 1,190,000
(30–190m depth)
Kimberlite breccia 540 to 380 240,000 35  84,000
Hypabyssal 350 to 170 1,400,000 70
(210–360m depth)
Kimberlite breccia 350 to 170 620,000 35 220,000
Total Droujba 3,960,000 63 2,474,000
Katcha Kimberlite 
Dyke
475m strike length To 150m depth 319,000 140 446,000
Total Droujba and 
Katcha
4,279,000 68 2,920,000
CONCEPTUAL ECONOMIC SCOPING STUDY
In early 2013 Stellar appointed independent consultants Paradigm Project Management (PPM) to conduct a conceptual 
economic scoping study.  
The scoping study undertaken by PPM focussed on the open pit potential of the Droujba pipe only. This approach was 
taken as based on the relatively small surface area and limited near surface tonnes. However, a large stripping ratio 
would be necessary to mine to any considerable depth, which, in the opinion of PPM, rendered the project uneconomic 
under current diamond prices.  
The economic scoping study from PPM, however, outlined a three year life of mine open pit opportunity at a 1:1 stripping 
ratio to mine over 313,000 carats utilising mainly existing plant and mining infrastructure at potentially economic 
margins. 
Utilising Stellar’s own infrastructure and for an additional capital cost of $3m, the mine could produce 400,000 tonnes of 
kimberlite and 400,000 tonnes of waste over three years, generating revenues of $15.4 million. 
CARE AND MAINTENANCE
Although a short term, profitable mining operation is indicated by the scoping study, Stellar decided to place the project 
under temporary care and maintenance and focus on its Tongo project.
It is clear that the relatively low diamond price at Droujba renders a larger scale mine uneconomic at current prices.  
However, as the diamond market continues to improve Stellar will revisit the economics of the Droujba mine and also 
look towards significantly increasing the project resource through further work on the extensive and high grade Katcha 
kimberlite.  
BUSINESS REVIEW STELLAR DIAMONDS PLC       16
TONGO
During the year, the Tongo JORC 
compliant inferred resource was 
increased from 660,000 carats 
to 1,074,000 carats (+63%).  
The resource grade was 
maintained at 120cpht 
with a modelled average 
diamond value of $248 
per carat, giving an in-situ value 
for the kimberlite ore of $297 per 
tonne.
Following on from the upgrade in 
resource, a conceptual economic scoping 
study was completed with positive results.  
A 17 year life of mine model was established 
showing diamond revenues of over $400 million 
and a NPV of $53 million.
The Tongo project has now been advanced to the 
feasibility stage and 2014 will see further detailed 
work being conducted with the objective of 
delivering a bankable feasibility study on which to 
base a production decision.
 
LICENCE TENURE 
EL48/2012 is currently in its second year of a five year exploration tenure.  The 
Company has the right to request a licence upgrade to a mining lease upon 
delivery of a feasibility study as provided for by the Mineral Act of 2009.
UPGRADED DIAMOND RESOURCE STATEMENT
Towards the end of 2012, Stellar received an updated JORC compliant 
inferred resource statement from CAE Mining.  This was based on extensive 
geological work which included:  
• 43 core holes drilled along the 2.5km long Dyke-1
• Holes drilled to intersect the kimberlite at a depths of 50m,   
 100m, 150m, 200m or 300m from surface
• Microdiamond results from 400kg of kimberlite collected   
 from near surface of Dyke-1
• Microdiamond results from 148.22kg kimberlite collected   
 from drill core at various depths and along strike    
 intersections of Dyke-1
• A 948.75 tonne kimberlite surface bulk sample collected   
 from a 60m long trench of Dyke-1 (+1mm grade of 121cpht)
• Valuation estimates of 1,143 carats of diamonds (+1.0mm)   
 recovered from the Dyke-1 bulk sample
• Bulk densities collected from numerous kimberlite and   
 country rock samples
BUSINESS REVIEW
Drilling at Tongo FINANCIAL STATEMENTS
17       ANNUAL REPORT & ACCOUNTS 2013
Using the Datamine Studio 3 
software all drilling information was 
collated, the volume of kimberlite 
calculated and a block model 
defined. Using a specific gravity of 
2.79g/cm3, the total revised inferred 
resource of 895,000 tonnes was 
calculated for Dyke-1 down to a 
depth of 300m from surface. The 
deepest drill intersection of the 
kimberlite resource was 347m 
below surface.
The diamond grade model was 
based on microdiamond data and 
bulk sample results. At a cut off of 
+1.0mm the modelled diamond 
grade was estimated at 120cpht 
(The bulk sampled grade was 
121cpht). 
The diamond value was modelled in March 2012 using the three exports that comprised the 1,143 carats produced 
from the bulk sampling. These diamond parcels were valued during 2011 and 2012 and the values were combined and 
modelled to simulate the likely diamond value in a full production parcel. At a cut off of +1.0mm the diamond value was 
modelled at between $225 and $270 per carat (mid-range of $248 per carat). 
A summary of the declared inferred resource is shown below:
Tongo Dyke-1 Maiden Resource (Mar-12) Upgraded Resource (Nov-12)
Tonnes 550,000 895,000
Grade (cpht) 120 120
Carats in resource 660,000 1,074,000
Diamond Value Lower (US$/ct) 225 225
Diamond Value Mid (US$/ct) 247.5 247.5
Diamond Value Upper (US$/ct) 270 270
$ per tonne in-situ at average $247.5/ct Value 297 297
DYKE-1 GEOLOGICAL MODEL
A robust three dimensional 
wire frame geological model 
has been derived from the 
drilling which was used 
to calculate the volume 
and tonnage of kimberlite 
available for the portion of 
Dyke-1 drilled. The Figure 
below shows a summary of 
the geological model. From 
this it was calculated that 
895,000 tonnes of kimberlite 
is contained along a 1.9km 
strike of Dyke-1 to a depth of 
300m below surface.
BUSINESS REVIEW 18       ANNUAL REPORT & ACCOUNTS 2013
BUSINESS REVIEW
DYKE-1 CONCEPTUAL ECONOMIC SCOPING STUDY
In early 2013 Stellar engaged Paradigm Project Management (PPM) to conduct an economic scoping study on the 1 
million carat Dyke-1 diamond resource.
The scoping study by PPM focussed on approximately 682,000 carats 
of the Dyke-1 resource, to a depth of 300m from surface over an 
initial 13 year life of mine.  PPM initially propose a decline access to 
provide early access to production ore, which would then be followed 
by the sinking of a shaft to 300 metres to gain access to ore on levels 
approximately 40m apart. PPM has estimated that the life of mine 
capital requirement at Tongo would be $21.42 million with the life of 
mine operating costs estimated at $84 per tonne. 
PPM has estimated in their report that the aggregate life of mine gross 
revenues from Tongo would be $169.2 million with a net present value 
attributable to Tongo (assuming a discount rate of 10 per cent,) of 
$16.2 million.  The 13 year life of mine model undertaken by PPM was 
not inflated for cost or diamond prices.
Stellar has used the base case model produced by PPM and increased the 
life of mine to 17 years to achieve mining of approximately 1,051,000 carats 
of the existing inferred resource, which the Directors believe is achievable 
at Tongo.  In addition, a 4.5 per cent. nominal price inflation to operating 
costs and diamond prices for the 17 year life of mine has been applied to 
the model.  Applying these assumptions to the PPM analysis provides life 
of mine gross revenues of approximately $412.7 million and a net present 
value attributable to Tongo (assuming a discount rate of 10 per cent.) of 
$53.1million. 
A comparison of the PPM model and the Director’s model is shown below:
Tongo Dyke-1 PPM Model (non-inflated) Director’s model 
(Costs and Diamond prices inflated at 4.5% p.a)
Life of mine (years) 13 17
Tonnes mined 1,131,558 1,738,000
Carats recovered 682,338 1,051,000
Starting diamond price ($/ct) 248 248
Life of mine capital costs ($m) 21.42 30.27
Life of mine cost per tonne ($) 84 122
Life of mine gross revenues ($m) 169.22 412.69
Life of mine net cash inflows ($m) 52.5 170.0
Net Present Value (at 10% discount rate) ($m) 16.2 53.1
IRR pre-tax 23% 32%
Following completion of the economic scoping study on Dyke-1, the Company decided to prioritise the development of the Tongo 
project and advance Dyke-1 to the feasibility stage of development during 2014.
FUTURE WORK AND ADDITIONAL RESOURCE POTENTIAL
The 1,074,000 carat resource of Dyke-1 is being advanced through the feasibility stage.  This will include further detailed 
drilling to bring the resource from inferred to indicated category, as well as additional bulk sampling to obtain a 2,000 carat 
diamond parcel for further diamond value modelling. 
There is additional resource potential from Dyke-1 and other kimberlites in the licence area, as follows:
• Deeper drilling of Dyke-1, to depths of up to 700m in line with kimberlite dykes mined in South Africa.
• Resource drilling of Dyke-4, which has a bulk sampled grade of 109cpht and an average diamond value of $140  
 per carat, giving an in-situ value of $154 per tonne.  An initial 500,000 carat resource will be targeted from Dyke-4.
• Drilling of the 800m long Dyke-2 located 200m to the north of Dyke-1. A 200kg microdiamond sample   
 previously collected by Stellar yielded 345 diamonds, which gave a modelled diamond grade of 140cpht at  
 +1mm recovery. 
• Drilling of Dyke-3 located 500m to the northwest of Dyke-1.  A 200kg microdiamond sample previously   
 collected by Stellar yielded 756 diamonds, which gave a modelled diamond grade of 185cpht at a +1mm recovery. 19       ANNUAL REPORT & ACCOUNTS 2013
MANDALA
Between 2009 and 2011 Stellar produced 128,000 carats 
at an average grade of 33cpht at Mandala and diamond 
value of $31 per carat, generating $4m in revenues. 
The project yielded a number of gem quality diamonds, 
including a fancy yellow stone of 37 carats that was 
valued at $150,000. The overall low average price 
realised reflected the prevailing weak rough diamond 
market at the time and the lower quality smaller stones. 
The mine was therefore placed on temporary care and 
maintenance in 2011, pending an improvement in the 
market conditions and outlook.
Volume (m3) Tonnes Carats Grade (ct/
m3)
Grade (cpht) 
+ 1.8mm
Sales
US$ m
Average
Value
($/ct)
Total 227,479 409,463 127,989 0.56 33 4 31
REVISED MANDALA DIAMOND 
RESOURCE
Stellar is currently considering funding 
options at the project level to re-open 
the Mandala mine. An independent 
resource (not in accordance with 
the JORC code) for the mine has 
been calculated at approximately 
135,000 carats. The majority of this 
diamond resource is located within 
the N’Keleyani river valley where 
previous mining by Stellar yielded 
average diamond grades of over 
50cpht and up to 100cpht in some 
areas.  Based on potential extensions 
to these diamondiferous gravel 
horizons, Stellar is targeting a resource 
of approximately 200,000 carats at 
Mandala.
BUSINESS REVIEW 20       ANNUAL REPORT & ACCOUNTS 2013
GOVERNANCE
BOARD OF 
DIRECTORS
LORD DARESBURY  NON-EXECUTIVE CHAIRMAN
Peter Daresbury has held numerous executive positions, including CEO 
from 1997 to 2000 of the Greenalls Group, which had an annual turnover 
of £983 million and a FTSE 100 market capitalisation of £1.7 billion. In 2000, 
the company was re-named The De Vere Group plc, and Peter Daresbury 
became Non-Executive Chairman until he stood down in 2006. Peter 
Daresbury has also served as Non-Executive Chairman of Kazakhgold Group 
Ltd from 2005 to 2007 and Executive Chairman of Highland Gold from 2002 
to 2004. Peter is currently Chairman of AIM quoted Nasstar plc, Aintree 
Racecourse Company Ltd, Mallett plc and North West Business Finance Ltd, a 
new Private Venture Capital and Loan Fund (VCLF) for the Northwest. Current 
directorships include Bespoke Hotels Ltd, Rusant Ltd and in addition, since 
2005, Peter has been a member of the Fleming Family and Partners Private 
Equity Investment Committee.
KARL SMITHSON  CHIEF EXECUTIVE OFFICER
Karl Smithson was appointed as Stellar’s Chief Executive Officer with effect 
from 1 January 2007, having built the portfolio of Stellar’s assets within Mano 
River Resources since 2000. He led the listing of Stellar on AIM through a 
reverse takeover of West African Diamonds and has over the years successfully 
raised over £25 million in equity funding for Stellar. 
