Diamonds North Resources Ltd.
TSX VENTURE : DDN

Diamonds North Resources Ltd.

September 28, 2005 10:08 ET

Kimberlite Discoveries Begin on Amaruk

VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - Sept. 28, 2005) - Diamonds North Resources Ltd. (TSX VENTURE:DDN) announces the discovery of the Umingmak kimberlite and more than 15 discrete kimberlite float occurrences on the Amaruk property, located in Nunavut. Umingmak is the first confirmed in situ kimberlite in the region. The kimberlite was discovered during the 2005 sampling and prospecting program.

The Umingmak kimberlite is exposed in three outcrop showings within a topographically low overburden covered area. It is described as olivine rich macrocrystic kimberlite with mantle derived minerals and nodules. Two samples totaling approximately 500 kilograms have been collected from Umingmak and submitted for microdiamond analysis. The size of the body has not yet been determined.

Prospecting around selected till samples with anomalous kimberlite indicator minerals has identified what Diamonds North believes is more than 15 discrete kimberlite float occurrences on the property. Kimberlite samples were collected from five of these occurrences for microdiamond analysis. Approximate field estimated sample weights range from 25 kilograms to over 100 kilograms each. In addition, 11 samples from nine occurrences have been collected for indicator mineral analysis. Numerous indicator mineral anomalies remain un-prospected.

Prospecting in 2005 was limited to a small portion of the 8 million acre Amaruk property. The discovery of multiple kimberlite float occurrences, spanning 62 kilometres, demonstrates to the company that this portion of Amaruk potentially contains a sizable kimberlite field with numerous kimberlite intrusions. In addition to microdiamond data, the Umingmak kimberlite provides the joint venture with a geophysical signature for in situ kimberlite on the property.

Diamonds North has selected for the joint venture more than 100 geophysical anomalies from 11,000 line kilometres of airborne geophysics collected in 2004 (only 3% of the property). In 2005, an additional 12,000 line kilometres of airborne geophysics was surveyed and is in the final stages of processing, interpretation and anomaly selection. A comprehensive till sample database of approximately 5400 samples across the property will be used to further prioritize the many geophysical anomalies for drill testing.

A drill program on the property is scheduled for 2006.

Mark Kolebaba the company's President states "This partnership is a great example of how effective our business strategy of leveraging our projects is in adding value for our shareholders. The Amaruk project has been methodically and rapidly advanced from a massive land position with good diamond indicators to a drill ready project with multiple kimberlite occurrences, providing plenty of blue sky in a relatively short period of time."

The 2005 Amaruk exploration program totaled approximately $3.2 million. In addition to the 12,000 line kilometres of heli-borne magnetic and electromagnetic surveying more than 2300 infill till samples were collected on the property.

The Amaruk property is located in Nunavut and surrounds the community of Kugaaruk (formerly Pelly Bay). The project is a 50:50 joint venture between BHP Billiton Diamonds Inc. and Diamonds North. BHP Billiton is currently sole funding all exploration on the project to earn an additional 10% by completing a feasibility study on the project (See News Release NR04-12, May 17th, 2004).

Kimberlite samples have been shipped to SGS Lakefield Laboratory for caustic fusion and diamond analysis under BHP Billiton's quality control and quality assurance guidelines. Bruce Kienlen (P. Geol) is the qualified person reviewing and interpreting the data for Diamonds North.

Diamonds North is a dynamic exploration team focused on strategically advancing diamond opportunities and is determined to discover Canada's next diamond mine.

ON BEHALF OF THE BOARD OF DIRECTORS

Mark Kolebaba, President

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

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