Lucara Diamond Corp. - Corporate Governance

STATEMENT OF CORPORATE GOVERNANCE PRACTICE
(presented by the Corporate Governance and Nominating Committee)

The Corporation chooses to disclose its corporate governance practices using the disclosure requirements in National Instrument 58-101, Disclosure of Corporate Governance Practices ("NI 58-101") that apply to issuers listed on the TSX. The Corporation's statement of corporate governance practices is made with reference to National Policy 58-201, Corporate Governance Guidelines and NI 58-101 (hereinafter collectively the "Governance Guidelines") which are initiatives of the Canadian Securities Administrators ("CSA").

The Corporation's Corporate Governance and Nominating Committee has monitored the various changes and proposed changes in the regulatory environment and, where applicable, amended its governance practices to align with these changes that are currently in effect.

In accordance with the Governance Guidelines, the Corporation has chosen to disclose its system of corporate governance in its Management Proxy Circular. Exhibit I to this Circular sets forth the steps taken by the Corporation in order to comply with the Governance Guidelines and its system of corporate governance now in force.

Disclosure required by National Instrument 52-110 - Audit Committees, relating to the Corporation's Audit Committee, including the Audit Committee Charter, the Composition of the Audit Committee, Relevant Education and Experience of Audit Committee members and External Auditor Service Fees, are disclosed in the Corporation's Annual Information Form for the year ended December 31, 2010, which is incorporated herein by reference, and has been filed on SEDAR which is available under the Corporations profile at www.sedar.com (see section titled, "Additional Information" for information on how to obtain a copy of the Corporation's latest Annual Information Form).


Exhibit I


Health & Safety Policy


Environmental Policy


CSR Charter