Peregrine Diamonds Ltd.

Peregrine Diamonds Ltd.

November 22, 2007 09:45 ET

Peregrine Diamonds Ltd.: Diamondiferous Kimberlites Discovered at Nanuq, Nunavut, Canada

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Nov. 22, 2007) - Peregrine Diamonds Ltd. (TSX:PGD) ("Peregrine") is pleased to announce that it has discovered three diamondiferous kimberlite pipes on its wholly-owned Nanuq property, located approximately 300 kilometres north of Rankin Inlet in Nunavut, Canada.

Peregrine has been exploring at Nanuq for the last two years, taking 1,692 heavy mineral samples and completing more than 14,000 line-kilometres of airborne and ground geophysical surveys. During the summer of 2007, Peregrine began its first core drilling campaign at Nanuq targeting three distinct magnetic anomalies, resulting in the discovery of three diamondiferous kimberlite pipes. Twelve core holes totaling 2,500 metres, drilled in a combination of angled and vertical orientations, were completed on the three kimberlites with kimberlite intersections ranging from 59 to 248 metres in length. With at least 10 additional magnetic anomalies currently identified on the property, Peregrine is confident that additional kimberlites will likely be discovered at Nanuq when drilling resumes next year.

Two of the three kimberlites discovered at Nanuq to date are among the largest diamondiferous kimberlites yet discovered in the eastern Arctic of Canada.

A total of approximately 1,632 kilograms of kimberlite from the three pipes, named Naturalik, Kayuu, and Tudlik, were sent to the Saskatchewan Research Council Geoanalytical Laboratories (SRC), which is accredited to the ISO/IEC 17025 standard, for microdiamond recovery via caustic fusion. As of today's date, microdiamond results from 1,318.85 kilograms of kimberlite have been received and are summarized below.

Number of Diamonds per Sieve Size
Wt. 1.18 .85 .60 .425 .30 .212 .15 .106 .075 Total
Kimberlite (kg.) mm mm mm mm mm mm mm mm mm Diamonds
Naturalik 705.85 0 2 1 6 17 41 57 82 108 314
Kayuu 524.05 1 0 1 22 22 41 87 106 113 393
Tudlik 88.95 0 0 2 5 12 10 29 17 37 112

Microdiamond results from the approximately 314 kilograms of kimberlite currently outstanding, which are all from the Kayuu kimberlite pipe, are expected from SRC by the end of this month. Considering the relatively small sample sizes, Peregrine is very encouraged by these micro-diamond results.

Naturalik (which means Eagle in Inuktitut), is estimated to be over seven hectares in size and is described as a multiphase pipe-shaped body in-filled by two magmatic kimberlite units and a variably fragmented volcaniclastic kimberlite unit.

Kayuu (which means Hawk in Inuktitut), is located approximately five kilometres west of Naturalik and is estimated to be approximately five hectares in size with complex internal geology. Kayuu is described as a pipe-shaped body in-filled by six volcaniclastic kimberlite units and one variable volcaniclastic to apparent magmatic kimberlite unit.

Tudlik (which means Sandpiper in Inuktitut), is located approximately 300 metres southwest of Kayuu. Tudlik is smaller than Naturalik and Kayuu, at less than 1.0 hectare in size, and was intersected with only a single drill hole. The kimberlite recovered is described as a volcaniclastic unit, generally massive, fine-grained and moderately macrocrystic with a low abundance of mantle indicator minerals and country rock xenoliths.

The detailed geological analysis was conducted by Mineral Services Canada Inc., in conjunction with Peregrine's geological staff.

Peregrine plans to continue its aggressive exploration of Nanuq next year using a combination of ground geophysics, followed by core drilling of the most prospective anomalies. Next season's program will also include PQ diameter core drilling (85 mm, outside diameter) of the three known diamondiferous kimberlites in order to obtain larger samples for macro-diamond analysis.

Jennifer Pell, Ph.D., P.Geo., Chief Geoscientist for Peregrine Diamonds Ltd., is the Qualified Person under NI 43-101 in regards to Peregrine's Canadian diamond exploration projects.

Peregrine is a Canadian diamond exploration/development company that is managed by experienced geoscientists. In addition to completing a Preliminary Technical Assessment on the nine hectare DO-27 kimberlite, WO Diamond Project, NT, Peregrine is also exploring for other diamondiferous kimberlites on its extensive land holdings in Canada. Peregrine trades on the Toronto Stock Exchange under the symbol "PGD".

Forward-Looking Statements: This document includes forward-looking statements. Forward-looking statements include, but are not limited to statements concerning Peregrine's projects, pre-feasibility studies, and other statements that are not historical facts. When used in this document, the words such as "could", "confident", "plan", "estimate", "expect", "anticipated", "intend", "likely", "may", "potential", "should", "scheduled", "significant", and similar expressions are forward-looking statements. Although Peregrine Diamonds Ltd. believes that its expectations reflected in these forward-looking statements are reasonable, such statements involve risk and uncertainties and no assurance can be given that actual results will be consistent with these forward-looking statements. Important factors that could cause actual results to differ from these forward-looking statements are disclosed in the corporation's periodic filings with Canadian regulators.

Contact Information

  • Peregrine Diamonds Ltd.
    Jim Crawford
    Manager - Investor Relations
    (604) 408-8880
    (604) 408-8881 (FAX)