Superior Diamonds Inc.

Superior Diamonds Inc.

November 23, 2006 08:00 ET

Superior Diamonds Inc.: Kimberlite Discovered in the Lac Lussac Area, Ville Marie Project, Quebec

VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - Nov. 23, 2006) - Superior Diamonds Inc. (TSX VENTURE:SUP) ("Superior" or "the Company") is pleased to announce that the Company has discovered a kimberlite body during the second phase reverse circulation drill program on its Ville Marie project. The kimberlite occurs at the head of a kimberlite indicator mineral dispersal train, one of four defined by Superior from its extensive overburden sampling program carried out over the past three years. Completion of this phase of reverse circulation drilling is expected by the end of November.

Superior's President and CEO John Paterson said: "The discovery of kimberlite in Lac Lussac is important in that it is the first kimberlite discovered in this part of the Temiskaming area and the physical signature of this kimberlite will be useful in better defining further drill targets. The discovery of kimberlite in three drill holes confirms that the thousands of kimberlite indicator minerals the Company has recovered in overburden material is sourced from within our large claim holdings in the Ville Marie area. On completion of the reverse circulation drill program, we are planning to initiate a diamond drilling program in both the Lac Lussac and the Lac Honorat areas in February 2007. As previously reported, we have closed off the kimberlite indicator dispersal train at Lac Honorat. Prior to starting the diamond drilling the Company plans to complete ground gravity geophysical surveys to better define drill targets."

Preliminary observations by Mr. Stu Averill, P.Geo., President of Overburden Drilling Management Limited who are supervising the drilling program, indicates that the material intersected in drill holes is likely crater facies kimberlite. Stu Averill is recognized as the foremost authority on interpretation of heavy mineral assemblages recovered from overburden material in the search for ore deposits in glaciated terrains. The three drill holes which intersected kimberlite are spaced 80 metres apart in an east-west direction. Based on magnetic information, it appears that the body has dimensions of 210 metres by 130 metres. The true size of the kimberlite body will not be known with certainty until the diamond drilling program is completed.

Compilation of kimberlite indicator mineral counts from the overburden samples collected by Superior in the Ville Marie area over the past three years has defined four distinct source regions for these minerals. Thousands of indicator minerals have been recovered including a large population of G10 garnets and inclusion chromites suggesting that the source kimberlite may be diamondiferous.

In addition to the Ville Marie region, Superior is exploring for diamonds on a number of other properties on the Canadian Shield, including the Mistassini project, which is situated on the same structures as the emplaced Renard Kimberlites discovered by Ashton Mining of Canada.

About Superior Diamonds

Superior Diamonds is a junior Canadian exploration company searching for diamonds in the under-explored and highly prospective regions of the Canadian Shield. Over a period of just three years, Superior's highly skilled team has defined four promising target areas through grass roots exploration, and is now focused on prioritizing these targets for drilling. To diversify risk and balance its portfolio, the Company has adopted a strategy to explore for other commodities where it has a proven track record of expertise, primarily gold and uranium. The Company is a reporting issuer in British Columbia, Alberta, Ontario and Quebec, and trades on the TSX Venture Exchange under the symbol SUP.

Superior Diamonds is owned 14.8% by Southwestern Resources Corp. and 14.84% by FNX Mining Company Inc.

The Company's Qualified Person for the Ville Marie Project, as defined under National Instrument 43-101, is Thomas Morris, PhD, P.Geo., Vice President Exploration. As the Qualified Person he has prepared or supervised the preparation of the scientific and technical information for this Project.

Forward-looking Statements

Statements in this release that are forward-looking statements are subject to various risks and uncertainties concerning the specific factors disclosed under the heading "Risk Factors" and elsewhere in the Corporation's periodic filings with Canadian securities regulators. Such information contained herein represents management's best judgment as of the date hereof based on information currently available. The Company does not assume the obligation to update any forward-looking statements.

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

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