EXPLORATION NEWS – Diamonds on Victoria Island

Three kimberlite samples from the Hadley Bay project on Victoria Island have yielded macrodiamonds, report partners Canabrava Diamond Corp. and Diamonds North Resources. The samples came from the King Eider pipe, part of a diamondiferous cluster including the Jaeger, Turnstone, Sanderling and Pintail kimberlites. The core was taken from drillhole HD02-12 over more than 100 metres. SGS Lakefield made the evaluation. All three samples contained diamonds, the largest of which was 1.17 x 1.17 x 1.13 mm. Results from other samples are pending. The King Eider pipe, marked by a magnetic anomaly measuring 200 x 300 metres, was located using airborne geophysics and detailed ground geophysics.

Canabrava has the option to earn a 50% interest by investing $5 million and issuing 250,000 shares to Diamonds North (the operator). Needless to say, Canabrava president George Read is "encouraged" by results at Hadley Bay, noting that further testing will be conducted.

More information on the companies involved can be found at www.canabrava.ca or www.diamondsnorthresources.com