Karl has 24 years of resource sector experience gained with a number of 
companies in senior management positions, including De Beers (10 years), 
SouthernEra Diamonds (2 years) and Mano River/Stellar (11 years). Karl’s 
working career has been focussed on diamond exploration and development 
in Africa and he has been responsible for a number of new diamond discoveries 
in Botswana, Zimbabwe, Sierra Leone and Liberia. Karl is a geology graduate 
of Kingston University in the UK. He completed his MBA with distinction in 
2006 at the Graduate School of Business in Cape Town, South Africa and was 
awarded with the Old Mutual Gold Medal. 
JAMES CAMPBELL  NON-EXECUTIVE DIRECTOR
James Campbell is currently Chief Executive Officer and President of 
Rockwell Diamonds Inc. Prior to this he was Vice President - New Business 
for Lucara Diamond Corp, following Lucara’s acquisition of African Diamonds 
plc, where he was Managing Director for four years.
Preceding this, James was with De Beers for over twenty years, culminating 
in being General Manager responsible for advanced exploration and resource 
delivery in the Global Mining and Exploration group. During his career with 
De Beers he also led a number of diamond exploration and evaluation 
programmes and small-scale mine development as well as being involved 
in corporate and strategic management and being Nicky Oppenheimer’s 
Personal Assistant. 
James holds a degree in Mining & Exploration Geology from the Royal School 
of Mines (Imperial College, London University) and an MBA with distinction 
from Durham University. James is a Fellow of the Institute of Mining, 
Metallurgy & Materials, Chartered Engineer (UK), Chartered Scientist (UK), a 
Professional Natural Scientist (RSA) and a member of the Institute of Directors 
of South Africa. He is also a director of Bugeco sa, and Swala Resources plc. STELLAR DIAMONDS PLC       21
GOVERNANCE
LUIS DA SILVA  NON-EXECUTIVE DIRECTOR
Luis is CEO of TSXV/AIM listed Afferro Mining Inc (TSXV/LSE: AFF), an iron 
ore explorer/developer in Liberia and Cameroon. He gained his extensive 
international experience with multinationals Lafarge S.A. and Blue Circle 
Industries Plc before joining the current Company in 2007. Luis is a graduate 
Mining Engineer from Camborne School of Mines and read for his MBA at the 
Cranfield School of Management. Additionally, Luis serves as a Non-Executive 
Director of Aureus Mining Inc. (TSX/LSE: AUE), a gold development company 
in west Africa born out of the African Aura split in April 2011.
STEVEN POULTON  NON-EXECUTIVE DIRECTOR
Steven Poulton holds an Honours degree in Geology from the University 
of Southampton (1997) and a Masters degree in Mining Geology from the 
Camborne School of Mines (1998). He is the Chief Executive and co-founder 
(2007) of Altus Strategies Ltd, a private natural resource company and a 
director of its subsidiaries Altus Capital Ltd (the investment manager of Altus 
Resource Capital Ltd [LSE:ARCL]), Arabian Gold Corporation plc, Aluvance 
plc and Altau Gold plc. Steven was a co-founder and director of African Aura 
Mining Inc, which in 2011 de-merged its assets to create Aureus Mining Inc 
[AIM / TSX: AUE] and Afferro Mining Inc [AIM / TSX-V: AFF]. Steven is a fellow 
of the Geological Society of London and a fellow of the Institute of Materials, 
Minerals and Mining.
DR MARKUS ELSÄSSER  NON-EXECUTIVE DIRECTOR
Dr Elsässer is a German financier and investor in the mineral resources 
industry. He is Head of the Elsässer family office ‘M. Elsässer & Cie AG 1971′ 
in Dusseldorf, Germany. He is a Non-Executive Board member of Arctic Gold 
AB, an exploration and mine development company listed in Sweden, Kopy 
Goldfields AB, Stockholm/Sweden, an exploration company (gold) listed 
on the NASDAQ OMX First North in Stockholm/Sweden, Impact Minerals 
Limited, an exploration company listed on the ASX, and of Stellar Resources 
Limited , a Tin Exploration company listed on the ASX in Australia. Dr Elsässer 
was previously a Director of Finance at the Dow Chemical Company in 
Germany and he has extensive general management experience with former 
appointments in Australia and Singapore in the chemical and food industries. 
Dr Elsässer has a degree and PhD in Business Administration from Cologne 
University, Germany. 22       ANNUAL REPORT & ACCOUNTS 2013
KEY
MANAGEMENT
ROWAN CARR  CHIEF OPERATIONS OFFICER
Rowan graduated with a Masters in Mineral Exploration from Imperial College London 
and has 25 years of diamond industry experience throughout Africa. He spent 20 
years working for De Beers in senior management positions heading up exploration 
efforts in Botswana, South Africa, Angola, DR Congo, Guinea and the Central African 
Republic. Rowan joined Stellar in 2007 and has been at the forefront of project 
exploration and development on the ground and has overseen the successful delivery 
of Maiden Resource statements for Droujba and Tongo.
PHILIP KNOWLES  CHIEF FINANCIAL OFFICER
Philip joined Stellar in June 2011. He is a qualified accountant having gained 
membership to the ACCA in 2004 and holds a BA (Hons) in Accounting and Finance 
from Exeter University. Philip has over 10 years of accountancy experience working 
for a wide range of businesses while in practice and most recently was Group 
Financial Controller for Firestone Diamonds plc and for Kopane Diamonds plc, prior 
to Firestone’s takeover of Kopane, and brings with him strong experience of working 
for growing diamond mining companies. Philip is based in our London office but 
travels regularly to the company’s assets in Guinea and Sierra Leone.
ALKALY YANSANE  COUNTRY REPRESENTATIVE, GUINEA
Alkaly Yansane is a Guinean national with a USA university degree in geology. He was 
the Director of the CPDM in Conakry for a number of years, responsible for many 
aspects of the mineral sector. Yansane has also worked for 17 years in the private 
sector of the exploration and mining industry with Rio Tinto, West African Diamonds 
and now Stellar Diamonds, where he holds the position of Company representative 
in Conakry.
KASSIM MANSARAY  SENIOR GEOLOGIST, SIERRA LEONE
Kassim is a qualified geologist with a Masters from Moscow, Russia. Kassim has over 
30 years of industrial experience, having started work in the Geological Survey of 
Sierra Leone and working on a number of project evaluations in the country. He 
brings a vast wealth of multi-commodity experience having worked in Sierra Leone, 
Liberia, Guinea, Gabon and the Central African Republic, having spent the past 16 
years with the Mano River-Stellar Diamonds group of companies.
GOVERNANCE STELLAR DIAMONDS PLC       23
GRAHAM RADBURND  TONGO PROJECT MANAGER
Graham’s early career was focused in the civil construction sector in Africa and 
the Middle East. He also brings 14 years of diamond industry experience in both 
production and management roles in Angola, DR Congo, Russia, Guinea and Sierra 
Leone. Graham has been managing a number of Stellar’s mining and development 
projects since joining the Company in 2008 and is currently Project Manager for 
Tongo..
FODÉ CAMARA  ADMINISTRATION MANAGER
Fodé is a Guinean national with a degree in geology from the University of Conakry. 
He has 16 years diamond industry experience, 12 of which was with De Beers in 
senior positions in Guinea, South Africa, Botswana, Zimbabwe, Madagascar, Gabon 
and DR Congo. Fodé joined Stellar in 2008 becoming Mandala Project Manager by 
2010. Currently he coordinates Stellar’s activities in Guinea from our Conakry office.
ABDOULAYE DIALLO  SENIOR GEOLOGIST, DROUJBA PROJECT
Abdulaye is a Guinean national with a degree in mining geology from the University 
of Boke. After an early career in construction he joined Mano River Resources as 
project geologist exploring for gold and diamonds in Guinea, Sierra Leone and 
Liberia. Abdulaye continued this work with Stellar Diamonds from 2007 and is 
currently responsible for the geological evaluation and resource estimation activities 
for the Droujba project.
SULAIMAN SWARAY  SENIOR GEOLOGIST, TONGO PROJECT
Sulaiman is a Sierra Leone national with a degree in Geology from Fourah Bay 
University in Freetown. After two years in the National Statistics Office he joined 
Stellar in 2004 and was project geologist in a regional diamond exploration joint 
venture with BHP Billiton. This led to the discovery and development of the Tongo 
kimberlites where Sulaiman is now project geologist for the resource estimation 
programme.
EDWIN CASTELLO  CHIEF METALLURGIST
Edwin joined Stellar Diamonds in May 2009 as Process Plant Supervisor to the 
Mandala alluvial diamond mining operation. Having worked previously in the 
Philippines, Indonesia, Singapore, Angola and the DRC, Edwin brings with him 
over 16 years of technical & Process experience; the latter years being within the 
diamond sector in Africa. With his in-depth knowledge of DMS and Flowsort, Edwin 
has recently been instrumental in the efficient treatment of multiple bulk samples 
through both the Tongo and Droujba sample processing plants.
GOVERNANCE 24       ANNUAL REPORT & ACCOUNTS 2013
GOING CONCERN
Information in relation to going concern is disclosed in note 1.2 of the 
financial statements. 
CHARITABLE AND POLITICAL CONTRIBUTIONS
The Group made no political or charitable contributions during the 
year.
DIRECTORS
During the year under review, the following directors held office:
* Appointed to the Board on 22 November 2012
On 25 June 2013 Narjess Naouar resigned as Company Secretary and 
Philip Knowles was appointed as Company Secretary.
DIRECTORS’ INTERESTS
The directors’ interests in the ordinary shares of the Company as of 30 
June 2013 are disclosed in note 17 of the Financial Statements.  
SUBSTANTIAL SHAREHOLDINGS
At 23 October 2013 so far as the Company is aware, the only holdings 
of 3% or more in the issued share capital are:
Foradex Invest SRL 13.18%
UBS Deutschland 13.01%
Nassim Funds 8.96%
Aureus Mining Inc 6.25%
Hottinger (Adam & Co) 5.00%
Blackrock Investment Management (UK) Limited 3.93%
Barclayshare Stockbrokers Limited 3.93%
RISKS AND UNCERTAINTIES
The realisation of exploration and evaluation assets is dependent on 
the discovery and successful development of economic reserves 
including the ability to raise finance to develop future projects. Should 
this prove unsuccessful, the value included in the balance sheet would 
be written off to the statement of comprehensive income. Significant 
potential risks to the value included in the balance sheet include:
The directors submit their report and the 
consolidated financial statements for Stellar 
Diamonds plc (the “Company” or “Stellar” or 
on a consolidated basis the “Group”), for the 
year ended 30 June 2013.  
PRINCIPAL ACTIVITIES, BUSINESS REVIEW 
AND FUTURE DEVELOPMENTS
The principal activity of the Company is 
that of diamond development in West 
Africa..
No dividends have been paid or are proposed 
for the year (2012: nil). 
A review of the significant developments and 
operating results of the Group, as well as the 
business environment, future prospects and 
the main trends and factors that are likely to 
affect the future development, performance 
and position of the Group’s business are 
contained in the Chairman’s Statement.
KEY PERFORMANCE INDICATORS
Given the early stage nature of the Group’s 
kimberlite portfolio, the directors are of the 
opinion that analysis using financial KPIs 
is not appropriate for an understanding of 
the development, performance or position 
of the business at this time.
However, the directors constantly review 
the planned exploration and evaluation 
expenditure and general operating costs 
to ensure that cash resources are available 
prior to commitment to this expenditure.
In addition to the above, the Board also 
considers non-financial factors such as 
the Group’s compliance with Corporate 
Governance Guidelines for AIM Companies 
and compliance with environmental, 
rehabilitation and other legislation within the 
Group’s areas of operations.
SHARE CAPITAL
On 24 October 2012 a total of 10,828,750 
ordinary shares of 1p each were allotted and 
issued for gross proceeds of $553,961.
On 5 February 2013 a total of 41,960,640 
ordinary shares of 1p each were allotted and 
issued for gross proceeds of $1,743,771.
DIRECTORS’ REPORT
LORD DARESBURY
Non-Executive Chairman
N. KARL SMITHSON 
Chief Executive Officer
JAMES CAMPBELL 
Non-Executive Director
LUIS GUILHERME CABRITA DA SILVA
Non-Executive Director
STEVEN J. POULTON 
Non-Executive Director
DR. MARKUS ELSASSER *
Non-Executive Director
GOVERNANCE STELLAR DIAMONDS PLC       25
• foreign investment risks including increases in taxes, 
royalties and renegotiation of contracts;
• liquidity risks;
• funding risks;
• going concern; and
• operational and environmental risks.
