Archangel Diamond Corporation
TSX VENTURE : AAD.H

Archangel Diamond Corporation

February 17, 2010 13:35 ET

Notice to Common Shareholders of Archangel Diamond Corporation

TORONTO, ONTARIO--(Marketwire - Feb. 17, 2010) -

To: Holders of common shares of Archangel Diamond Corporation ("ADC") (TSX VENTURE:AAD.H).

Pursuant to the confirmed plan of liquidation in ADC's chapter 11 case (the "Chapter 11 Plan"), the assets of ADC will be transferred to the Liquidating Trust established for this purpose shortly. These assets will include ADC's right, title and interest in the Colorado Litigation and any proceeds thereof. The Chapter 11 Plan was confirmed by the United States Bankruptcy Court for the District of Colorado on December 17, 2009.

The Chapter 11 Plan provides that ownership of the outstanding shares of ADC common stock entitles the holders of such stock to benefit from the Liquidating Trust by receiving "Class B Shares" of the trust (which have not yet been issued).

All of the shares of ADC outstanding carry the right to benefit from the Liquidating Trust by receiving class B shares of the Liquidating Trust.

If you are currently an owner of ADC shares that you purchased after June 26, 2009 you should do the following in order to ensure that you are issued Class B Shares of the Liquidating Trust in respect of the ADC shares that you own when the Class B Shares are issued:

1. If the ADC shares that you purchased are recorded in the CDS (in Canada) or DTC (in the U.S.) book-based system, the Class B Shares in respect of the ADC shares that you own will be issued to CDS & Co. (the nominee holder for CDS) or CEDE & Co. (the nominee holder for DTC). You therefore should instruct your broker to take all steps necessary so that the Class B Shares issued in respect of the ADC shares you own are credited to your account with your broker and, in turn, to you.

2. If the ADC shares that you purchased are not recorded in the CDS (in Canada) or DTC (in the U.S.) book-based system but, rather, in the names of one or more specific persons, then you (or your broker on your behalf) should notify the trustee of the Liquidating Trust that you are now the owner of those shares (and provide the trustee with such reasonable details and evidence of such ownership as may be required).

3. If you do not know, or are uncertain, whether the ADC shares you own are recorded in the CDS or DTC book-based system or not, you should both instruct your broker as described in 1 above and notify the trustee as described in 2 above.

The name and address of the trustee of the Liquidating Trust is:



Mr. Edward B. Cordes
Cordes & Company
Suite 815, 5299 DTC Boulevard
Greenwood Village, CO
USA 80111


For further information about the Chapter 11 Plan and the Liquidating Trust, the following are available on-line, at no cost, at the Canadian System for Electronic Document Analysis and Retrieval (SEDAR) at www.sedar.com, in the list of documents filed by ADC: the Chapter 11 Plan and the Chapter 11 Disclosure Statement (both filed as "security holders documents" in two entries on November 26, 2009); and the Order confirming the Chapter 11 Plan (filed as "security holders documents" on December 22, 2009) which confirmation order was recognized by order of the Canadian Bankruptcy Court on February 5, 2010.

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this news release.

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