Shear Minerals Ltd.

Shear Minerals Ltd.
Stornoway Diamond Corporation

Stornoway Diamond Corporation

May 05, 2005 16:24 ET

Shear Minerals Ltd. and Stornoway Diamond Corporation: Spring Drilling Commences at Churchill Diamond Project; First Kimberlite Intersected


NEWS RELEASE TRANSMITTED BY CCNMatthews

FOR: SHEAR MINERALS LTD.

TSX VENTURE SYMBOL: SRM

AND STORNOWAY DIAMOND CORPORATION

TSX SYMBOL: SWY

MAY 5, 2005 - 16:24 ET

Shear Minerals Ltd. and Stornoway Diamond Corporation:
Spring Drilling Commences at Churchill Diamond
Project; First Kimberlite Intersected

EDMONTON, ALBERTA and VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - May 5,
2005) - Shear Minerals Ltd. (TSX VENTURE:SRM), Stornoway Diamond
Corporation (TSX:SWY) and BHP Billiton Diamonds Inc. (BHP Billiton)
announced today that spring exploration drilling on the Churchill
Diamond Project has commenced and a new kimberlite has been intersected
in the first hole.

Drill hole number 05KD428-02 was designed to test KD5071, a circular
magnetic high with associated EM geophysical anomaly. The vertical drill
hole tested the centre of the anomaly and intersected kimberlite at a
depth of 11.5m and the hole remains in kimberlite at a depth of 71m.

This spring program will test high priority lake-based, geophysical
targets situated within the Sedna and Josephine River corridors, where
anomalous concentrations of kimberlitic indicator minerals with
prospective diamond chemistry have been identified from till sampling
work completed between 2001 and 2004. The geophysical targets selected
for drilling are located within relatively constrained, discrete mineral
trains containing high-interest indicator mineral chemistry that does
not appear to correlate with the kimberlites drilled to date on the
Churchill Project.

A 36 person camp has been established within the centrally located
Josephine River Corridor. This location allows crews and drill and
equipment to be mobilized overland in order to minimize the down time
related to weather that limits aircraft usage. Ground geophysical crews
are on site and have completed 25 surveys over selected high interest
anomalies. Geophysics will include ground magnetics, HLEM and selected
nanoTEM.

Drilling will continue through to the end of the summer season and will
focus on land-based targets within the same areas of interest. Later in
the summer season additional drill targets may be added to the program
should any anomalous high interest results emerge from yet to be
received 2004 till samples.

The Churchill Diamond Project is comprised of mineral rights to more
than 9 million acres located near the community of Rankin Inlet and
Chesterfield Inlet in the Kivalliq region of Nunavut. The project is
owned by joint venture partners Shear, which has a 51% interest and is
the operator, Stornoway (35%) and BHP Billiton (14%). In 2003 and 2004,
Shear and its partners discovered 24 kimberlites over a wide area on the
Churchill and Churchill West projects. The 2005 field program is under
the supervision of Jennifer Burgess, P. Geo., a Qualified Person under
NI 43-101.

On behalf of the Board

SHEAR MINERALS LTD.

Pamela Strand, P. Geol., President

On behalf of the Board

STORNOWAY DIAMOND CORPORATION

Eira Thomas, President

This news release contains forward-looking statements regarding ongoing
and upcoming exploration work and expected geology, geological
formations and structures. Actual results may differ materially from
those anticipated in these statements.

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Contact Information

  • FOR FURTHER INFORMATION PLEASE CONTACT:
    Shear Minerals Ltd.
    Pamela Strand, P. Geol.
    President
    (780) 435-0045 or 1-866-298-9695
    (780) 989-0322 (FAX)
    www.shearminerals.com
    or
    Stornoway Diamond Corporation
    Eira Thomas
    President
    (604) 331-2259 or 1-888-338-2200
    (604) 689-5401 (FAX)
    www.stornowaydiamonds.com
    The TSX Venture Exchange has not reviewed and does not accept
    responsibility for the adequacy or accuracy of this release.