• price fluctuations;
• foreign exchange risks;
• uncertainties over development and operational 
costs;
• political and legal risks, including arrangements 
with governments for licenses, profit sharing and 
taxation;
SUPPLIER PAYMENT POLICY
The Group’s policy is to settle terms of payment with suppliers when agreeing the terms of each transaction, ensure that 
suppliers are made aware of the terms of payment and abide by the terms of payment.  Trade creditors of the Group at 30 
June 2013 were equivalent to 20 (2012: 20) days purchases.
PROPERTY PLANT AND EQUIPMENT
Details of the Group’s property, plant and equipment is set out in Note 11 to the Financial Statements. 
EMPLOYEE CONSULTATION
The Group places considerable value on the involvement of its employees and has continued to keep them informed on 
matters affecting them as employees and on the various factors affecting the performance of the Group. This is achieved 
through formal and informal meetings. 
FINANCIAL RISK MANAGEMENT
Details of the Group’s financial risk management policies are set out in Note 18 to the Financial Statements.
CORPORATE SOCIAL RESPONSIBILITY
The Group is subject to best practice standards and extensive regulations, which govern environmental protection. The 
Group is committed to uphold these standards and regulations as a minimum and to keep these important matters under 
continuous review. When appropriate, adequate action and provision is immediately taken to ensure full compliance with 
the standards expected of an international exploration and development company.
In particular, the Group aims to provide employees with a healthy and safe working environment whilst receiving payment 
that enables them to maintain a reasonable lifestyle for themselves and their families.
The Group works towards positive and constructive relationships with government, neighbours and the public, ensuring 
fair treatment of those affected by the Group’s operations. 
SUBSEQUENT EVENTS
Details of significant post balance sheet events affecting the Group and Company are set out in Note 19 to the Financial 
Statements. 
AUDITORS
Each of the persons who is a director at the date of approval of this report confirms that:
1. so far as the director is aware, there is no relevant audit information of which the company’s auditors are unaware; and
2. the director has taken all the steps that he/she ought to have taken as a director in order to make himself/herself  
  aware of any relevant audit information and to establish that the company’s auditors are aware of that information.
This confirmation is given and should be interpreted in accordance with the provisions of s418 of the Companies Act, 
2006.
A resolution to reappoint Deloitte & Touche will be proposed at the forthcoming Annual General Meeting.
Approved by the Board on 21st November 2013 and signed on its behalf by:
N. KARL SMITHSON LORD DARESBURY
GOVERNANCE 26       ANNUAL REPORT & ACCOUNTS 2013
STATEMENT OF 
DIRECTORS’ 
RESPONSIBILITIES 
The directors are responsible for preparing the Annual Report and the financial statements in accordance with applicable 
law and regulations.
Company Law requires the directors to prepare financial statements for each financial year. The directors are required to 
prepare the financial statements in accordance with International Financial Reporting Standards (IFRSs) as adopted by the 
European Union. Under company law the directors must not approve the financial statements unless they are satisfied that 
they give a true and fair view of the state of affairs of the company and of the profit or loss of the company for that period. 
In preparing these financial statements, International Accounting Standard 1 requires that directors:
• properly select and apply accounting policies;
• present information, including accounting policies in a manner that provides relevant, reliable, comparable and 
understandable information;
• provide additional disclosures when compliance with the specific requirements in IFRSs are insufficient to enable 
users to understand the impact of particular transactions, other events and conditions on the entity’s financial 
position and financial performance; and
• make an assessment of the company’s ability to continue as a going concern.
The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the 
company’s transactions and disclose with reasonable accuracy at any time the financial position of the company and 
enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for 
safeguarding the assets of the company and hence for taking reasonable steps for the prevention and detection of fraud 
and other irregularities.
The directors are responsible for the maintenance and integrity of the corporate and financial information included on the 
company’s website. Legislation in the United Kingdom governing the preparation and dissemination of financial statements 
may differ from legislation in other jurisdictions.
GOVERNANCE FINANCIAL STATEMENTS
STELLAR DIAMONDS PLC       27
INDEPENDENT AUDITOR’S 
REPORT TO THE 
SHAREHOLDERS OF 
STELLAR DIAMONDS PLC 
We have audited the financial statements of Stellar Diamonds plc for the year ended 30 June 2013 which comprise 
the Consolidated Statement of Comprehensive Income, Consolidated and Company Statement of Financial Position, 
Consolidated Statement of Changes in Equity, Company Statement of Changes in Equity, Consolidated and Company 
Statement of Cash Flows and the related notes 1 to 19.  The financial reporting framework that has been applied in their 
preparation is applicable law and International Financial Reporting Standards (IFRSs) as adopted by the European Union 
and, as regards the parent company financial statements, as applied in accordance with the provisions of the Companies 
Act 2006.
This report is made solely to the company’s members, as a body, in accordance with Chapter 3 of Part 16 of the 
Companies Act 2006.  Our audit work has been undertaken so that we might state to the company’s members those 
matters we are required to state to them in an auditor’s report and for no other purpose.  To the fullest extent permitted 
by law, we do not accept or assume responsibility to anyone other than the company and the company’s members as a 
body, for our audit work, for this report, or for the opinions we have formed.
RESPECTIVE RESPONSIBILITIES OF DIRECTORS AND AUDITORS
As explained more fully in the Statement of Directors’ Responsibilities, the directors are responsible for the preparation 
of the financial statements and for being satisfied that they give a true and fair view.  Our responsibility is to audit 
and express an opinion on the financial statements in accordance with applicable law and International Standards on 
Auditing (UK and Ireland).  Those standards require us to comply with the Auditing Practices Board’s Ethical Standards for 
Auditors.
SCOPE OF THE AUDIT OF THE FINANCIAL STATEMENTS
An audit involves obtaining evidence about the amounts and disclosures in the financial statements sufficient to give 
reasonable assurance that the financial statements are free from material misstatement, whether caused by fraud or error.  
This includes an assessment of: whether the accounting policies are appropriate to the group’s and the parent company’s 
circumstances and have been consistently applied and adequately disclosed; the reasonableness of significant accounting 
estimates made by the directors; and the overall presentation of the financial statements.  In addition, we read all the 
financial and non-financial information in the Reports and Financial Statements for the year ended 30 June 2013 to 
identify material inconsistencies with the audited financial statements.  If we become aware of any apparent material 
misstatements or inconsistencies we consider the implications for our report.
OPINION ON FINANCIAL STATEMENTS
In our opinion:
• the financial statements give a true and fair view of the state of the group’s and of the parent company’s affairs as at 
30 June 2013 and of the group’s loss for the year then ended;
• the group financial statements have been properly prepared in accordance with IFRSs as adopted by the European 
Union;
• the parent company financial statements have been properly prepared in accordance with IFRSs as adopted by the 
European Union and as applied in accordance with the provisions of the Companies Act 2006; and
• the financial statements have been prepared in accordance with the requirements of the Companies Act 2006. FINANCIAL STATEMENTS
28       ANNUAL REPORT & ACCOUNTS 2013
EMPHASIS OF MATTER
In forming our opinion on the financial statements, which is not modified, we have considered the adequacy of the 
disclosure made in:
• Notes 8, 9, 11 and 12 to the financial statements concerning the valuation of intangible and tangible assets, the 
recoverability of amounts due from subsidiaries and the recoverability of investments in subsidiaries. The realisation 
of intangible assets of $13,663,445  and property, plant and equipment of $3,278,294 included in the consolidated 
statement of financial position and intangible assets of $1,302,561, investment in subsidiaries of $4,157,484 
and amounts due from subsidiaries of $11,083,731 included in the company statement of financial position are 
dependent on a satisfactory outcome to the licence dispute disclosed in Note 8 and on the discovery and successful 
development of economic mineral reserves which are subject to a number of uncertainties including the group’s 
ability to raise sufficient finance to develop the projects. The financial statements do not contain any adjustments 
relating to these uncertainties and the ultimate outcome cannot, at present, be determined. 
• Note 1.2 to the financial statements concerning the group’s ability to continue as a going concern. The group 
incurred a loss for the year of $4,998,492 and had net current liabilities of $512,111 at the balance sheet date. This 
indicates the existence of a material uncertainty which may cast significant doubt on the ability of the company 
and the group to continue as a going concern. The going concern assumption of the group is dependent on the 
group obtaining additional finance to meet its working capital needs for a period of not less than 12 months after 
the date of approval of the financial statements.  On the basis that additional finance can be obtained, the directors 
have prepared the financial statements of the group on the basis that the group is a going concern. The financial 
statements do not include any adjustments to the carrying amount or classification of assets and liabilities that would 
occur if the group or company was unable to continue as a going concern.
SEPARATE OPINION IN RELATION TO IFRSS AS ISSUED BY THE IASB
As explained in note 1 to the group financial statements, the group in addition to complying with its legal obligation to 
apply IFRSs as adopted by the European Union, has also applied IFRSs as issued by the International Accounting Standards 
Board (IASB).
In our opinion the group financial statements comply with IFRSs as issued by the IASB.
OPINION ON OTHER MATTER PRESCRIBED BY THE COMPANIES ACT, 2006
In our opinion the information given in the Directors’ Report for the financial year for which the financial statements are 
prepared is consistent with the financial statements.
MATTERS ON WHICH WE ARE REQUIRED TO REPORT BY EXCEPTION
We have nothing to report in respect of the following matters where the Companies Act, 2006 requires us to report to you 
if, in our opinion:
• adequate accounting records have not been kept by the parent company, or returns adequate for our audit have not 
been received from branches not visited by us; or
• the parent company financial statements are not in agreement with the accounting records and returns; or
• certain disclosures of directors’ remuneration specified by law are not made; or
• we have not received all the information and explanations we require for our audit.
