Mr. Ewan Mason reports

UPDATE ON EXPECTED CLOSING OF STAR DIAMOND'S ACQUISITION OF RIO TINTO'S 75% INTEREST IN THE FORT A LA CORNE DIAMOND PROJECT

Star Diamond Corp. has provided this update on Star Diamond's acquisition of Rio Tinto Canada Inc.'s (RTEC) 75-per-cent interest in the Fort a la Corne joint venture pursuant to the agreement dated Nov. 28, 2023, entered into between Star Diamond and RTEC (see news release dated Nov. 28, 2023).

Star Diamond and RTEC have worked together diligently to submit the documentation required to complete the transfer of the permit to operate for the Fort a la Corne properties. This process requires that an updated decommissioning and reclamation plan be submitted to the Saskatchewan Ministry of the Environment (MoE) for its approval.

Star Diamond and RTEC have been in active discussions with the MoE, and, based upon those discussions, Star Diamond believes that all documents required by the MoE have been submitted for its review. Based upon discussions with the MoE, Star Diamond currently expects that the transfer of the permit to operate will be completed prior to the end of March, 2024.

Star Diamond chief executive officer Ewan Mason said: "We are pleased that the MoE has committed to move the review process forward expeditiously. While we anticipate that Star Diamond will take full possession of the project in March, we are not waiting for this transfer to be completed to execute upon our plan, and are well under way with the revised mineral resource and prefeasibility study previously announced. Our staff is also busy examining the requirements for site security, monitoring and maintenance so that the handover from RTEC to Star Diamond proceeds seamlessly."

Completion of the transactions contemplated by the agreement is subject to various closing conditions, including receipt of all required governmental approvals and the approval of the Toronto Stock Exchange for the issuance of additional common shares of Star Diamond to RTEC.

About Star Diamond Corp.

Star Diamond is a Canadian-based corporation engaged in the acquisition, exploration and development of mineral properties. Shares of Star Diamond trade on the Toronto Stock Exchange under the trading symbol DIAM. Star Diamond's most significant asset is its interest in the Fort a la Corne property in central Saskatchewan. These kimberlites are located in close proximity to established infrastructure, including paved highways and the electrical power grid, which provide significant advantages for future mine development.

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