IGC Resources Inc.

IGC Resources Inc.

February 25, 2008 09:30 ET

IGC Resources Inc.: Further Drilling Commences at Blackburn Gold Project

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Feb. 25, 2008) - IGC Resources Inc. (TSX VENTURE:IGC)(PINK SHEETS:IGCGF)(FRANKFURT:I6G)(WKN:A0HGX4) ("IGC" or the "Company") announces that a 5,000 metre reverse circulation drilling program has commenced at the Blackburn Gold Project as IGC focuses on building additional resources within the area over the coming months. The Company is aggressively working towards developing a production profile at the Blackburn Gold Project.

The program is intended follow up on the anomalous gold identified in previous drilling, and to build the resource inventory for the project. It is anticipated the drilling will enable the Company to develop new resource models based upon the increased geological knowledge of the property and it is anticipated that a revised resource statement will be completed later in 2008.

The helicopter-borne electromagnetic survey completed last year, coupled with recent drilling and soil sampling, has significantly expanded the exploration focus for the technical team at IGC and has provided the Company with a number of opportunities for additional new discoveries.

Technical information in this announcement was reviewed by Mr. Dave Holden, CEO, who is a Member of the AusIMM and a "Qualified Person" as defined under Canadian National Instrument 43-101 ("NI 43-101").

The Blackburn Project hosts gold resources of 212,100 ounces inferred (6,244,600 tonnes at 1.06 grams per tonne ("gpt"); 19,900 ounces indicated (328,900 tonnes at 1.47 gpt gold); and 9,800 ounces measured ounces (51,300 tonnes at 5.92 gpt gold) as detailed in the NI 43-101 compliant Valuation Report prepared by Malcolm Castle, B.Sc.(Hons), MAusIMM, and filed on SEDAR (www.sedar.com) June 17, 2004. In addition, IGC has an option to acquire the plant and equipment already within the project area.

About IGC Resources Inc.: IGC Resources Inc.'s principal business activities are the exploration, development and mining of gold, copper and uranium prospects within Australia, while continuing to investigate other mineral resource prospects for potential acquisition globally. IGC also holds an IOCG exploration project in the southern Fraser Range proterozoic mobile belt and a copper-gold/uranium project at Uaroo, immediately south of the Manyingee uranium deposit near Onslow, Western Australia.

The Company also holds approximately 28% of Australian listed energy explorer, Atomic Resources Limited (ASX code ATQ).

Statements in this release may constitute forward-looking statements which involve known and unknown inherent risks and uncertainties that are detailed in IGC's periodic filings with Canadian securities regulators. Given these risks and uncertainties, investors should not place undue reliance on forward-looking statements as a prediction of actual results. Actual events or results could differ materially from IGC's expectations and projections.

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

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