INDEPENDENT AUDITOR’S REPORT 
TO THE SHAREHOLDERS OF STELLAR 
DIAMONDS PLC (CONTINUED) 
KEVIN SHEEHAN
Senior Statutory Auditor
for and on behalf of Deloitte & Touche
Chartered Accountants and Statutory Auditors 
Deloitte & Touche House
Earlsfort Terrace, Dublin 2, Ireland
21 NOVEMBER 2013 FINANCIAL STATEMENTS
STELLAR DIAMONDS PLC       29
CONSOLIDATED STATEMENT 
OF COMPREHENSIVE INCOME 
FOR THE YEAR ENDED 
30 JUNE 2013 
(STATED IN U.S. DOLLARS)
Notes
Year ended 
30 June 2013
 Year ended 
30 June 2012
Revenue   
3 - 370,099
Cost of sales  - (1,274,256)
Gross loss  - (904,157)
Impairment of property, plant and equipment     11 - (1,367,495)
Impairment of intangibles 8 (2,000,000) -
Administrative expenses (2,998,492) (3,124,975)
(4,998,492) (4,492,470)
Loss before tax   (4,998,492) (5,396,627)
Income tax expense 6 - -
Loss after tax attributable to equity holders of the parent
4 (4,998,492) (5,396,627)
Total comprehensive income for the year/ period attributable 
to equity holders of the parent (4,998,492) (5,396,627)
Weighted average number of shares 307,884,858 224,100,028
Basic and diluted loss per share 7 (0.02) (0.02) FINANCIAL STATEMENTS
30       ANNUAL REPORT & ACCOUNTS 2013
CONSOLIDATED AND COMPANY 
STATEMENT OF FINANCIAL 
POSITION AS AT 30 JUNE 2013
(STATED IN U.S. DOLLARS)
Company
Notes 30 June 2013 30 June 2012 30 June 2013 30 June 2012
Assets
Non-current assets
Intangible Assets 8 13,663,445 12,586,069 1,302,561 1,302,561
Property, plant and 
equipment 11 3,278,294 4,599,881 - -
Investment in Subsidiary 9 - - 4,157,484 4,157,484
Total non-current assets 
 16,941,739 17,185,950 5,460,045 5,460,045
Current assets
Trade and other receivables 12 37,506 501,861 11,104,479 12,409,377
Cash and cash equivalents 
 60,669 1,537,211 531 9,570
Total current assets 
 98,175 2,039,072 11,105,010 12,418,947
Total assets  17,039,914 19,225,022 16,565,055 17,878,992
Equity and liabilities
Capital and reserves
Share capital 13 19,051,534 18,220,394 19,051,534 18,220,394
Share premium 13 28,457,522 27,018,776 28,457,522 27,018,776
Reverse acquisition reserve 2 17,073,279 17,073,279 - -
Share option reserve 14 4,423,538 4,177,000 2,089,620 1,843,082
Foreign currency translation reserve - - (773,363) (773,363)
Accumulated loss  (52,680,614) (47,744,789) (32,500,055) (28,564,229)
Total equity  16,325,259 18,744,660 16,325,258 17,744,660
Non-current liabilities
Provision 15 104,369 104,369 - -
Total non-current liabilities 
  104,369 104,369 - -
Current liabilities
Trade and other payables 16 610,286 375,993 239,797 134,332
Total current liabilities  610,286 375,993 239,797 134,332
Total liabilities  714,655 480,362 239,797 134,332
Total equity and liabilities  17,039,914 19,225,022 16,565,055 17,878,992
The financial statements of Stellar Diamonds plc, registered number: 5424214 were approved by the Board of Directors and authorised 
for issue on 21st November 2013. They were signed on its behalf by:
N. KARL SMITHSON LORD DARESBURY
Consolidated FINANCIAL STATEMENTS
STELLAR DIAMONDS PLC       31
CONSOLIDATED AND COMPANY 
STATEMENT OF CHANGES IN 
EQUITY FOR THE YEAR ENDED 
30 JUNE 2013 
(STATED IN U.S. DOLLARS)
CONSOLIDATED 
Share
 capital
(note 13)
Share
 premium
(note 13)
Warrant
 reserve
Share 
option
reserve
(note 14)
Reverse 
acquisition
reserve
(note 2)
Accumulated 
loss Total equity
Balance at 30 June 2011 
17,161,566 25,055,393 155,235 4,177,000 17,073,279 (42,503,397) 21,119,076
Total comprehensive income for 
the year - - - - - (5,396,627) (5,396,627)
Issue of placing shares (note 13) 1,058,828 2,117,655 - - - - 3,176,483
Share issue costs 
(note 13) - (154,272) - - - - (154,272)
Warrants expired 
- - (155,235) - - 155,235 -
Balance at 30 June 2012 18,220,394 27,018,776 - 4,177,000 17,073,279 (47,744,789) 18,744,660
Total comprehensive income for 
the year - - - - - (4,998,492) (4,998,492)
Issue of placing shares (note 13) 831,140 1,466,592 - - - - 2,297,732
Share issue costs 
(note 13) - (27,846) - - - - (27,846)
Share options issued (note 14) - - - 309,205 - - 309,205
Share options expired 
(note 14) - - - (62,667) - 62,667 -
Balance as at 30 June 2013 19,051,534 28,457,522 - 4,423,538 17,073,279 (52,680,614) 16,325,259
COMPANY 
Share
 capital
(note 13)
Share
 premium
(note 13)
Warrant
 reserve
Share 
option
reserve
(note 14)
Reverse 
acquisition
reserve
(note 2)
Accumulated 
loss Total equity
Balance at 30 June 2011 
17,161,566 25,055,393 155,235 1,843,082 (773,363) (22,322,837) 21,119,076
Total comprehensive income for 
the year - - - - - (6,396,627) (6,396,627)
Issue of placing shares (note 13) 1,058,828 2,117,655 - - - - 3,176,483
Share issue costs 
(note 13) - (154,272) - - - - (154,272)
Warrants expired 
- - (155,235) - - 155,235 -
Balance at 30 June 2012 18,220,394 27,018,776 - 1,843,082 (773,363) (28,564,229) 17,744,660
Total comprehensive income for 
the year - - - - - (3,998,493) (3,998,493)
Issue of placing shares (note 13) 831,140 1,466,592 - - - - 2,297,732
Share issue costs 
(note 13) - (27,846) - - - - (27,846)
Share options issued (note 14) - - - 309,205 - - 309,205
Share options expired 
(note 14) - - - (62,667) - 62,667 -
Balance as at 30 June 2013 19,051,534 28,457,522 - 2,089,620 (773,363) (32,500,055) 16,325,258 FINANCIAL STATEMENTS
32       ANNUAL REPORT & ACCOUNTS 2013
CONSOLIDATED AND COMPANY 
STATEMENT OF CASH FLOWS 
FOR THE YEAR ENDED 30 JUNE 
2013
(STATED IN U.S. DOLLARS)
Year ended 
30 June 2013
Year ended 
30 June 2012
Year ended 
30 June 2013
Year ended 
30 June 2012
Cash flows from operating activities
Net loss for the year/period (4,998,492) (5,396,627) (3,998,493) (6,396,627)
Adjustments for:
 - Depreciation of property, plant and 
equipment 720,096 1,099,137 - -
 - Impairment of intangibles 2,000,000 - - -
 - Impairment of property, plant and equipment - 1,367,495 - -
 - Share-based payment expense 309,205 - 309,205 -
 - Shares issued to directors and officers in lieu of 
fees 175,570 186,252 175,570 186,252
 - Net foreign exchange loss/gain 31,898 49,751 (4,515) (1,241)
Change in working capital items:
 - Decrease / (increase) in receivables 464,354 (307,374) 1,304,897 3,423,333
 - Decrease / (Increase) in stock - 507,242 - -
 - Increase in trade and other payables 234,293 60,108 105,465 (181,753)
Net cash used in operations (1,063,076) (2,434,016) (2,107,871) (2,970,036)
Cash flows from investing activities
 - Purchases of property, plant and equipment (55,199) (707,047) - -
 - Payments to acquire intangible assets (2,420,686) (4,626,576) - -
Net cash used in investing activities (2,475,885) (5,333,623) - -
Cash flows from financing activities
 - Proceeds from issue of share capital, net of costs 2,094,317 2,835,958 2,094,317 2,835,958
Net cash generated by financing activities 2,094,317 2,835,958 2,094,317 2,835,958
Net (decrease)/increase in cash and cash equivalents (1,444,644) (4,931,681) (13,554) (134,078)
Cash and cash equivalents, beginning of year 1,537,211 6,518,640 9,570 142,406
Effect of foreign exchange rate changes (31,898) (49,748) 4,515 1,242
Cash and cash equivalents, end of year 60,669 1,537,211 531 9,570
Consolidated Company FINANCIAL STATEMENTS
STELLAR DIAMONDS PLC       33
Year ended 
30 June 2013
Year ended 
30 June 2012
Year ended 
30 June 2013
Year ended 
30 June 2012
Cash flows from operating activities
Net loss for the year/period (4,998,492) (5,396,627) (3,998,493) (6,396,627)
Adjustments for:
 - Depreciation of property, plant and 
equipment 720,096 1,099,137 - -
 - Impairment of intangibles 2,000,000 - - -
 - Impairment of property, plant and equipment - 1,367,495 - -
 - Share-based payment expense 309,205 - 309,205 -
 - Shares issued to directors and officers in lieu of 
fees 175,570 186,252 175,570 186,252
 - Net foreign exchange loss/gain 31,898 49,751 (4,515) (1,241)
Change in working capital items:
 - Decrease / (increase) in receivables 464,354 (307,374) 1,304,897 3,423,333
 - Decrease / (Increase) in stock - 507,242 - -
 - Increase in trade and other payables 234,293 60,108 105,465 (181,753)
Net cash used in operations (1,063,076) (2,434,016) (2,107,871) (2,970,036)
Cash flows from investing activities
 - Purchases of property, plant and equipment (55,199) (707,047) - -
 - Payments to acquire intangible assets (2,420,686) (4,626,576) - -
Net cash used in investing activities (2,475,885) (5,333,623) - -
Cash flows from financing activities
 - Proceeds from issue of share capital, net of costs 2,094,317 2,835,958 2,094,317 2,835,958
Net cash generated by financing activities 2,094,317 2,835,958 2,094,317 2,835,958
Net (decrease)/increase in cash and cash equivalents (1,444,644) (4,931,681) (13,554) (134,078)
Cash and cash equivalents, beginning of year 1,537,211 6,518,640 9,570 142,406
Effect of foreign exchange rate changes (31,898) (49,748) 4,515 1,242
Cash and cash equivalents, end of year 60,669 1,537,211 531 9,570
NOTES TO THE FINANCIAL 
STATEMENTS 
FOR THE YEAR ENDED 
30 JUNE 2013
(STATED IN U.S. DOLLARS) 
1. BASIS OF PREPARATION
STELLAR DIAMONDS PLC
On 22 February 2010, the Company completed its acquisition of Stellar Diamonds Limited in a share for share exchange.
Under the terms of the acquisition agreement, the Company agreed to acquire the entire issued share capital of Stellar 
Diamonds Limited for a consideration equating to approximately three times the value of West African Diamonds plc. 
(“WAD”), represented by an approximate 75:25 split of the share capital in the enlarged group prior to the issue of Placing 
shares - 75 per cent being attributable to consideration shares to be allotted to Stellar Diamonds Limited shareholders and 
25 per cent being attributable to ordinary shares held by WAD plc shareholders. Subsequent to the acquisition WAD plc 
changed its name to Stellar Diamonds plc. 
1.1   BASIS OF ACCOUNTING
Stellar Diamonds plc is presenting audited financial statements as of and for the year ended 30 June 2013.  The comparative 
period presented is audited financial statements as of and for the year ended 30 June 2012.
The financial statements have been prepared in accordance with International Financial Reporting Standards (“IFRSs”) 
as published by the IASB. The financial statements have also been prepared in accordance with IFRSs as adopted by the 
European Union and in accordance with the Companies Act, 2006. The consolidated financial statements have been 
prepared on an historical cost basis, as adjusted for certain financial instruments carried at fair value.
1.2   GOING CONCERN
The group made a loss for the year of $4,998,492 and had net current liabilities of $512,111 at the balance sheet date.
During the year the Group raised just over $2.2m through two placings. Following the year end, in July 2013 the Group 
raised a further $2.4m to further advance its evaluation programme at the Tongo project in Sierra Leone.
Given the positive exploration and evaluation results produced at Tongo to date and the stage of development of the 
project, the directors believe that the Company will continue to have the ability to access sufficient levels of finance to 
meet essential administrative expenses and to continue the Group’s projects for the foreseeable future.  On that basis, the 
directors continue to adopt the going concern basis in preparing these financial statements.
The going concern of the group is dependent on obtaining additional finance in order to meet its working capital needs 
for a period of not less than twelve months from the date of approval of the financial statements and to continue to fund 
development of exploration projects. This indicates the existence of a material uncertainty which may cast significant 
doubt on the ability of the company and the group to continue as a going concern.
The directors are confident that they can fulfil the funding requirements of the company through attracting funding 
through joint ventures, sale of assets, re-commencement of mining, reducing overheads or the issue of further shares by 
way of private placement.  On this basis, the directors are satisfied that it is appropriate to prepare the financial statements 
of the group on a going concern basis. The financial statements do not include any adjustment to the carrying amount or 
classification of assets and liabilities that would occur if the company was unable to continue as a going concern. FINANCIAL STATEMENTS
34       ANNUAL REPORT & ACCOUNTS 2013
NOTES TO THE FINANCIAL STATEMENTS 
FOR THE YEAR ENDED 30 JUNE 2013 
(CONTINUED)
(STATED IN U.S. DOLLARS) 
1.3   STANDARDS ADOPTED DURING THE YEAR
The Company has adopted the following standards which are effective for the first time this year.  
• Amendments to IAS 1 – Presentation of Items of Other Comprehensive Income (1 July 2012)
• Amendments to IAS 12 (Dec 2010) – Deferred Tax: Recovery of Underlying Assets (1 January 2012)
The adoption of these standards and interpretations did not have a material impact to the consolidated financial statements.
1.4   STANDARDS IN ISSUE BUT NOT YET EFFECTIVE
The following standards and interpretations which have been recently issued or revised have not been adopted early.  
