DIAMOND EXPLORATION – $25.6-million worth of advanced exploration at Fort la Corne

SASKATCHEWAN - Three partners have agreed to an overall budget of up to $25.6 million for an advanced exploration and evaluation plan in 2005 on the Fort la Corne project, 50 km northeast of Prince Albert. The project is a joint venture between DE BEERS CANADA INC. (42.25% and operator), KENSINGTON RESOURCES LTD. (42.25%) and CAMECO CORP. (5.5%); UEM INC. has a carried 10% interest.

This is the largest annual commitment to date on the property. The program is designed to move the project to a pre-feasibility decision in 2008.

During the first phase of the plan, emphasis will be on geological drilling and microdiamond analysis to determine the internal geology and grades of the targeted kimberlites. Encouraging results will lead to delineation drilling and mini-bulk sampling of selected units to confirm the macrodiamond potential. The kimberlite selection for the 2005 program has yet to be determined by the Joint Venture partners.

Other work will include geotechnical and hydro-geological drilling, preliminary environmental data collection and ongoing stakeholder consultation. Further information is available from Linda Dorrington, manager public and corporate affairs for De Beers Canada, tel. (416) 645-1710 or at www.debeerscanada.com.