|DIAMONDS NORTH RESOURCES LTD. : http://www.diamondsnorth.com/ : News Releases 2005|
Wed Apr 20, 2005
Diamonds North and Stornoway Enter into Agreement to Explore Manitoba Highlands Project
|News Release: 05-12
Vancouver, April 20, 2005 - Diamonds North Resources Ltd. (DDN - TSX Venture) and Stornoway Diamond Corporation (SWY - TSX) announce that the companies have entered into an agreement to explore the Manitoba Highlands project under a 50:50 joint venture. The project is located in the Hudson Bay Lowlands of northeastern Manitoba and was originally acquired by Diamonds North in 2004.
Under the terms of a joint venture finalized on April 18 2005, Stornoway and Diamond's North have agreed to fund the original acquisition and exploration costs and all future exploration work on the project equally. Diamonds North will act as the Operator.
The Highlands property lies within a favourable geological setting similar to that which hosts the Attawaspikat kimberlites where DeBeers Canada Inc. has recently completed feasibility and environmental assessment studies on the Victor Pipe.
During the 2004 exploration program, the companies recovered kimberlite indicator minerals from several samples collected on the property. In addition a 14,950 line kilometer magnetic airborne survey completed over the entire property has revealed approximately 50 magnetic anomalies, of which, 15 are rated as high priority and require immediate follow-up work.
Plans for the 2005 exploration program include ground geophysical surveying to assist in target selection for an anticipated diamond drilling program later this year.
The Manitoba Highlands exploration program is part of Diamonds North's estimated $13,000,000 to $15,000,000 exploration budget for 2005 which is funded by Diamonds North and its partners. In addition to Stornoway, Diamonds North is partnered with BHP Billiton Diamond Inc., Teck Cominco Limited, Kennecott Canada Exploration Inc., SouthernEra Diamonds Inc. and Majescor Resources Inc. Diamonds North also holds 100% interest in several advancing projects in NWT and Nunavut.
Diamonds North expects three to five drill programs for 2005. Mobilization has already begun for the Victoria Island project drill program. Diamonds North's current project portfolio encompasses over 27 million acres of land in five known and ten potential kimberlite districts.
Graham Gill (P.Geo) is the company's qualified person reviewing the project data for Diamonds North. Also reviewing the data is Stornoway's qualified person, Robin Hopkins
Diamonds North is a dynamic exploration team focused on strategically advancing diamond opportunities and is determined to discover Canada's next diamond mine.
ON BEHALF OF THE BOARD OF DIRECTORS
President & CEO
Diamonds North Resources Ltd
For further information, please contact:
Diamonds North Resources Ltd.
Corporate Communications: Nancy Curry
The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy of this news release
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