• Amendments to IAS 39 – Novation of Derivatives and Continuation of Hedge Accounting (1 January 2014)
• Amendments to IAS 36 – Recoverable Amount Disclosures for Non-Financial Assets (1 January 2014)
• Amendments to IFRS 10, IFRS 12 and IAS 27 - Investment Entities (1 January 2014)
• Annual Improvements to IFRSs: 2009-2011 Cycle (1 January 2013)
• Amendments to IFRS 1 – Government Loans (1 January 2013)
• Amendments to IAS 32 – Offsetting Financial Assets and Financial Liabilities (1 January 2014)
• Amendments to IFRS 7 – Disclosures – Offsetting Financial Assets and Financial Liabilities (1 January 2013)
• IFRS 9 – Financial Instruments (1 January 2015)
• IAS 19 (Revised June 2011) – Employee Benefits (1 January 2013)
• IFRS 13 – Fair Value Measurement (1 January 2013)
• IFRS 12 – Disclosure of Interests in Other Entities (1 January 2014)
• IFRS 11 – Joint Arrangements (1 January 2014)
• IFRS 10 – Consolidated Financial Statements (1 January 2014)
• IAS 28 (revised May 2011) – Investments in Associates and Joint Ventures (1 January 2014)
• IAS 27 (revised May 2011) – Separate Financial Statements (1 January 2014)
• IFRIC 21 – Levies (1 January 2014)
• IFRIC 20 – Stripping Costs in the Production Phase of a Surface Mine (1 January 2013)
2. SIGNIFICANT ACCOUNTING POLICIES
The accounting policies set out below have been applied consistently in these financial statements, unless otherwise 
stated.
2.1   BASIS OF CONSOLIDATION 
2.1.1   Business combinations 
The acquisition of subsidiaries is accounted for using the acquisition method.  The cost of acquisition is measured at the 
aggregate of the fair values, at the date of exchange, of assets given, liabilities incurred or assumed, and equity instruments 
issued by the Group in exchange for control of the acquiree.  The acquiree’s identifiable assets, liabilities and contingent 
liabilities that meet the conditions for recognition under IFRS 3 are recognised at their fair value at the acquisition date. FINANCIAL STATEMENTS
STELLAR DIAMONDS PLC       35
2.1.2   Reverse acquisition 
Stellar Diamonds Limited completed its reverse acquisition of West African Diamonds plc (WAD) in February 2010. A 
reverse acquisition occurs when the company that issues equity securities (the legal acquirer) is identified as the acquiree 
for accounting purposes.  The entity whose equity interests are acquired (the legal acquiree) is treated as the acquirer for 
accounting purposes.
In a reverse acquisition, the accounting acquirer usually issues no consideration for the acquiree. Instead, the accounting 
acquiree usually issues its equity shares to the owners of the accounting acquirer. Accordingly, the acquisition-date fair 
value of the consideration transferred by the accounting acquirer for its interest in the accounting acquiree is based on 
the number of equity interests the legal subsidiary would have had to issue to give the owners of the legal parent the same 
percentage equity interest in the combined entity that results from the reverse acquisition. 
Consolidated financial statements prepared following a reverse acquisition are issued under the name of the legal parent 
(accounting acquiree) but described in the notes as a continuation of the financial statements of the legal subsidiary 
(accounting acquirer), with one adjustment, which is to adjust retroactively the accounting acquirer’s legal capital to 
reflect the legal capital of the accounting acquiree. That adjustment is required to reflect the capital of the legal parent 
(the accounting acquiree). Comparative information presented in the consolidated financial statements also is retroactively 
adjusted to reflect the legal capital of the legal parent (accounting acquiree). 
Because the consolidated financial statements represent the continuation of the financial statements of the legal subsidiary 
except for its capital structure, the consolidated financial statements on the date of acquisition reflect:
(a) the assets and liabilities of the legal subsidiary (the accounting acquirer) recognised and measured at their pre-
combination carrying amounts;
(b) the assets and liabilities of the legal parent (the accounting acquiree) recognised and measured in accordance with 
IFRS 3;
(c) the retained earnings and other equity balances of the legal subsidiary(accounting acquirer) before the business 
combination; and
(d) the amount recognised as issued equity interests in the consolidated financial statements determined by adding 
the issued equity interest of the legal subsidiary (the accounting acquirer) outstanding immediately before the business 
combination to the fair value of the legal parent (accounting acquiree) determined in accordance with this IFRS. However, 
the equity structure (i.e. the number and type of equity interests issued) reflects the equity structure of the legal parent 
(the accounting acquiree), including the equity interests the legal parent issued to effect the combination.  Accordingly, 
the equity structure of the legal subsidiary (the accounting acquirer) is restated using the exchange ratio established in the 
acquisition agreement to reflect the number of shares of the legal parent (the accounting acquiree) issued in the reverse 
acquisition.
2.1.3   Subsidiaries 
Subsidiaries are entities controlled by the Company. Control exists when the Company has the power, directly or indirectly, 
to govern the financial and operating policies of an entity so as to obtain benefits from its activities. In assessing control, 
potential voting rights that presently are exercisable or convertible are taken into account. The financial statements of 
subsidiaries are included in the consolidated financial statements from the date that control commences until the date that 
control ceases. Investments in subsidiaries are stated at cost less any provision for impairment.
2.1.4   Transactions eliminated on consolidation 
Intra-group balances and any unrealized gains and losses or income and expenses arising from intra-group transactions, 
are eliminated in preparing the consolidated financial statements.  FINANCIAL STATEMENTS
36       ANNUAL REPORT & ACCOUNTS 2013
2.2   FOREIGN CURRENCY TRANSLATION
2.2.1   Functional and presentation currency
Items included in the financial statements of each of the Group’s entities are measured using the currency of the primary 
economic environment in which the entity operates (“the functional currency”). The consolidated financial statements are 
presented in U.S. dollars (“$”), which is the functional and presentation currency for all the group’s operations. 
2.2.2   Foreign currency transactions 
Foreign currency transactions are translated into the functional currency using the exchange rates prevailing at the dates 
of the transactions. Foreign exchange gains and losses resulting from the settlement of such transactions and from 
the translation at period-end exchange rates of monetary assets and liabilities denominated in foreign currencies are 
recognised in the consolidated statement of comprehensive income.
2.3   PROPERTY, PLANT AND EQUIPMENT
All property, plant and equipment are stated at historical cost less accumulated depreciation and accumulated impairment 
losses. Historical cost includes expenditures that are directly attributable to the acquisition of the items. Subsequent costs 
are included in the asset’s carrying amount or recognized as a separate asset, as appropriate, only when it is probable 
that future economic benefits associated with the item will flow to the group and the cost of the item can be measured 
reliably. The carrying amounts of any replaced parts are derecognized. All other repairs and maintenance are charged to 
the consolidated statement of comprehensive income during the financial period in which they are incurred. 
Mining assets, which include evaluation and development costs capitalised prior to commencement of production, are 
depreciated using a unit of production method based on the quantity of carats produced over the estimated economically 
recoverable reserves.  
Machinery and equipment, which is comprised of office furniture, automobiles and other equipment, are depreciated at 
30% per annum on a reducing balance basis.
Assets in the course of construction are carried at cost less any recognised impairment loss.  Depreciation of these assets 
commences when the assets are ready for their intended use.
The assets’ residual values and useful lives are reviewed, and adjusted if appropriate, at each balance sheet date. An asset’s 
carrying amount is written down immediately to its recoverable amount if the asset’s carrying amount is greater than its 
estimated recoverable amount.
2.4   INTANGIBLE ASSETS - EXPLORATION AND EVALUATION EXPENDITURE
The Group follows the method of accounting for its mineral properties whereby all costs related to acquisition, exploration 
and evaluation are capitalized pending determination of the feasibility of the project. These assets are not depreciated. 
Exploration and evaluation assets are assessed for impairment when facts and circumstances suggest that the carrying 
amount of an exploration and evaluation asset may exceed its recoverable amount. When facts and circumstances suggest 
that the carrying amount exceeds the recoverable amount, the Group measures, presents and discloses any resulting 
impairment loss in the consolidated statement of comprehensive income.
The facts and circumstances indicating impairment include the following:
• the period for which the Group has a right to explore in the specific area has expired or is expected to expire;
• exploration for and evaluation of resources in the specific area have not led to the discovery of commercially viable 
NOTES TO THE FINANCIAL STATEMENTS 
FOR THE YEAR ENDED 30 JUNE 2013 
(CONTINUED)
(STATED IN U.S. DOLLARS)  FINANCIAL STATEMENTS
STELLAR DIAMONDS PLC       37
quantities of resources and the group has decided to discontinue such activities in the specific area;
• sufficient data exists to indicate that, although a development in the specific area is likely to proceed, the carrying 
amount of the exploration and evaluation asset is unlikely to be recovered in full from successful development or by 
sale; or 
• substantive expenditure or further exploration and evaluation in the specific area is neither budgeted nor planned.  
Exploration costs are capitalised as an intangible asset until technical feasibility and commercial viability of extraction 
of reserves are demonstrable, when the capitalised exploration costs are re-classed to property, plant and equipment. 
Exploration costs include an allocation of administration and salary costs (including share based payments) as determined 
by management. 
Prior to reclassification to property, plant and equipment, exploration and evaluation assets are assessed for impairment 
and any impairment loss recognised immediately in the statement of comprehensive income.
2.5   IMPAIRMENT 
At each balance sheet date, the Group reviews the carrying amounts of its non-current assets to determine whether there 
is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount 
of the asset is estimated in order to determine the extent of the impairment loss (if any). Where the asset does not generate 
cash flows that are independent from other assets, the group estimates the recoverable amount of the cash-generating 
unit to which the asset belongs. 
Recoverable amount is the higher of fair value less costs to sell and value in use. In assessing value in use, the estimated 
future cash flows are discounted to their present value using a pre-tax discount rate that reflects current market assessments 
of the time value of money and the risks specific to the asset for which the estimates of future cash flows have not been 
adjusted.
If the recoverable amount of an asset (or cash-generating unit) is estimated to be less than its carrying amount, the 
carrying amount of the asset (cash-generating unit) is reduced to its recoverable amount. An impairment loss is recognised 
as an expense immediately.
Where an impairment loss subsequently reverses, the carrying amount of the asset (cash-generating unit) is increased to 
the revised estimate of its recoverable amount, but so that the increased carrying amount does not exceed the carrying 
amount that would have been determined had no impairment loss been recognised for the asset (cash-generating unit) in 
prior periods. A reversal of an impairment loss is recognised as income immediately.
2.6   PROVISIONS
Provisions are recognised when the Group has a present obligation as a result of a past event, it is probable that the Group 
will be required to settle the obligation and a reliable estimate can be made of the amount of obligation.  Where the effect 
of discounting is material, provisions are discounted.  The discount rate used is a pre-tax rate that reflects current market 
assessment of the time value of money and, where appropriate, the risks specific to the liability. 
2.7   DECOMMISSIONING, MINE CLOSURE AND ENVIRONMENTAL REHABILITATION
The estimated cost of decommissioning, mine closure and environmental rehabilitation is based on current legal 
requirements and existing technology.  A provision is raised based on the present value of the estimated costs.  These costs 
are included in the cost of the related asset.  The capitalised assets are depreciated in accordance with the accounting 
policy for property, plant and equipment.   FINANCIAL STATEMENTS
38       ANNUAL REPORT & ACCOUNTS 2013
2.8   FINANCIAL INSTRUMENTS
Loans and receivables
Trade receivables, loans and other receivables that have fixed and determinable payments that are not quoted in an active 
market are classified as loans and receivables.  Loans and receivables are initially measured at fair value plus transaction 
costs and subsequently measured at amortised cost using the effective interest method.  Interest income is recognised by 
applying the effective interest rate, except for short-term receivables when the recognition of interest would be immaterial.
Impairment of financial assets at amortised cost
Financial assets that are measured at amortised cost are assessed for indicators of impairment at the end of each reporting 
period. Financial assets are considered to be impaired when there is objective evidence that, as a result of one or more 
events that occurred after the initial recognition of the financial asset, the estimated future cash flows of the financial asset 
have been affected.
Derecognition of financial assets
The Group derecognises a financial asset only when the contractual rights to the cash flows from the asset expire; or 
it transfers the financial asset and substantially all the risks and rewards of ownership of the asset to another entity. If 
the Group neither transfers nor retains substantially all the risks and rewards of ownership and continues to control the 
transferred asset, the Group recognises its retained interest in the asset and an associated liability for amounts it may have 
to pay. If the Group retains substantially all the risks and rewards of ownership of a transferred financial asset, the Group 
continues to recognise the financial asset and also recognises a collateralised borrowing for the proceeds received.
Cash and cash equivalents
Cash and cash equivalents comprise cash on hand and demand deposits, and other short-term highly liquid investments 
that are readily convertible to a known amount of cash and are subject to an insignificant risk of changes in value.
Financial liabilities and equity
Financial liabilities and equity instruments are classified according to the substance of the contractual arrangements 
entered into. 
