Peregrine announces modelled values of US$43 to US$70 per carat for DO-27 Bulk Sample Diamonds

Brooke Clements, President of Peregrine Diamonds Ltd. reports modelled diamond values for 2,075 carats of diamonds recovered from the nine hectare DO-27 kimberlite pipe, WO Diamond Project, NT, Canada. The average modelled value ranged from US$43 to US$70 per carat, with a “Base Case” average of US$51 per carat. The valuation was completed in Antwerp, Belgium under the supervision of WWW International Diamond Consultants Ltd. (”WWW”), an internationally recognized diamond valuation and consultancy company. These valuation results, along with updated grade and geological information, will be used by Peregrine and AMEC Americas Ltd. (”AMEC”) to complete the Preliminary Technical Assessment (”PTA”) report, which will investigate the current economic potential of DO-27.

The cumulative 2,075 carat diamond parcel was acquired by large diameter, reverse circulation bulk sample drilling campaigns completed by Peregrine in 2005, 2006 and 2007. All of the diamonds valued are from the Main Lobe and Northeast Lobe pyroclastic kimberlite (”PK”) units. An additional 188 carats that were recovered from other minor, volumetrically insignificant, Northeast Lobe lithologies in 2006 and 2007 were not included in the valuation model as these lithologies may not be included in the final resource model. Detailed information on the three bulk sampling campaigns can be found in Peregrine press releases dated June 14, 2005, September 5, 2006 and September 18, 2007.

The modelled price estimates for DO-27 represent an average diamond price in the rough diamond market in November, 2007 that might reasonably be expected, based on standard production-scale recoveries of commercial sized diamonds greater than 1.00 mm in size.

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