Stornoway Diamond Corporation
TSX : SWY

Stornoway Diamond Corporation

October 11, 2006 14:46 ET

Stornoway and Ashton Agree on Transition of Board of Directors

VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - Oct. 11, 2006) - Stornoway Diamond Corporation (TSX:SWY) is pleased to announce that it has entered into an agreement with Ashton Mining of Canada Inc. that provides for a transition in the Board of Directors of Ashton. These changes follow from Stornoway's recent acquisition of approximately 72.7% of the outstanding common shares of Ashton under its takeover bid for all of the shares of Ashton.

Upon the expiry of Stornoway's takeover bid, the Board of Directors of Ashton shall be comprised of six directors being: Eira M. Thomas, Brian C. Irwin, David DeWitt, Marcel de Groot, David Watkins and G. Bernard Coulombe. Messrs. Watkins and Coulombe are currently directors of Ashton. Ms. Thomas is currently President, CEO and a Director of Stornoway.

As an initial transition step, Stephen J. Jopling resigned from the Board of Directors of Ashton. Concurrently, the Ashton Board has appointed Mr. Brian C. Irwin and Mr. David DeWitt as directors, effectively immediately.

At the request of the Board of Directors of Ashton, Mr. Boyd will continue to act as President and CEO on an interim basis in order to facilitate an orderly transition to a President and CEO to be selected by the new Board of Directors.

Both Ashton and Stornoway thank the departing directors for their service to Ashton and their many contributions to its development and success.

Catherine McLeod-Seltzer, Chairman of Stornoway, said, "We are pleased to be working cooperatively and constructively with Ashton's Board of Directors and management to ensure the transition process is smooth. Together, we have assembled a strong new Board of Directors for Ashton, which combines mining, legal and accounting backgrounds. The new Board of Directors recognizes the strength and depth of Ashton's management and technical teams and looks forward to working closely with them to advance and maximize the value of Ashton's assets. We also expect that the new Board of Directors will work closely with and rely on Robert T. Boyd and his knowledge about Ashton and its assets, including in particular the Renard Project."

On behalf of the Board

STORNOWAY DIAMOND CORPORATION

Eira Thomas, President

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 the Company's expectations are in Company documents filed from time to time with the Toronto Stock Exchange and provincial securities regulators, most of which are available at www.sedar.com. The Company disclaims any intention or obligation to revise or update such statements.

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