Equity instruments
An equity instrument is any contract that evidences a residual interest in the assets of the group after deducting all of its 
liabilities. Equity instruments issued by the Group are recorded at the proceeds received, net of direct issue costs.
Financial liabilities 
Financial liabilities are classified as either financial liabilities ‘at FVTPL’ or ‘other financial liabilities’.
Other financial liabilities 
Other financial liabilities, including borrowings, are initially measured at fair value, net of transaction costs. Other financial 
liabilities are subsequently measured at amortised cost using the effective interest method The effective interest method is 
a method of calculating the amortised cost of a financial liability and of allocating interest expense over the relevant period. 
The effective interest rate is the rate that exactly discounts estimated future cash payments through the expected life of 
the financial liability, or, where appropriate, a shorter period.
NOTES TO THE FINANCIAL STATEMENTS 
FOR THE YEAR ENDED 30 JUNE 2013 
(CONTINUED)
(STATED IN U.S. DOLLARS)  FINANCIAL STATEMENTS
STELLAR DIAMONDS PLC       39
Derecognition of financial liabilities
The Group derecognises financial liabilities when, and only when, the Group’s obligations are discharged, cancelled or 
they expire.
2.9   INCOME TAX 
The current income tax charge is calculated on the basis of the tax laws enacted or substantively enacted at the balance 
sheet date in the countries where the company’s subsidiaries operate and generate taxable income. Management 
periodically evaluate positions taken in tax returns with respect to situations in which applicable tax regulation is subject 
to interpretation and establishes provisions where appropriate on the basis of amounts expected to be paid to the tax 
authorities.
Deferred tax is provided in full, using the liability method, on temporary differences arising between the tax bases of 
assets and liabilities and their carrying amounts in the consolidated financial statements. However, the deferred tax is not 
accounted for if it arises from initial recognition of an asset or liability in a transaction other than a business combination 
that at the time of the transaction affects neither accounting nor taxable profit or loss. Deferred tax is determined using 
tax rates (and laws) that have been enacted or substantively enacted by the balance sheet date and are expected to apply 
when the related deferred tax asset is realised or the deferred tax liability is settled.
Deferred tax assets are recognised to the extent that it is probable that future taxable profit will be available against which 
the temporary differences can be utilised.
Deferred tax is provided on temporary differences arising on investments in subsidiaries and associates, except where 
the timing of the reversal of the temporary difference is controlled by the Company and it is probable that the temporary 
difference will not reverse in the foreseeable future.
2.10   SHARE-BASED PAYMENTS
Equity-settled share-based payments to employees and others providing similar services are measured at the fair value of 
the equity instruments at the grant date. Fair value is measured by use of a Black-Scholes model. The expected life used 
in the model has been adjusted, based on management’s best estimate, for the effects of non-transferability, exercise 
restrictions and behavioural considerations. 
Equity-settled share options granted to employees vest immediately and therefore the charge is recognised in the 
consolidated statement of comprehensive income at the grant date.  
Equity-settled share-based payment transactions with other parties are measured at the fair value of the goods and services 
received, except where the fair value cannot be estimated reliably, in which case they are measured at the fair value of the 
equity instruments granted, measured at the date the entity obtains the goods or the counterparty renders the service.
2.11   REVENUE RECOGNITION
Revenue relating to sale of diamonds is measured at the fair value of the consideration received or receivable.  Revenue is 
recognised when the following conditions are satisfied:
• the Group has transferred to the buyer the significant risks and rewards of ownership of the goods;
• the Group retains neither the continuing managerial involvement to the degree usually associated with ownership 
nor effective control over the goods sold;
• the amount of revenue can be measured reliably;
• it is probable that the economic benefits associated with the transaction will flow to the Group; and FINANCIAL STATEMENTS
40       ANNUAL REPORT & ACCOUNTS 2013
• the costs incurred or to be incurred in respect of the transaction can be measured reliably.
 
2.12   CRITICAL ACCOUNTING JUDGEMENTS AND SOURCES OF ESTIMATION UNCERTAINTY
In the application of the Group’s accounting policies, the directors are required to make judgements, estimates and 
assumptions about the carrying amounts of assets and liabilities that are not readily apparent from other sources. The 
estimates and associated assumptions are based on historical experience and other factors that are considered to be 
relevant. Actual results may differ from these estimates.
The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are 
recognised in the period in which the estimate is revised if the revision affects only that period, or in the period of the 
revision and future periods if the revision affects both current and future periods.
Key sources of estimation uncertainty and judgements made in applying specific accounting policies are as follows:
Share based payments
In determining the fair value of share-based payments made during the period to employees and those parties providing 
services of a similar nature, a number of assumptions have been made by management. The details of these assumptions 
are reflected in note 14.
Carrying value of non-current assets
The outcome of ongoing exploration, and therefore whether the carrying value of the machinery and equipment and 
exploration and evaluation expenditures will ultimately be recovered, is inherently uncertain.  
The ability of the Company to realise the carrying values of these assets is contingent upon production or discovery of 
economically recoverable mineral reserves, the on-going title to the resource properties, the ability of the Company to 
finance the development of the properties and on the future profitable production or proceeds from the property.  The 
success of the Company’s mineral exploration properties is also influenced by significant risks, including legal and political 
risks and future diamond prices.
The directors make the judgements necessary to implement the Group’s policy with respect to capitalisation of these 
assets and consider them for impairment at least annually with reference to indicators in IAS 36 and IFRS 6.  If an indication 
exists, an assessment is made of the recoverable amount.  The recoverable amount is the higher of value in use (being 
the net present value of expected future cash flows) and fair value less costs to sell.  Value in use is estimated based 
on operational forecasts for advanced stage projects with key inputs that include diamond resources, diamond prices, 
production levels including grade and tonnes processed, production costs and capital expenditure.  However, because of 
the above-mentioned uncertainties, actual future cash flows could materially differ from those estimated.  The carrying 
value of property, plant and equipment and exploration and evaluation costs are set out in notes 8 and 11.
Provisions
Estimates and assumptions are made in determining the amount attributable to rehabilitation provision.  These deal with 
uncertainties such as legal and regulatory framework, timing and future costs.  The carrying value of the rehabilitation 
provision is disclosed in note 15.
Depreciation of mining assets
In order to calculate depreciation on mining assets, the Group estimates commercially recoverable reserves based on 
an independent report prepared by a competent person in accordance with June 2009 Note for Mining, Oil and Gas 
NOTES TO THE FINANCIAL STATEMENTS 
FOR THE YEAR ENDED 30 JUNE 2013 
(CONTINUED)
(STATED IN U.S. DOLLARS)  FINANCIAL STATEMENTS
STELLAR DIAMONDS PLC       41
Companies issued by the London Stock Exchange plc, Alternative Investment Market.
During the previous year, all mining assets were fully impaired and have a zero net book value at 30 June 2013.
3. SEGMENTS
The Company is engaged in the acquisition, exploration, development and production of diamond properties in the West 
African countries of Sierra Leone and Guinea.  Information presented to the Chief Executive Officer for the purposes 
of resource allocation and assessment of segment performance is focused on the individual projects in geographical 
locations.  The reportable segments under IFRS 8 are therefore as follows:
• Mandala (Guinea)
• Bomboko (Guinea)
• Kono (Sierra Leone)
• Tongo (Sierra Leone)
• Droujba (Guinea)
• Other exploration
• Corporate activities in the United Kingdom; 
Following is an analysis of the Group’s revenue, results, assets and liabilities by reportable segment for the year ended 30 
June 2013:  FINANCIAL STATEMENTS
42       ANNUAL REPORT & ACCOUNTS 2013
Mandala Bomboko Kono Tongo Droujba
Other 
exploration Corporate Total
$ $ $ $ $ $ $ $
Revenue – sale of 
diamonds - - - - - - - -
Segment result (1,092,305) - - - (2,000,000) - (1,906,187) (4,998,492)
Finance costs -
Loss before tax (4,998,492)
Income tax expense -
Loss after tax (4,998,492)
Segment assets 1,694,819 902,810 4,700,766 4,980,468 4,048,427 203,887 508,737 17,039,914
Segment liabilities (84,390) (30,000) (2,000) (82,112) (82,914) - (433,239) (714,655)
Share based payment 
expense - - - - - - 309,205 309,205
Carrying value of 
intangible assets - - 4,690,215 4,756,162 3,611,340 191,119 414,609 13,663,445
Net book value of 
property, plant and 
equipment 1,682,143 - 8,217 220,107 1,355,666 10,847 1,314 3,278,294
Capital additions
 - property, plant and 
equipment 2,222 - - 2,140 49,573 - 1,264 55,199
 - intangible assets - - 317,639 1,403,175 1,356,562 - - 3,077,376
Depreciation of 
property, plant and 
equipment 719,966 - 3,522 93,414 559,754 - 130 1,376,786
Impairment of 
intangibles. - - - - 2,000,000 - - 2,000,000
NOTES TO THE FINANCIAL STATEMENTS 
FOR THE YEAR ENDED 30 JUNE 2013 
(CONTINUED)
(STATED IN U.S. DOLLARS)  FINANCIAL STATEMENTS
STELLAR DIAMONDS PLC       43
Following is an analysis of the Group’s revenue and results by reportable segment for the year ended 30 June 2012: 
Mandala Bomboko Kono Tongo Droujba
Other 
exploration Corporate Total
$ $ $ $ $ $ $ $
Revenue – sale of 
diamonds 370,099 - - - - - - 370,099
Segment result (3,688,332) (36,264) (928) (21,621) (725) - (1,648,757) (5,396,627)
Loss before tax (5,396,627)
Income tax expense -
Loss after tax (5,396,627)
Segment assets 2,441,783 1,288,062 4,393,317 3,679,967 4,819,507 203,887 2,398,499 19,225,022
Segment liabilities (91,289) (30,000) (4,000) (307) (3,959) - (350,807) (480,362)
Share based payment 
expense - - - - - - - -
Carrying value of 
intangible assets - - 4,372,575 3,352,987 4,254,779 191,119 414,609 12,586,069
Net book value of 
property, plant and 
equipment 2,399,897 - 11,739 311,381 1,865,845 10,847 172 4,599,881
Capital additions
 - property, plant and 
equipment 27,809 - 1,795 71,714 605,729 - - 707,047
 - intangible assets - - 453,526 1,968,949 2,995,589 - - 5,418,064
Depreciation of property, 
plant and equipment 1,098,951 - 5,031 133,449 653,008 - 186 1,890,625
Impairment of property, 
plant and equipment 1,367,495 - - - - - - 1,367,495
4. LOSS FOR THE YEAR
Loss for the year has been arrived at after charging:
Year ended 30 June 2013 Year ended 30 June 2012
 $  $ 
Fees payable to the company’s auditors for the audit of the 
group’s accounts: 
 - audit services 38,457 35,250
 - non-audit services - -
Net foreign exchange loss 31,898 49,751
Depreciation of property, plant and equipment 720,096 1,099,137
Impairment of Property, Plant and Equipment - 1,367,495
Impairment of Intangibles 2,000,000 -
Share-based payments 309,205 -
$656,690 of depreciation charges were capitalised as exploration and evaluation expenditure during the year and 
consequently are not included in the Statement of Comprehensive Income (2012: $791,488). FINANCIAL STATEMENTS
44       ANNUAL REPORT & ACCOUNTS 2013
5. STAFF COSTS
Year ended 30 June 2013 Year ended 30 June 2012
 $  $ 
Wages and salaries 1,459,952 1,882,246
Social security costs 95,793 142,777
Share-based payments 309,205 -
1,864,950 2,025,023
The average monthly number of employees (including executive directors) was 161 (30 June 2012: 191).  The remuneration 
of key management personnel is further disclosed in note 17.
$632,504 of staff costs were capitalised as exploration and evaluation expenditure during the year and consequently are 
not included in the Statement of Comprehensive Income (2012: $963,531).
6. INCOME TAX EXPENSE
Year ended 30 June 2012 Year ended 30 June 2011
 $  $ 
Current taxation - -
Deferred taxation - -
- -
The analysis of the group’s taxation charge for the year based on the company’s statutory tax rate of 23% is as follows:
Year ended 30 June 2013 Year ended 30 June 2012
 $  $ 
Loss for the year (4,998,492) (5,396,627)
Tax at the UK corporation tax rate of 23% (2012: 24%) (1,149,653) (1,295,190)
Effect of different tax rates of subsidiaries operating in other 
jurisdictions (87,349) (320,424)
Impairment not deductible for taxation purposes 700,000 328,199
Tax losses not utilised and carried forward 285,014 858,300
Depreciation in excess of capital allowances 251,988 429,115
- -
A deferred taxation asset is not recognised in respect of carried forward losses due to uncertainty over the utilisation of the 
losses.  The unrecognised deferred taxation asset is $4,148,298 (30 June 2012: $3,863,284) based on carried forward tax 
losses of $12,083,105 (30 June 2012: of $11,037,954) which expire 10 years from the date these were incurred.
