Lucapa Diamond : Section 708A Notice and Appendix 3B

ASX Announcement 27 April 2017

Lucapa Diamond Company Limited (ASX: LOM) ("Lucapa" or "the Company") wishes to advise that it has allotted 200,000 fully paid ordinary shares ("LOMOA Shares") following the exercise of 200,000 $0.20 listed 30 September 2017 options ("LOMOA") and 1,250,000 fully paid ordinary shares ("ESOP Shares") following the exercise of 1,250,000 $0.30 unlisted options pursuant to the Company's Employee Option Plan, as approved by shareholders on 21 December 2012 and referred to in the ASX announcement of 27 April 2017.

As required under section 708A(6) of the Corporations Act 2001 (Cth) (Corporations Act), the Company gives notice that;

1. The LOMOA Shares and ESOP Shares were issued without disclosure under Part 6D.2 of the Corporations Act.

2. This notice is being given under paragraph 5(e) of section 708A of the Corporations Act.

3. As at the date of this notice, the Company has complied with the provisions of the Chapter 2M of the Corporations Act (as they apply to the Company), and section 674 of the Corporations Act.

4. As at the date of this notice, there is no excluded information with respect to the Company for the purposes of sections 708A(7) and (8) of the Corporations Act.

   An Appendix 3B reflecting the revised capital structure following the issue of the above securities has been released with this announcement.

   For and on behalf of the Lucapa Board.

   MARK CLEMENTS COMPANY SECRETARY

   Lucapa Diamond Company Limitedabn 44 111 501 663 |34 Bagot Road |Subiaco 6008 |Western Australia

   PO Box 298 |West Perth WA 6872 |T +61 8 9381 5995 |F +61 8 9489 9201 |general@lucapa.com.au

   Appendix 3B

   Rule 2.7, 3.10.3, 3.10.4, 3.10.5

   New issue announcement, application for quotation of additional securities and agreement

   Information or documents not available now must be given to ASX as soon as available. Information and documents given to ASX become ASX's property and may be made public.

   Introduced 01/07/96 Origin: Appendix 5 Amended 01/07/98, 01/09/99, 01/07/00, 30/09/01, 11/03/02, 01/01/03, 24/10/05, 01/08/12, 04/03/13

   Name of entity

   Lucapa Diamond Company Limited

   ABN

   44 111 501 663

   We (the entity) give ASX the following information.

   Part 1 - All issues

   You must complete the relevant sections (attach sheets if there is not enough space).

   Fully paid ordinary shares

   1+Class of+securities issued or to be issued

5. 200,000 fully paid ordinary shares

6. 1,250,000 fully paid ordinary shares

7. Number of +securities issued or to be issued (if known) or maximum number which may be issued

8. Fully paid ordinary shares

9. Fully paid ordinary shares

10. Principal terms of the

    +securities (e.g. if options, exercise price and expiry date; if partly paid+securities, the amount outstanding and due dates for payment; if

    +convertible securities, the conversion price and dates for conversion)

    + See chapter 19 for defined terms.

    04/03/2013 Appendix 3B Page 1

11. Yes, the shares rank equally with the ordinary shares currently on issue.

12. Yes, the shares rank equally with the ordinary shares currently on issue.

13. Do the +securities rank equally in all respects from the +issue date with an existing +class of quoted +securities?

    If the additional +securities do not rank equally, please state:

    • the date from which they do

    • the extent to which they participate for the next dividend, (in the case of a trust, distribution) or interest payment

    • the extent to which they do not rank equally, other than in relation to the next dividend, distribution or interest payment

    • $0.20 per share

    • $0.30 per share

14. Issue price or consideration

15. Issued following the exercise of unlisted $0.20 options, expiring 30 September 2017 pursuant to the placement announced on 27 July 2015.

16. Issued following the exercise of unlisted $0.30 options, expiring 24 April 2017 as approved by shareholders on 21 December 2012.

17. Purpose of the issue

18. (If issued as consideration for the acquisition of assets, clearly identify those assets)

    Yes

    6aIs the entity an +eligible entity that has obtained security holder approval under rule 7.1A?

    If Yes, complete sections 6b - 6hin relation to the +securities the subject of this Appendix 3B, and comply with section 6i

    26 May 2016

    6b The date the security holder resolution under rule 7.1A was passed

    Nil

    6cNumber of +securities issued without security holder approval under rule 7.1

    Nil

    6dNumber of +securities issued with security holder approval under rule 7.1A

    + See chapter 19 for defined terms.

    04/03/2013 Appendix 3B Page 2

19. 200,000 Fully paid ordinary shares following the exercise of unlisted $0.20 options, expiring 30 September 2017 pursuant to the placement announced on 27 July 2015, approved by shareholders at the general meeting held 30 September 2015.

20. 1,250,000 Fully paid ordinary shares following the exercise of unlisted $0.30 options, expiring 24 April 2017 pursuant to the Company's Employee Option Plan as approved by shareholders on 21 December 2012.

21. 6eNumber of +securities issued with security holder approval under rule 7.3, or another specific security holder approval (specify date of meeting)

    Nil

    6fNumber of +securities issued under an exception in rule 7.2

    N/A

    6gIf +securities issued under rule 7.1A, was issue price at least 75% of 15 day VWAP as calculated under rule 7.1A.3? Include the

    +issue date and both values. Include the source of the VWAP calculation.

    N/A

    6hIf +securities were issued under rule 7.1A for non‐cash consideration, state date on which valuation of consideration was released to ASX Market Announcements

    Refer Annexure 1

    6i Calculate the entity's remaining issue capacity under rule 7.1 and rule 7.1A - complete Annexure 1 and release to ASX Market Announcements

    27 April 2017

    7 +Issue dates

    Note: The issue date may be prescribed by ASX (refer to the definition of issue date in rule 19.12). For example, the issue date for a pro rata entitlement issue must comply with the applicable timetable in Appendix 7A.

    Cross reference: item 33 of Appendix 3B.

    + See chapter 19 for defined terms.

    04/03/2013 Appendix 3B Page 3