Shear Minerals Ltd. Announces Earn Into Alberta Potash Permits

EDMONTON, ALBERTA--(Marketwire - July 7, 2008) - Shear Minerals Ltd. (TSX VENTURE:SRM) ("Shear") today announced that it has signed an option with Grizzly Diamonds Ltd (TSX VENTURE:GZD) ("Grizzly") to acquire a land position in east central Alberta for potash. The Rattlesnake North Property (the "Property") totals 50,000 acres located 200 km southeast of Edmonton, Alberta along the Saskatchewan border and is road accessible year round.

Previous exploration for potash in this region of Alberta was completed in the 1940-1950's. A large portion of the Property is located in close proximity to areas reported to be underlain by potash bearing beds within the uppermost portion of the Prairie Evaporite Formation. The presence of potash beds within the upper portion of the Prairie Evaporite in east-central Alberta near and along the Saskatchewan border is indicated by geological maps produced by the Alberta and Saskatchewan governments. In addition, the Property is located in close proximity to a reported occurrence of potash minerals in a deep well (VCO #15) in the Vermilion area of east-central Alberta. The author reporting the occurrence suggests that the potash mineral "sylvite exists in substantial quantities" "throughout the first 50 feet of the Prairie Evaporite" (Golden, B.Sc., 1965) and that the potash minerals "are of the same composition and depositional sequence and depth as the potash at Unity and Saskatoon, Saskatchewan", currently the location of a number of potash mines. The reported occurrence of potash minerals is at a depth of approximately 1,061 m below surface.

Under the terms of the agreement with Grizzly, Shear can earn into an initial undivided 51% on the following terms:

- $25,000 cash on signing

- 200,000 common shares of Shear upon regulatory approval

- Incurring a total of $2,000,000 of exploration expenditures before September 1, 2009 including one drill hole to test the Prairie Evaporite Horizon.

Shear can elect to increase its interest in the Property to an undivided 70% interest by carrying Grizzly to a pre-feasibility study on or before September 1, 2011.

Shear has initiated a detailed compilation with Grizzly of all historic exploration, including oil and gas drilling, and seismic data for the permits leading to a National Instrument 43-101 ("NI 43-101") technical report. All field programs are being conducted under the supervision of Michael Dufresne, P. Geol., a principal of APEX Geoscience Ltd. ("APEX") and a Qualified Person under NI 43-101. APEX will be the operator on behalf of Shear.

Shear Minerals Ltd. is a Canadian-based exploration company focused on diamond exploration in the Canadian North where it explores in established diamond districts and has discovered new ones. Shear currently has a portfolio of eight diamond projects, five of which are drill-ready. Shear has advanced its flagship Churchill Diamond Project from a conceptual idea to an expanding diamond district. Shear owns a 58.14% interest and is operator. The Churchill Diamond Project is comprised of the diamond rights to more than two million acres located near the communities of Rankin Inlet and Chesterfield Inlet in the Kivalliq region of Nunavut. Work is presently focused on continued exploration of new promising indicator mineral trains and geophysical anomalies as well as the evaluation of a system of significantly diamond-bearing, vertically-emplaced kimberlite dykes that have returned sample grades of up to 2.18 carats per tonne.

This news release may contain forward looking statements, being statements which are not historical facts, including, without limitation, statements regarding potential mineralization, exploration results, resource or reserve estimates, anticipated production or results, sales, revenues, costs, "best-efforts" financings or discussions of future plans and objectives. There can be no assurance that such statements will prove accurate. Such statements are necessarily based upon a number of estimates and assumptions that are subject to numerous risks and uncertainties that could cause actual results and future events to differ materially from those anticipated or projected. Important factors that could cause actual results to differ materially from either of the Companies' expectations are in Company documents filed from time to time with the TSX or the TSX Venture Exchange and provincial securities regulators, most of which are available at www.sedar.com. The Companies disclaim any intention or obligation to revise or update such statements.

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