Nanika Resources Inc.
TSX VENTURE : NKA
FRANKFURT : C7X

Nanika Resources Inc.

August 26, 2008 17:06 ET

Nanika Announces Grant of Stock Options and Amendment of Existing Option

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Aug. 26, 2008) - Nanika Resources Inc. (TSX VENTURE:NKA)(FRANKFURT:C7X) (the "Company" or "Nanika") announces that the Board of Directors has granted, pursuant to its stock option plan, an aggregate of 700,000 incentive stock options to two directors, an officer and a consultant providing investor relations services, at an exercise price of $0.18 per share exercisable for a period of five years from the date of grant.

Of the foregoing, 200,000 stock options are being granted to Douglas Andrew Kerr, a consultant providing investor relations services to the Company pursuant to an investor relations agreement dated March 12, 2008, as amended March 26, 2008 and May 30, 2008. The stock options granted to Mr. Kerr will be subject to the vesting provisions of the TSX Venture Exchange requiring the options to vest in stages over 12 months with no more than 1/4 of the options vesting in any three month period and, accordingly, will vest as follows:

(a) 25% following the end of the third month from the date of the grant and approvals, whichever is later;

(b) 25% from the sixth month from the date of the grant and approvals, whichever is later;

(c) 25% from the ninth month from the date of the grant and approvals, whichever is later; and

(d) 25% from the twelfth month from the date of the grant and approvals, whichever is later.

In addition, the Company has agreed to amend 250,000 stock options previously granted to a company providing consulting services to the Company, by reducing the exercise price of the options from $0.60 to $0.18 per share. All other terms and provisions remain the same. This amendment is subject to the approval of the TSX Venture Exchange.

About Nanika Resources Inc.

Nanika Resources Inc. is a TSX Venture listed mineral exploration and development company focusing on the development of its Lucky Ship Molybdenum Property in west central British Columbia and the advancement of its other mineral exploration properties, all of which are located within Canada.

On Behalf of the Board

James D. Jacuta, Chairman, President & CEO

The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of the content of the information contained herein.

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