NOTES TO THE FINANCIAL STATEMENTS 
FOR THE YEAR ENDED 30 JUNE 2013 
(CONTINUED)
(STATED IN U.S. DOLLARS)  FINANCIAL STATEMENTS
STELLAR DIAMONDS PLC       45
7. LOSS PER SHARE
Year ended 30 June 2013 Year ended 30 June 2012
 $  $ 
Loss after tax attributable to equity holders of the parent (4,998,492) (5,396,627)
Weighted average number of ordinary shares for the purposes of 
basic and diluted loss per share 307,884,858 224,100,028
Basic and diluted loss per share (0.02) (0.02)
Basic and diluted loss per share are the same as the effect of the outstanding share options are anti-dilutive and are 
therefore excluded. Outstanding share options are detailed in note 14.
8. INTANGIBLE ASSETS
Year ended 30 June 
2013
Year ended 30 June 
2012
Year ended 30 June 
2013
Year ended 30 June 
2012
 $  $  $  $ 
Exploration and evaluation expenditure:
Cost
Opening balance 27,509,319 22,091,255 4,408,327 4,408,327
Additions  3,077,376 5,418,064 - -
Closing balance 30,586,695 27,509,319 4,408,327 4,408,327
Impairment
Opening balance  14,923,250 14,923,250 3,105,766 3,105,766
Charge for the year 2,000,000 - - -
Closing balance  16,923,250 14,923,250 3,105,766 3,105,766
Carrying value  13,663,445 12,586,069 1,302,561 1,302,561
At 30 June 2013, the group did not have any contractual commitments for the acquisition of intangible assets.  
The realisation of the net carrying value of intangible assets of $13,663,445 is dependent on the discovery and successful 
development of economic mineral reserves including the group’s ability to raise sufficient finance to develop the projects 
and other factors, as discussed in note 2.12.
Following the completion of the Conceptual Economic Scoping Study on the Droujba project in the year, the directors 
undertook an impairment review of the Exploration and Evaluation expenditure on the Droujba project and determined 
that an impairment charge of $2,000,000 be made to the statement of comprehensive income.  The impairment review 
took the form of a net present value calculation taking into account a number of key assumptions:
• economically recoverable reserves are based on management’s expectations and technical studies undertaken  
 internally and by a Competent Person, where available; 
• diamond prices are based on independent valuations and models and subsequent rough price changes and an  
 annual increase of 4.5% thereafter; 
• discount rate of 10%;  
Consolidated Company FINANCIAL STATEMENTS
46       ANNUAL REPORT & ACCOUNTS 2013
• inflation rate of 4.5%; and 
 
• the projected life of the potential mine of 3 years 
The net present value calculation is most sensitive to the modeled diamond price used.  A 10% increase or decrease in 
the modeled diamond price would result in an increase or decrease in the value of the asset of approximately $1.5m.
In the previous year a dispute emerged in relation to the two exploration licenses held for the Kono site. The group 
received a letter from the Ministry of Mines of Sierra Leone (“The Ministry”) which asserts that the Ministry ought 
not to have granted the renewals of the Company’s licences in 2010 under the Mines and Minerals Act of 2009 and 
that as a result the Company no longer has mineral rights over the licences.  The Company disputes the assertions 
and has continued to pursue the available political, diplomatic and legal routes available. Should these routes prove 
unsuccessful the carrying value included in the statement of financial position would be written off to the Statement of 
Comprehensive Income.
9. INVESTMENT IN SUBSIDIARIES
Year ended 30 June 2013 Year ended 30 June 2012
 $  $ 
At cost, unlisted:
Opening and Closing balance 4,157,484 4,157,484
The wholly-owned subsidiaries of the Company at 30 June 2013 are:
Company Country of Incorporation Nature of business
Stellar Diamonds Limited Guernsey Holding company
West African Diamonds SARL Guinea Diamond producer
Castlebay Resources Limited Scotland Prospecting and exploration of 
diamonds
Basama Diamonds Ltd. and its branch: Republic of Seychelles Prospecting and exploration of 
diamonds
Basama Diamond Ltd. (Sierra Leone Branch) Sierra Leone Prospecting and exploration of 
diamonds
Sierra Diamonds Limited and its branch: British Virgin Islands Prospecting and exploration of 
diamonds
Sierra Leone Diamonds Limited (Sierra Leone Branch) Sierra Leone Prospecting and exploration of 
diamonds
Guinean Diamond Corporation Ltd. and its subsidiaries Republic of Seychelles Holding company
Mano River Diamants Guinee SA Guinea Prospecting and exploration of 
diamonds
Ressources Mandala Guinée SARL Guinea Diamond producer
Friendship Diamonds Guinee SA Guinea Prospecting and exploration of 
diamonds
The realisation of investments in subsidiaries of $4,157,484 is dependent on the discovery and successful development of 
economic mineral reserves and other factors, as discussed in note 2.
NOTES TO THE FINANCIAL STATEMENTS 
FOR THE YEAR ENDED 30 JUNE 2013 
(CONTINUED)
(STATED IN U.S. DOLLARS)  FINANCIAL STATEMENTS
STELLAR DIAMONDS PLC       47
10. PARENT COMPANY INCOME STATEMENT
As permitted by Section 408 of the Companies Act 2006 the parent company’s income statement has not been presented in 
these financial statements. The loss after taxation for the parent company for the year ended 30 June 2013 was $3,998,493 
(year ended 30 June 2012: Loss $6,396,627).
11.  PROPERTY, PLANT AND EQUIPMENT
Mining assets Machinery and equipment Total
$ $ $
Cost
At 1 July 2011 14,816,878 5,248,652 20,065,530
Additions - 707,047 707,047
Transfer to machinery and equipment (3,737,573) 3,737,573 -
At 30 June 2012 11,079,305 9,693,272 20,772,577
Additions - 55,199 55,199
At 30 June 2013 11,079,305 9,748,471 20,827,776
Depreciation
At 1 July 2011 10,681,411 2,233,165 12,914,576
Charge for the year - 1,890,625 1,890,625
Impairment 1,367,495 - 1,367,495
Transfer to machinery and equipment (969,601) 969,601 -
At 30 June 2012 11,079,305 5,093,391 16,172,696
Charge for the year - 1,376,786 1,376,786
Impairment - - -
At 30 June 2013 11,079,305 6,470,177 17,549,482
Carrying value
At 30 June 2013 - 3,278,294 3,278,294
At 30 June 2012 - 4,599,881 4,599,881
In accordance with the accounting policy stated in note 2.5, the Group tests property, plant and equipment for impairment 
when an indication of impairment exists. The recoverable amount of cash generating units is determined based on value-
in-use calculations, which require the use of estimates. Cash flows were estimated over a period of 10 years. The estimated 
cash flows from the exploration projects produced net present values well in excess of their carrying values and are based 
on the following assumptions: 
• economically recoverable reserves and resources are based on management’s expectations based on availability of 
reserves at mine sites and technical studies undertaken internally and by a Competent Person, where available;
• diamond prices are based on independent valuations and models and an annual increase of 4.5% thereafter;
• discount rate of 10%; 
• inflation rate of 4.5%;and 
• the remaining useful life. FINANCIAL STATEMENTS
48       ANNUAL REPORT & ACCOUNTS 2013
NOTES TO THE FINANCIAL STATEMENTS 
FOR THE YEAR ENDED 30 JUNE 2013 
(CONTINUED)
(STATED IN U.S. DOLLARS) 
Mining Assets, being previously capitalised exploration costs at Bomboko and Mandala, were fully impaired during the 
previous year, resulting in an impairment charge in 2012 of $1,367,495 being charged to the statement of comprehensive 
income.
The Group did not have any further contractually committed costs for the acquisition of property, plant and equipment at 
30 June 2013.  
The realisation of tangible assets of $3,278,294 is dependent on the discovery and successful development of economic 
mineral reserves including the group’s ability to raise sufficient finance to develop the projects and other factors, as 
discussed in note 2.12.
12. TRADE AND OTHER RECEIVABLES
30 June 2013 30 June 2012 30 June 2013 30 June 2012
$ $
Amounts due within one year:
VAT 20,748 21,523 20,748 21,523
Prepayments and other receivables 16,758 480,338 - -
Amounts due after one year:
Amounts due from subsidiaries - - 11,083,731 12,387,854
37,506 501,861 11,104,479 12,409,377
The directors consider the carrying amount of trade and other receivables to be approximately equal to their fair value. 
Year ended 30 June 2013 Year ended 30 June 2012
 $  $ 
Amounts due from subsidiaries comprises of:
Stellar Diamonds Limited 9,931,569 11,235,692
West African Diamonds SARL 807,205 807,205
Friendship Diamonds Guinee SA 277,068 277,068
Sierra Diamonds Limited 55,830 55,830
Basama Diamonds Ltd 12,059 12,059
11,083,731 12,387,854
The realisation of amounts due from subsidiaries is dependent on the discovery and successful development of economic 
mineral reserves and other factors as discussed in note 2.12.
13. SHARE CAPITAL AND SHARE PREMIUM
Share capital
Authorised: 
Unlimited number of ordinary shares of 1p and deferred shares of 4p each.
Company Consolidated FINANCIAL STATEMENTS
STELLAR DIAMONDS PLC       49
Number 
Ordinar y Shares  
Number
Deferred Shares
Share 
capital Share premium
$ $
Allotted called-up and fully paid:
Balance as at 1 July 2011 216,766,659 - 17,161,566 25,055,393
Sub-Division of shares 216,766,659 216,766,659 - -
Shares issued on share placing 66,916,991 - 1,058,828 2,117,655
Share issue costs - - - (154,272)
Balance as at 30 June 2012 283,683,650 216,766,659 18,220,394 27,018,776
Shares issued on share placing 52,789,390 - 831,140 1,466,592
Share issue costs - - - (27,846)
Balance as at 30 June 2013 336,473,040 216,766,659 19,051,534 28,457,522
In February 2013 a total of 41,960,640 ordinary shares of 1p each were allotted and issued. 4,224,761 of these shares were 
issued in lieu of directors’ fees owed. The remaining 37,735,879 shares were issued for gross proceeds of $1,568,202. 
Transaction costs of $25,848 were netted against share premium.
In October 2012 a total of 10,828,750 ordinary shares of 1p each were allotted and issued for gross proceeds of $553,962.  
Transaction costs of $1,998 were netted against share premium.
In May 2012 each ordinary share of 5p in the company was replaced with one ordinary share of 1p and one deferred share 
of 4p in a share capital restructuring.  
In May 2012 a total of 66,916,991 ordinary shares of 1p each were allotted and issued for gross proceeds of $3,176,483.  
Transaction costs of $154,272 were netted against share premium.
The Deferred Shares will not entitle their holders (a) to receive notice of or attend and vote at any general meeting of the 
Company (b) to receive any dividend or other distribution; or (c) to participate in any return on capital on a winding up 
other than the nominal amount paid on such shares following a substantial distribution to holders of ordinary shares in 
the Company.
14. SHARE OPTIONS
The share option reserve represents the value of the share options issued to the Group’s directors and employees under 
the Group’s share option scheme. 
In December 2012 the Company issued a total of 9,300,000 share options at an exercise price of 3p.  The options issued 
have resulted in a charge of $309,205 based on the Black-Scholes option pricing model and the following assumptions: 
nil dividend yield, a weighted average expected volatility of the Company’s share price based on the past 12 months share 
price volatility of 103%, a weighted average annual risk free rate of 0.933% and an expected life of five years. 
The following is a summary of the share options outstanding and exercisable as at 30 June 2013 and 30 June 2012 and 
changes during the year: FINANCIAL STATEMENTS
50       ANNUAL REPORT & ACCOUNTS 2013
Number of options
30 June 2013
Weighted average 
exercise price Number of options
30 June 2012
Weighted average 
exercise price
GBP£ GBP£
Outstanding and exercisable, beginning of 
year/period 16,094,675 0.169 16,094,675 0.169
Options granted 9,300,000 0.030 - -
Options expired (1,428,525) 0.871 - -
Outstanding and exercisable, end of year 23,966,150 0.102 16,094,675 0.169
Options with a fair value at date of grant of $62,667 expired during the year and as a result were transferred to retained 
earnings. 
