Hudson Resources Inc.
TSX VENTURE : HUD

Hudson Resources Inc.

March 03, 2008 10:42 ET

Hudson Recovers Large High Quality Gem Diamonds at Garnet Lake, Greenland

VANCOUVER, BRITISH COLUMBIA--(Marketwire - March 3, 2008) - HUDSON RESOURCES INC. ("Hudson") (TSX VENTURE:HUD) is pleased to announce diamond results from the processing of approximately 160 tonnes of kimberlite extracted from the Garnet Lake dike in Greenland. The diamond laboratory at the Saskatchewan Research Council reported that a number of large clear colourless fragments are likely to have been derived from a single 3.5 to 4.0 carat diamond. The largest intact diamond recovered was a 2.51 carat, clear gem quality octahedron measuring 8.9mm x 8.2mm x 7.5mm. The next 25 largest stones (+2.36mm - 4750mm square mesh screen) have a total weight of 8.69 carats, a 212% increase in this size fraction over the previous bulk sample. The quality of the larger stones is exceptional and is described as colorless and clear.

"We are very pleased to have successfully demonstrated that the 100% controlled Garnet Lake dike hosts a population of larger, high quality diamonds," stated James Tuer, President of Hudson. "These diamonds are the most important component of diamond project economics. The recovery of large diamonds combined with the strong potential to host a significant tonnage of diamondiferous kimberlite is an excellent step towards defining an economic project."

The primary objective of this bulk sample program was to determine if larger stones were present in the kimberlite by crushing to a much larger size fraction than was done with the previous 47 tonne mini-bulk sample completed in early 2007. As a result, Hudson has successfully recovered a significant number of larger diamonds. As evidenced by these and previous results, due to the very coarse distribution of the diamonds, Hudson can expect to recover increasingly larger diamonds with greater sample sizes.

A total of 252 commercial sized diamonds were recovered in the bulk sample. In comparison to the 2007 47 tonne sample, the average individual diamond stone size improved by 240%, from 0.040 carats to 0.096 carats per diamond. The total number of diamonds recovered by the X-ray and grease circuit, representing approximately 140 tonnes, was 191 stones weighing a total of 18.36 carats. The balance of the sample (approximately 20 tonnes) was treated by caustic fusion in order to evaluate diamond liberation during processing. This material produced 96 macrodiamonds totalling 1.44 carats from 940.2kg of kimberlite concentrate.

Hudson's goal going forward is to put into place processing protocols that maximize the liberation of large stones and minimize diamond breakage. In addition to further drilling and ground exploration, a significant program planned for 2008 includes the extraction of larger bulk samples and the continued evaluation of processing techniques to maximize diamond liberation to an economic threshold.



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DMS
Kimberlite Conce- Total Diamond Counts
Sample ntrate (Number and weight by size fraction in mm)
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X-Ray and Grease +0.5 +0.6 +0.85 +1.18 +1.70 +2.36 +3.35 +4.75
(140t nominal Sample)
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GBF-07: 4635.65 18 75 28 16 4 1 142
-12mm kg --------------------------------------------
0.24 2.64 2.43 4.66 2.55 2.51 15.03ct
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GBF-07: 3034.60 2 35 7 4 1 49
70%-6mm kg --------------------------------------------
.03 1.19 0.63 0.95 0.53 3.33ct
---------------------------------------------------------------------------
Caustic Fusion (20t nominal sample)
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GBF-07: 583.65 8 17 28 16 2 71
-12mm kg --------------------------------------------
.012 .075 .314 .409 .189 1.000ct
---------------------------------------------------------------------------
GBF-07: 356.55 4 6 7 7 1 25
70%-6mm kg --------------------------------------------
.008 .030 .104 .209 .093 0.444ct
---------------------------------------------------------------------------


The diamonds are classified as 85% white/colourless, 11% grey and 4% amber. One third of the diamonds are clear and the balance have minor inclusions. The largest diamonds are clear. Over 40% of the diamonds are octahedrons or have octahedroid shapes. Almost 50% of the diamonds are reported as broken or fragments. Apart from natural fragmentation, diamond breakage could have occurred during blasting, crushing or processing. The hardness of the kimberlite requires additional study in order to perfect the best diamond liberation methods.

The number of smaller diamonds recovered in the 0.85mm to 1.70mm size fraction was less than recovered from previous samples and microdiamond results. This is believed to be the result of the much coarser crush in relation to last years sample. The caustic fusion results support the notion that a large number of small macrodiamonds remain embedded in the coarse crushed kimberlite. Furthermore, the original 47 tonne sample was initially crushed to minus 6mm with an average estimated kimberlite grain size in the 3mm to 4mm range. Crushing that material to minus 3mm, increased the grade by 28%.

The recent sample is still coarser than the initial crush of last years 47 tonne sample. Hudson anticipates that it would significantly improve the recovery of small stones in the event of staged crushing to smaller size fractions and is planning to test this by further crushing of the remaining bulk sample material. However, management believes this to be an academic exercise to confirm grade with modelled projections and not an economic one. The economic grade is much more relevant due to the fact that almost all of the value is derived from the larger stones.

The samples were processed by the GeoAnalytical Laboratories at the Saskatchewan Research Council ("SRC"), Saskatoon, Saskatchewan, an independent laboratory. SRC is accredited to the ISO/IEC 17025 standard by the Standards Council of Canada as a testing laboratory for specific tests. The circuit is comprised of a Flow Sort twin pass x-ray unit followed by a grease table. The material is first sized over a vibrating screen into 1-3mm, 3-6mm and 6-12mm size fractions. Concentrate from the Flow Sort goes directly into a locked container, which is opened in a secured picking room for hand sorting. The Flow sort tailings pass over the grease table in order to capture any diamonds missed by the x-ray machine. The Grease table concentrate is then placed into a secure cage for overnight degreasing then moved to a secure hand sorting room. Mr. Jim Cambon was in charge of the collection of the samples in Greenland and managed the chain of custody from the field to the SRC. Dr. John Ferguson reviewed this press release and is a qualified person under National Instrument 43-101.

Hudson management will be available to meet with shareholders at the PDAC Convention in Toronto from March 3-5, 2007 (Booth #2648). James Tuer, President, will be making a presentation today at 3:20PM in Room 801B, which is located on level 800 in the Metro Toronto Convention Centre, South Building.

ON BEHALF OF THE BOARD OF DIRECTORS

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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