VANCOUVER, BRITISH COLUMBIA--(Marketwire - June 20, 2011) -

NOT FOR DISSEMINATION IN THE UNITED STATES

Brazilian Diamonds Limited (News - Market indicators) (the "Company"). Further to its news release of April 14, 2011 (the "April 14 Release") the Company announces that it has completed the private placement of 16,655,920 shares at $0.10 per share, the proceeds of which are to be used to fund the costs of the transaction with Origo Partners PLC ("Origo"), as detailed in the April 14 Release and to retire outstanding indebtedness. The private placement closed in two tranches, with 9,700,000 shares issued subject to a hold period expiring September 6, 2011 and the balance of 6,955,920 shares being issued subject to a hold period expiring October 17, 2011.

The Company is also pleased to announce that it has retained Ocean Equities Limited, a U.K. based brokerage firm, RK Equity Capital Markets, LLC, a U.S. broker dealer, and Resource Investment Capital Limited, a Mongolian corporate finance advisor, to assist the Company in carrying out a $13,500,000 private placement at $0.35 per share as the Completion Financing (as defined in the April 14 Release). This private placement, combined with the issuance of $1,500,000 in shares at $0.35 per share to Origo Partners PLC in consideration for its assignment to the Company of $1,500,000 of indebtedness due to Origo by Kincora Group Limited ("Kincora"), which monies represent a portion of the US$6,000,000 in exploration expenditures to be incurred on the Bronze Fox Project as partial consideration for a 50% interest in Kincora, will be deemed to represent a $15,000,000 Completion Financing for the purposes of the calculation of the percentage of shares issuable by the Company to Origo under the terms of the agreement between Origo and the Company, as more particularly detailed in the April 14 Release.

Completion of the Completion Financing and the transactions otherwise detailed in the April 14 Release remain subject to the acceptance of the TSX Venture Exchange.