As at 30 June 2013 the following stock options were outstanding and exercisable:
Number of stock options outstanding Exercise price per share Expiry date
GBP£
400,000 1.000 15-Sep-13
100,000 1.000 02-Dec-13
20,000 1.000 08-Feb-14
20,000 1.175 10-Apr-14
500,000 0.150 23-Jul-16
3,246,150 0.200 22-Apr-15
2,350,000 0.110 10-Aug-15
8,030,000 0.080 31-May-16
9,300,000 0.030 21-Dec-17
23,966,150  
15. PROVISION
30 June 2013 30 June 2012
$ $
Balance at beginning and end of the year 104,369 104,369
The provision relates to the rehabilitation of the Mandala and Bomboko mines and is expected to be incurred in 2014.
16. TRADE AND OTHER PAYABLES
Year ended 30 June 
2013
Year ended 30 June 
2012
Year ended 30 June 
2013
Year ended 30 June 
2012
$ $ $ $
Amounts due within one year:
Trade payables and accruals 610,286 375,993 239,797 134,332
610,286 375,993 239,797 134,332
NOTES TO THE FINANCIAL STATEMENTS 
FOR THE YEAR ENDED 30 JUNE 2013 
(CONTINUED)
(STATED IN U.S. DOLLARS) 
Company Consolidated FINANCIAL STATEMENTS
STELLAR DIAMONDS PLC       51
The carrying amount of trade and other payables is approximately equal to their fair value.
17.  RELATED PARTIES
The ultimate parent company and controlling party of Stellar Diamonds Limited prior to the reverse acquisition was African 
Aura Mining Inc. (AAM).  Subsequent to the reverse acquisition African Aura Mining Inc. (AAM) remained a shareholder 
of Stellar Diamonds plc.  In April 2011 AAM demerged assets, including its investment in Stellar Diamonds plc to Aureus 
Mining Inc. AAM was renamed Afferro Mining Inc. During the year, the Company and its subsidiaries, in the ordinary 
course of business, entered into various transactions with Afferro Mining Inc. These transactions occurred under terms and 
conditions that are no less favourable than those arranged with third parties. 
The following table summarises the related party transactions:
Year ended 30 June 2013 Year ended 30 June 2012
$ $
Afferro Mining Inc., shareholder 
 - management fees charged 103,416 108,546
At 30 June 2013, $65,261 was owed to Afferro Mining Inc (30 June 2012: $81,354).
Year ended 30 June 2013 Year ended 30 June 2012
$ $
Directors
 - shares issued in lieu of accrued directors’ fees 175,569 186,252
 - amounts owed to directors at 30 June 51,380 -
The directors are considered the Company’s key management personnel.  The remuneration earned in respect of the 
financial year by each director is as follows:
Salary or 
fees
Bonus
paid in cash
Bonus
paid in shares
Share based 
payments
Year ended 
30 June
2013
Year ended 
30 June 
2012
$ $ $ $ $ $
Lord Daresbury 92,585 - - 33,248 125,833 92,153
N. Karl Smithson 234,994 28,384 42,575 66,496 372,449 305,541
Luis da Silva 25,108 - - 19,949 45,057 24,991
Steven Poulton 39,231 - - 26,598 65,829 39,048
James Campbell 25,108 - - 19,949 45,057 24,990
Dr Markus Elsasser 12,480 - - 33,248 45,728 -
429,506 28,384 42,575 199,488 699,953 486,723
The directors who held office at 30 June 2013 had the following interests in the ordinary shares of the Company as of 30 
June 2013: FINANCIAL STATEMENTS
52       ANNUAL REPORT & ACCOUNTS 2013
NOTES TO THE FINANCIAL STATEMENTS 
FOR THE YEAR ENDED 30 JUNE 2013 
(CONTINUED)
(STATED IN U.S. DOLLARS) 
                                           30 June 2013                                            30 June 2012**
Ordinary shares Share options Ordinary shares Share options
Lord Daresbury 5,913,824 2,702,000 4,938,164 1,702,000
N. Karl Smithson 3,711,284 6,006,500 2,692,424 4,006,500
Luis da Silva 833,095 1,953,000 587,355 1,353,000
Steven J. Poulton 2,543,616 2,252,000 1,919,576 1,452,000
James Campbell 1,211,796 1,570,000 457,096 970,000
Dr. Markus Elsasser* 44,138,053 1,000,000 41,278,333 -
58,351,668 15,483,500 51,872,948 9,483,500
* includes indirect beneficial holdings
** or date of appointment if later
The number of directors to whom retirement benefits are accruing is nil (2012: nil). 
All remuneration in the current year related to short term employee benefits.
18. FINANCIAL INSTRUMENTS
The fair value of a financial instrument is defined as the amount at which the instrument could be exchanged in a current 
transaction between willing parties, other than in a forced or liquidation sale.  The fair values of these financial instruments 
are estimated to approximate their carrying values due to their immediate or short-term nature.  
The Group and Company’s financial instruments are:
• Cash and cash equivalents 
• Receivables
• Trade and other payables 
The carrying amounts for the financial instruments are as follows:
30 June 2013 30 June 2012
$ $
Financial assets
Loans and receivables, measured at amortised cost
 
 
Cash and cash equivalents 60,669 1,537,211
Receivables 37,506 501,861
98,175 2,039,072
Financial liabilities
Other liabilities, measured at amortised cost
Trade and other payables 610,286 375,993
610,286 375,993
In the normal course of its operations, the Group is exposed to commodity prices, currency, interest rate, liquidity and 
credit risk.  FINANCIAL STATEMENTS
STELLAR DIAMONDS PLC       53
Foreign currency risk
In the normal course of business, the Group enters into transactions denominated in foreign currencies (primarily Pound 
Sterling). As a result, the Group is subject to exposure from fluctuations in foreign currency exchange rates. In general, 
the Group does not enter into derivatives to manage these currency risks. The Group attempts to reduce its exposure to 
currency risk by entering into contracts denominated in US Dollars whenever possible. The Group has taken no other 
action to reduce its exposure to foreign currency risk during the year. 
30 June 2013 30 June 2012
$ $
Carrying value of foreign currency balances
Cash and cash equivalents include balances denominated in:
 - Pound Sterling (GBP) 33,421 1,114,219
Receivables include balances denominated in:
 - Pound Sterling (GBP) 37,504 91,703
Trade and other payables include balances denominated in:
 - Pound Sterling (GBP) 220,849 121,251
The sensitivities set out below are based on financial assets and liabilities held at 30 June 2013 where balances were not 
denominated in the functional currency of the Company. The sensitivities do not take into account the Company’s income 
and expenses and the results of the sensitivities could change due to other factors such as changes in the value of financial 
assets and liabilities as a result of non-foreign exchange influenced factors.
Closing exchange rate Effect on result of GBP strengthening/weakening 10% 
$
At 30 June 2013 1.513 +/- 9,903
Interest rate and liquidity risk
Fluctuations in interest rates impact on the value of short term cash investments and interest payable on financing activities 
(including long term loans), giving rise to interest rate risk. The Company has in the past been able to source financing 
through private offerings. This cash is managed to ensure surplus funds are invested in a manner to achieve maximum 
returns while minimising risks. In the ordinary course of business, the Company is required to fund working capital and 
capital expenditure requirements. The Company typically holds financial assets with a maturity of less than 30 days to 
ensure adequate liquidity and flexibility. 
Due to the short maturity of the financial assets, if interest rates were to double, it would have an insignificant impact on 
the Company’s financial performance.
The Company manages its liquidity risk associated with its financial liabilities through the issuance of additional equity and 
continuously monitoring forecast and actual cash flows, as required to meet the capital requirements of maturing liabilities. 
The following table details the Group’s remaining contractual maturity for its non-derivative financial liabilities.  
The table has been drawn up based on the undiscounted cash flows of financial liabilities based on the 
earliest date on which the Group is required to pay.  The table includes both interest and principal cash flows. FINANCIAL STATEMENTS
54       ANNUAL REPORT & ACCOUNTS 2013
Weighted average effective 
interest rate Less than 12 months 1 to 5 years
30 June 2013
Trade and other payables - 610,286 -
- 610,286 -
30 June 2012
Trade and other payables - 375,993 -
- 375,993 -
Credit risk
The maximum credit exposure of the Company as at 30 June 2013 amounted to $11,105,010 (30 June 2012: $12,418,947) 
relating to the Company’s cash and cash equivalents and receivables.  The directors believe there is limited exposure to credit 
risk as the Company’s cash and cash equivalents are held with major financial institutions. The credit risk on receivables 
from subsidiaries is significant and their recoverability is dependent on the discovery and successful development of 
economic reserves by those subsidiary undertakings. Given the nature of the Group’s business significant amounts are 
required to be invested in exploration and evaluation activities at different locations. The Directors manage this risk by 
reviewing expenditure plans and budgets in relation to projects before any monies are advanced to subsidiary undertakings 
in respect of those projects. This review ensures that any expenditure is value-enhancing and as a result the amounts 
receivable will be recoverable subject to successful discovery and development of economic reserves.  
The Company manages its credit risk in cash and cash equivalents by holding surplus funds in high credit worthy financial 
institutions and maintains minimum balances with financial institutions in remote locations.
30 June 2013 30 June 2012
$ $
Financial institutions with S&P AA- rating or higher 34,979 1,520,356
Financial institutions un-rated or unknown rating 25,690 16,855
60,669 1,537,211
Capital management
The Company’s objectives when managing capital are to maintain its ability to continue as a going concern in order to 
provide returns for shareholders and benefits for other stakeholders and to ensure sufficient resources are available to 
meet day to day operating requirements.  The capital structure of the Company consists of cash and cash equivalents and 
equity attributable to equity holders of the parent, comprising issued capital, reserves and retained earnings. 
The Company’s Board of Directors takes full responsibility for managing the Company’s capital and does so through board 
meetings, review of financial information, and regular communication with Officers and Senior Management.
The Company expects its current capital resources will be sufficient to carry out its plans and operations through its 
current operating year.  The Company is not subject to externally imposed capital requirements and there has been no 
change in the overall capital management as at 30 June 2013.
NOTES TO THE FINANCIAL STATEMENTS 
FOR THE YEAR ENDED 30 JUNE 2013 
(CONTINUED)
(STATED IN U.S. DOLLARS)  FINANCIAL STATEMENTS
STELLAR DIAMONDS PLC       55
19. SUBSEQUENT EVENTS
Following the year end, in July 2013 the company allotted and issued a total of 156,098,036 ordinary shares of 1p each for 
gross proceeds of $2.4m.  
In September 2013 the company issued 20,000,000 share options with an exercise price of 1.25p.  FINANCIAL STATEMENTS
STELLAR DIAMONDS PLC       56
SHAREHOLDER
INFORMATION
REGISTERED OFFICE
Burleigh House
355-359 The Strand
London
WC2R 0HS
T: +44 (0) 207 010 7686
F: +44 (0) 207 010 7699
E-mail: info@stellar-diamonds.com
CHIEF EXECUTIVE OFFICER
Karl Smithson
T: +44 (0) 207 010 7686
COMPANY SECRETARY
Philip Knowles
T: +44 (0) 207 010 7686
NOMINATED ADVISER AND BROKER
Becket House, 
36 Old Jewry, 
London 
EC2R 8DD
T: +44 (0) 207 776 6550
F: +44 (0) 207 796 4648
SOLICITORS
Gowlings
15th Floor
125 Old Broad Street
London EC2N 1AR
United Kingdom
T. +44 (0)203 004 3500
F. +44 (0)207 920 9417
AUDITORS 
Deloitte & Touche
Deloitte & Touche House
Earlsfort Terrace
Dublin 2
Ireland
T: +353 (0)1 417 2200
F: +353 (1)1 417 2300
REGISTRARS
Computershare Services (Ireland) Limited
Heron House
Corrig Road
Sandyford Industrial Estate
Dublin 18
Designed & Printed by Centonex | www.centonex.com FINANCIAL STATEMENTS
57       ANNUAL REPORT & ACCOUNTS 2013
FINANCIAL STATEMENTS  355-359 The Strand
London WC2R 0HS
United Kingdom
www.stellar-diamonds.com