Patrician Diamonds Inc.

Patrician Diamonds Inc.

May 24, 2005 09:01 ET

Patrician Diamonds Inc.: New Diamond Claims And JV Coppermine River District, Nunavut

ORLEANS, ONTARIO--(CCNMatthews - May 24, 2005) - Patrician Diamonds Inc. ("Patrician") (TSX VENTURE:PXC) today it has entered into a letter of intent ("LOI") with Ur-Energy Inc. ("Ur-Energy"), a private uranium exploration company. Under the terms of the LOI, Ur-Energy can earn an 80% interest in Patrician's 18,000 acres at Dismal Lake, Nunavut, by paying to Patrician $50,000 to cover staking costs, 400,000 shares of Ur-Energy (100,000 in the fist year) and by spending $1 million in exploration over three years.

The Patrician claims are located between Ur-Energy's Dismal Lake East and West blocks. Ur-Energy plans to fly a Geotem airborne electromagnetic-magnetic survey over all three claim blocks in the second quarter. Historical work has located several thousand radioactive boulders on Ur-Energy's claim groups.

Similarly, should Ur-Energy find any potentially diamondiferous opportunities on its 130,000 acre Dismal Lake claims, then Patrician may earn up to 80% in the diamond potential of those claims by spending $1 million over three years in exploration.

The Dismal Lake East and West Blocks are described in a 43-101 report prepared for Ur-Energy by J. D. Charlton, P. Geo. The final agreement is subject to a fairness opinion prepared by a third party as well as TSX-Venture and board approval.

For maps and additional information about property location and technical details, please visit Patrician's web site at

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

Contact Information

  • Patrician Diamonds Inc.
    Robin B. Dow