VANCOUVER, BRITISH COLUMBIA-(June 18, 2009) - Chalice Diamond Corp. (TSX VENTURE:COD) and Abitibi Mining Corp. (TSX VENTURE:ABB) (the 'Companies') are pleased to announce that a recent gold discovery made by Strike Minerals Inc. ('Strike') has potential to extend onto claims optioned by the Companies to Strike earlier this year.
Strike recently reported (see Strike press release dated June 9, 2009) highly encouraging results from a 30-hole drilling program conducted at its Nicholson gold property north of Missinabie, Ontario. Highlights include 298.43 grams gold per tonne over 0.46 meters intersected at a vertical depth of 40.5 meters on the main showing. The gold-bearing quartz vein was traced more than 140 meters on strike, with potential to continue to both the northwest and southeast.
In recognition of the potential for the continuation of the main showing, Strike optioned four claims (held 75% by Chalice Diamond and 25% by Abitibi Mining) surrounding its Nicholson property earlier this year (see press release March 31, 2009). Strike agreed to pay the Companies a total of $60,000 and 300,000 shares over a two-year period as well as spend $300,000 to explore the claims by March, 2012. Once these commitments are completed, Strike will have earned a 100% interest in the four claims, subject to a 3% NSR.
With the success of the recently completed drilling program, Strike is extending its option with the Companies on the Nicholson property. The extension of the option permits Strike to further explore and develop the potential of the Nicholson property.
By June 26, 2009, Strike will make its second payment of $10,000 and issue a further 50,000 shares to Chalice Diamond Corp. (75%) and Abitibi Mining Corp. (25%).
Strike is currently reviewing all data from the drilling program and past programs. The project geologist is developing a plan of further exploration of the property to prove its full merit.
About Chalice Diamond
Chalice Diamond Corp., in conjunction with joint venture partners, is continuing the search for diamond, base and precious metal deposits in the Wawa-Chapleau region of Ontario, where it has staked or optioned approximately 100,000 hectares of highly prospective ground.
Visit Chalice Diamond's web-site: www.chalicediamond.com for current information and to see Smartstox interviews with company Chairman Richard Hughes.
The statements made in this Press Release may contain forward-looking statements that may involve a number of risks and uncertainties. Actual events or results could differ materially from the Company's expectations and projections.
The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this news release.
For more information, please contact
Hughes Exploration Group
Kevin Hull
(604) 685-2222
info@chalicediamond.com
or
AGORACOM Investor Relations:
cod@agoracom.com
www.agoracom.com/ir/chalicediamond
