Hudson Resources Inc.

Hudson Resources Inc.

July 04, 2005 12:11 ET

Hudson Confirms Diamonds From Spring Drill Program and Inititates Summer Drilling

VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - July 4, 2005) - HUDSON RESOURCES INC. ("Hudson")(TSX VENTURE:HUD) is pleased to announce that all three drill cores tested from the Garnet Lake area in West Greenland returned significant diamond counts. This result confirms that this in situ material is the source of the significantly diamondiferous samples collected in the 2004 exploration program. Hudson is now commencing further drilling in an effort to expand the size of the Garnet Lake discovery and to test other targets identified, but not yet drilled, during the earlier spring drill program that concluded in mid May 2005.

"This is a very important result for our Company," stated James Tuer, president of Hudson. "The discovery of similar high proportions of good quality diamonds as in our summer 2004 surface sampling program, even in such a small quantity of core, is highly significant. It establishes that the Garnet Lake site hosts its own diamondiferous kimberlite body."

Drill Hole 05DS012, the closest of the three holes to the previous subcrop sample and the one sample that only tests the main kimberlite intersection, returned 15 diamonds from a 10.95 kg sample. In 2004, the subcrop sample returned a total of 151 from 107.9 kg of kimberlite. Drill Holes 05DS08 and 05DS10 each returned 6 diamonds from 14.4 kg and 14.15 kg of kimberlite, respectively. These two samples may be somewhat diluted due to numerous kimberlite intersections in the core which are unrelated to the main Garnet Lake body. The two largest diamonds measured 0.56 X 0.52 X 0.46 mm and 0.76 X 0.58 X 0.40 mm. The complete Caustic Fusion Diamond Report prepared by the SRC GeoAnalytical Laboratories, including individual stone size and description, is available on the Company's website (

Diamonds in Square Mesh Sieve Sizes
Kimberlite Weight (microns) Total
Sample (kg) +75 +106 +150 +212 +300 +425 Diamonds
--- ---- ---- ---- ---- ----
Garnet Lake
05DS08 14.40 2 - 2 1 - 1 6
05DS010 14.15 - 3 - 3 - - 6
05DS012 10.95 2 6 - 2 5 - 15
----- - - - - - - --
Totals 39.50 4 9 2 6 5 1 27

Along with testing the Garnet Lake kimberlite intersections, Hudson tested kimberlite from 05DS01 and 05DS02 drill holes at Spider Lake. One microdiamond was recovered from 14.85 kg in 05DS01 and two microdiamonds were recovered from 26.8 kg in 05DS02. Kimberlite from each of the 18 drill holes is being analysed for kimberlite indicator mineral chemistry. This will then be compared against the Garnet Lake samples to further define other areas of high diamond potential.

Dr. Mark Hutchison, head of the exploration program stated, "The argument that our samples could have been sourced from a kimberlite long since removed by glaciers and washed out to sea is now gone. Diamonds and good indicator mineralogies from the Garnet Lake site are now established as being manifest by a presently in-situ body tested to an extent of 100m in depth and 150m horizontally. Preliminary indications suggest that this body could be significantly more extensive." In fact, high quality indicator mineral chemistry similar to that recovered from the Garnet Lake kimberlite has been found in the tills along the potential strike of the body for over 5 km. A high priority of this summer's exploration program is to find outcropping of kimberlite along strike and take much larger sample sizes to gain a better idea of the size and quality of the diamonds.

The samples were processed by the Geoanalytical Laboratories at the Saskatchewan Research Council ("SRC"), Saskatoon, Saskatchewan, an independent laboratory. SRC GeoAnalytical Laboratories is accredited to the ISO/IEC 17025 standard by the Standards Council of Canada as a testing laboratory for specific tests. Small samples have been removed from all kimberlite cores for heavy mineral study by the SRC and the remaining core, including three largely untouched Garnet Lake drill cores remain in a secure facility for further study and audit purposes. Dr. Mark Hutchison, Trigon GeoServices Ltd., is in charge of the exploration program and is responsible for the collection of the samples in Greenland and managed the chain of custody from the field to the SRC. Dr. John Ferguson has reviewed the program and this press release and is a qualified person under National Instrument 43-101.


James Tuer, 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.

The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this release.

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