Tandem Resources Ltd.
TSX VENTURE : TDM

Tandem Resources Ltd.

May 25, 2005 18:17 ET

Tandem Resources Ltd. Announces Private Placement

TORONTO, ONTARIO--(CCNMatthews - May 25, 2005) - Management of Tandem Resources Ltd. (TSX VENTURE:TDM) ("Tandem" or the "Company") intends to complete one or more private placements at $0.05 per share for an aggregate of 1,000,000 shares and 1,000,000 warrants exerciseable at $0.10 per share for a period of 2 years to be closed in June 2005. Insiders of the Company will subscribe for greater than 25% of the Private Placement. There are currently 37,208,307 shares outstanding. This news release is intended to protect the price of this Private Placement in accordance with TSX Venture Exchange Policy.

The Company is in negotiation to acquire a US-based technology company however, no agreement has yet been reached. If and when an agreement in principle is reached, shareholders and the appropriate regulatory authorities will be notified.

Last year it was proposed to carry out further work on the Highway 101 property, however, this was held in abeyance pending the outcome of discussions with the private US-based technology company mentioned above.

The Company continues to hold an interest in the Torngat-diamond-bearing area, near Ungava Bay, Northern Quebec. The Company also retains its Highway 101 gold property near Matheson, Northern Ontario as well as a 50% interest in the Frond Lake gold property located approximately 70 miles east of Pickle Crown in Northwestern Ontario. The Company's 50% interest in the Frond Lake property is subject to an agreement with Landore Mines, which has yet to be finalized.

Neither the TSX Venture Exchange Inc. nor any other regulatory body accept responsibility for the adequacy or accuracy of this news release.

Stock Symbol: TDM-TSXV

ON BEHALF OF THE BOARD OF DIRECTORS

(Signed)

Michel J. Lafrance, Corporate Secretary

Neither the TSX Venture Exchange Inc. nor any other regulatory body accept responsibility for the adequacy or accuracy of this news release.

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