Shear Minerals Ltd.
TSX VENTURE : SRM

Shear Minerals Ltd.

July 17, 2008 10:20 ET

Shear Minerals Ltd. Announces Road Accessible Drill Ready Targets at Crystal Diamond Project, Michigan

EDMONTON, ALBERTA--(Marketwire - July 17, 2008) - Shear Minerals Ltd. (TSX VENTURE:SRM) ("Shear") is pleased to announce results from several field programs at its 100% owned Crystal Diamond Project, Michigan, USA. Shear has been exploring the Michigan Kimberlite Province since 2004 and has successfully acquired an initial land position based on till sampling and ground exploration results.

"The Crystal Diamond Project is an exciting new opportunity for Shear in a road accessible low cost exploration prospect," says Shear President and CEO Pamela Strand. "Our exploration to date has been driven by indications of a new regional high interest mineral chemistry signature, the application of modern exploration techniques and historic diamond and kimberlite discoveries".

Several field programs have been completed at the Crystal Diamond Project. Shear has collected a total of 44 regional till samples that were processed at the Saskatchewan Research Council. Of these samples, over 30 samples yielded diamond indicator minerals with probe confirmed kimberlitic grains include pyrope garnet, olivine, chrome diopside, chromite and picroilmenite. A subtle G10 signature of interest is being followed up. Additionally, a regional prospecting and ground check program has identified 17 locations with kimberlite-like fragments.

In 2007, a 6,650 line km high resolution fixed-wing airborne magnetic (HRAM) survey was completed over two priority areas by Firefly Aviation Ltd., of Calgary, Alberta A review of the geophysical data by independent consultant Christopher Campbell of Intrepid Geophysics, Vancouver BC, identified a total of 84 isolated magnetic targets suggestive of kimberlite, including 10 high priority. To date, a total of nine ground geophysical surveys have been completed over targets and a total of five targets are presently drill ready. All areas of the project are easily accessible year round by state highways, county roads and logging roads.

The Michigan Kimberlite Province was discovered between the late 1970's and mid 1990's when more than 20 kimberlites were discovered in the Upper Penninsula of Michigan, some in excess of 20 acres in size and diamondiferous. The known Michigan kimberlite field strikes over a 50 km distance and is underlain by Archean rocks of the Superior Provence. Five gem quality diamond discoveries (21.25, 15.37, 6.41, 3.87, 2.17 carats) in SE Wisconsin discovered in the late 1800's are located down ice of the Crystal Diamond Project.

The Crystal Diamond Project was initially a grass roots concept brought to Shear by an arm's length party (the "Finder") in 2004 and consists of select mineral rights acquired in January, 2007. Pursuant to an agreement with the Finder made October 15, 2004, Shear issued to the Finder 100,000 common shares of Shear ("Common Shares") upon issuance of the mineral leases. Shear is obligated to issue to the Finder 20,000 Common Shares for each diamondiferous kimberlite discovered on the Crystal Diamond Project, to a maximum of 100,000 Common Shares and pay the Finder a 3% gross overriding royalty on production from the Crystal Diamond Project, of which 1.5% can be purchased by Shear for US$1.0 million for each whole percentage, and if any fraction of a percentage is purchased, by an amount pro-rated in accordance with the percentage purchased.

Shear is a Canadian-based exploration company focused on diamond exploration in the Canadian North where it explores in established diamond districts and has discovered new ones. Shear currently has a portfolio of eight diamond projects, seven of which are drill-ready. Shear has advanced its flagship Churchill Diamond Project from a conceptual idea to an expanding diamond district. Shear is the operator and owns an undivided 58.14% interest (the remaining 41.86% undivided interest is owned by Stornoway Diamond Corp.) in the Churchill Diamond Project, which is comprised of the diamond rights to more than two million acres located near the communities of Rankin Inlet and Chesterfield Inlet in the Kivalliq region of Nunavut. Work is presently focused on continued exploration of new promising indicator mineral trains and geophysical anomalies as well as the evaluation of a system of significantly diamond-bearing, vertically-emplaced kimberlite dykes that have returned sample grades of up to 2.18 carats per tonne.

This news release may contain forward looking statements, being statements which are not historical facts, including, without limitation, statements regarding potential mineralization, exploration results, resource or reserve estimates, anticipated production or results, sales, revenues, costs, "best-efforts" financings or discussions of future plans and objectives. There can be no assurance that such statements will prove accurate. Such statements are necessarily based upon a number of estimates and assumptions that are subject to numerous risks and uncertainties that could cause actual results and future events to differ materially from those anticipated or projected. Important factors that could cause actual results to differ materially from either of the Companies' expectations are in Company documents filed from time to time with the TSX or the TSX Venture Exchange and provincial securities regulators, most of which are available at www.sedar.com. The Companies disclaim any intention or obligation to revise or update such statements.

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

Contact Information

  • Shear Minerals Ltd.
    Pamela Strand
    President and CEO
    (780) 435-0045 or Toll Free: 1-866-298-9695
    or
    Shear Minerals Ltd.
    Jeremy James
    Business Development
    (780) 435-0045 or Toll Free: 1-866-298-9695
    (780) 989-0322 (FAX)
    Email: info@shearminerals.com
    Website: www.shearminerals.com