Motapa Diamonds Inc.
TSX VENTURE : MTP

Motapa Diamonds Inc.

June 11, 2007 18:32 ET

Motapa Announces Completion of $7,000,000 Private Placement

VANCOUVER, BRITISH COLUMBIA--(Marketwire - June 11, 2007) -

NOT FOR DISTRIBUTION TO U.S. NEWS WIRE SERVICES OR DISSEMINATION IN THE UNITED STATES

Motapa Diamonds Inc. ("Motapa" or the "Company") (TSX VENTURE:MTP) has completed the non-brokered private placement previously announced on May 2, 2007. The placement consisted of 10,000,000 units at a price of Cdn$0.70 per unit for gross proceeds of Cdn$7,000,000.

Each unit consists of one common share and one non-transferable common share purchase warrant. Each common share purchase warrant entitles the holder to purchase a common share of the Company at a price of Cdn$0.95 per share on or before June 8, 2009. The common shares and any common shares acquired on the exercise of the common share purchase warrants will be subject to a hold period expiring on October 9, 2007.

If, after October 9, 2007, the common shares of the Company trade at a price of Cdn$1.45 or greater for a period of 20 consecutive trading days, the Company will be entitled to provide notice to the warrantholders that the warrants must be exercised or will expire 30 days after providing such notice.

The Company paid finders' fees of Cdn$414,057 and issued 591,510 non-transferable finders' warrants in connection with the placement. Each finders warrant entitles the holder to purchase a common share of the Company at a price of Cdn$0.95 per share on or before June 8, 2009. Any common shares acquired on the exercise of the finders' warrants will be subject to a hold period expiring on October 9, 2007.

Motapa intends to use the net proceeds of the placement to fund ongoing project work, for general working capital and corporate purposes.

The securities offered have not been registered under the U.S. Securities Act of 1933, as amended, and may not be offered or sold in the United States absent registration or an applicable exemption from the registration requirements. This press release shall not constitute an offer to sell or the solicitation of an offer to buy nor shall there be any sale of the securities in any State in which such offer, solicitation or sale would be unlawful.

On behalf of the Board

MOTAPA DIAMONDS INC.

Dr. Larry Ott, Chief Executive Officer

This news release may contain assumptions, estimates, and other forward-looking statements regarding future events. Such forward-looking statements involve inherent risks and uncertainties and are subject to factors, many of which are beyond the Company's control that may cause actual results or performance to differ materially from those currently anticipated in such statements.

The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this news release.

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