DIAMOND DEVELOPMENT NEWS Drifting Begins at Star Project

SASKATCHEWAN The second shaft station has been established at the 235-m level and lateral drifting has begun at SHORE GOLD's Star diamond project at Fort a la Corne. Drilling in advance of drift development has confirmed that the kimberlite vent is larger than originally thought. A load-haul-dumper has been commissioned to muck the drifts.

The on-site dense media plant treated 6,700 tonnes of material by the end of May, and the concentrates have been shipped to an off-site laboratory for diamond recovery. Diamond results will be released after the laboratory diamond concentrate sorting and tailings audit results have been completed. Shore Gold technicians have improved plant performance and are confident that it can handle increased tonnages.

The company's website at www.ShoreGold.com contains links to photos and diagrams of the Star project.