Nanuq North Kimberlite Discovery

Indicator Minerals and partner Peregrine Diamonds Ltd. (TSX VENTURE:PGD) drilled the first kimberlite, NQN-001, on Nanuq North late in the 2008 field season. NQN-001 is interpreted as having a minimum surface area of 4.5 hectares based upon ground magnetic data and drilling information. A 150kg sample has been submitted for diamond analysis and results are expected in early 2009

Kimberlite NQN-001 was discovered during a short, late season percussion drilling campaign. The discovery hole, inclined at -58 degrees, was terminated in kimberlite after a continuous 80 metre kimberlite intersection beginning at seven metres and ending at 87 metres of depth. Based on ground geophysical data, NQN-001 is interpreted as having a minimum surface area of 4.5 hectares. A representative 150 kilogram sample of drill cuttings collected from the kimberlite has been sent to Saskatchewan Research Council Geoanalytical Laboratories for diamond analysis.

Numerous untested geophysical targets and multiple kimberlite indicator mineral trains have been identified at Nanuq North and planning for an aggressive 2009 exploration program, which will include drilling, is in progress.

Exploration expenditures on the 33,100 hectare Nanuq North property are currently funded on a 50/50 basis by Peregrine and Indicator Minerals Inc. ("Indicator"). Under the terms of a letter agreement, the Hunter Exploration Group ("Hunter") retains a 20 percent interest and Peregrine and Indicator each retain 40 percent interests in 16 claims covering 13,900 hectares, including the claim that hosts NQN-001. Hunter's 20 percent interest is carried through completion of a scoping study. Peregrine and Indicator each have an undivided 50 percent interest in the remaining 19,200 hectares of claims at Nanuq North. Indicator is the operator of the project.

Hg