Fort a La Corne Joint Venture: Orion South diamond results 15.86, 6.18, 3.66 and 3.20 carat diamonds in 330.54 carat parcel

    Stock Symbol: SGF: TSX

    SASKATOON, Oct. 29 /CNW/ - George H. Read, P. Geo., Senior Vice President
Exploration and Development, is pleased to announce the fifth set of diamond
results from underground bulk sampling of the Orion South Kimberlite, within
the Fort a La Corne Joint Venture (FALC-JV) where Shore is the operator with a
60 percent interest and Newmont Mining Corporation of Canada Limited (Newmont)
has 40 percent. The diamond recoveries total 330.54 carats from 2,809.11 dry
tonnes of kimberlite processed. Included in this release are results for nine
kimberlite batches. A total of 2,023 commercial sized diamonds (greater than
1.18 millimetre square mesh screen), collectively weighing 330.37 carats, has
been recovered from these nine batches. Thirty-two diamonds greater than one
carat have been recovered and the four largest stones are: 15.86, 6.18, 3.66
and 3.20 carats, respectively. In addition, ten diamonds totaling 0.17 carats
were recovered down to 0.85 millimetre square mesh. The colour of 35 percent
of the diamonds has been classified as white, with a further 33 percent
classified as off-white.
    All batches reported were collected during lateral drifting between 150
and 200 metres from the shaft station at 186 metres below surface. A map of
the underground drifting showing the locations of these batches is available
on the Shore website at: Three kimberlite lithologies have
been sampled by these nine batches: Batches OS-36, 37, 41 and 42 were
recovered from EJF Kimberlite; Batches OS-38, 39 and 40 were recovered from
Pense Kimberlite and Batches OS-34 and 35 were recovered from a transitional
zone of mixed EJF and Pense Kimberlite. Kimberlite processed and diamond
results for the 9 sample batches are listed in the following tables.

    Batch                        Dry  Number of   Total  Grade  Largest Stone
     No.    Location/lithology  Tonnes  Stones  (carats) (cpht)   (carats)
    OS-036  Refuge-OS-005/EJF   340.31    323    50.44   14.82      1.79
    OS-037  Refuge-OS-006/EJF   304.70    262    43.31   14.21      2.71
    OS-041     South 4A/EJF     326.85    335    79.14   24.21     15.86
    OS-042  Refuge-OS-007/EJF   278.10    250    44.51   16.01      2.95
    Total          EJF        1,249.96  1,170   217.40   17.39

    OS-034    Refuge-OS-003/
               Pense/EJF        326.70    224    29.99    9.18      1.10
    OS-035    Refuge-OS-004/
               Pense/EJF        236.47    193    33.26   14.07      2.93
    Total     Transitional
               Pense/EJF        563.17    417    63.25   11.23

    OS-038     Electrical
                 Pense          261.76     98       13    4.97      3.66
    OS-039   South 2H/Pense     342.78    184     17.1    4.99      1.58
    OS-040   South 2I/Pense     391.44    164    19.79    5.06      3.20
    Total        Pense          995.98    446    49.89    5.01

    The four largest stones are 15.86 (Black), 6.18 (Black), 3.66 (Brown) and
3.20 (Off-white) carats respectively. Eleven diamonds exceed two carats and
thirty-two diamonds exceed one carat, of which nine are white, nine are off-
white, three are grey, seven are brown, three are black, and 1 is yellow. A
total of 112 diamonds exceed 0.5 carats. Thirty-five percent of this diamond
parcel is classified white in colour, with a further 33 percent classified as
off-white. Ninety-nine percent of the carat weight of this parcel occurs in
diamonds greater than 1.18 millimetre square mesh.
    Senior Vice President Exploration and Development, George Read, states:
"The EJF is the target lithology for diamonds within Orion South and the
underground bulk sampling program currently underway aims to collect a 5,000
carat diamond parcel from the EJF for a representative grade and price
estimate for use in the resource estimate. The grade results in this release
for the EJF at deeper levels in Orion South (OS-36, 37, 41 & 42:17.39 cpht)
compare favourably with the EJF grade encountered at higher levels in the
shaft (OS-3 to 8: 17.61 cpht. See SGF News Releases of February 5 and March 4,
2008). Large diamonds (greater than 15 carats) have been recovered from the
EJF at both levels and this emphasizes the large stone potential of the EJF.
The shaft has been located between the two EJF vents for easy access to both
areas from one shaft. However, some lateral drift development within lower
grade Pense material was required to reach the EJF. The Transitional Pense/EJF
material represents a zone of mixing of the two kimberlite lithologies at the
interface between the Pense and EJF."
    The diamond recovery procedure includes on-site processing of kimberlite
through the modular Dense Media Separator (DMS), after which DMS concentrates
are batch fed through an X-ray Flow-sort. In order to ensure the recovery of
low luminosity diamonds, the Flow-sort tailings are processed over a grease
table. Flow-sort and grease table concentrates are transported by a secure
carrier to Mineral Services Canada Inc. for final diamond recovery. The
Mineral Services process includes de-greasing, drying, screening, magnetic
separation, manual sorting and diamond weighing and description. The Mineral
Services facility, process and quality assurance procedures have been audited
and ratified by an independent industry expert.
    Senior Vice President Exploration and Development, George Read,
Professional Geoscientist in the Provinces of Saskatchewan and British
Columbia, is the Qualified Person responsible for the verification and quality
assurance of analytical results. Shore is a Canadian based corporation engaged
in the acquisition, exploration and development of mineral properties. Shares
of the Company trade on the TSX Exchange under the trading symbol "SGF".

    Caution Regarding Forward-Looking Statements

    From time to time, Shore makes written or oral forward-looking statements
within the meaning of certain securities laws, including the "safe harbour"
provisions of the Ontario Securities Act and the United States Private
Securities Litigation Reform Act of 1995. Shore may make such statements in
this press release, in other filings with Canadian regulators or the United
States Securities and Exchange Commission, in reports to shareholders or in
other communications. These forward-looking statements include, among others,
statements with respect to Shore's objectives for the ensuing year, our medium
and long-term goals, and strategies to achieve those objectives and goals, as
well as statements with respect to our beliefs, plans, objectives,
expectations, anticipations, estimates and intentions. The words "may,"
"could," "should," "would," "suspect," "outlook," "believe," "plan,"
"anticipate," "estimate," "expect," "intend," and words and expressions of
similar import are intended to identify forward-looking statements. In
particular, statements regarding Shore's future operations, future exploration
and development activities or other development plans contain forward-looking
    All forward-looking statements and information are based on Shore's
current beliefs as well as assumptions made by and information currently
available to Shore concerning anticipated financial performance, business
prospects, strategies, regulatory developments, development plans,
exploration, development and mining activities and commitments. Although
management considers these assumptions to be reasonable based on information
currently available to it, they may prove to be incorrect.
    By their very nature, forward-looking statements involve inherent risks
and uncertainties, both general and specific, and risks exist that
predictions, forecasts, projections and other forward-looking statements will
not be achieved. We caution readers not to place undue reliance on these
statements as a number of important factors could cause the actual results to
differ materially from the beliefs, plans, objectives, expectations,
anticipations, estimates and intentions expressed in such forward-looking
statements. These factors include, but are not limited to, developments in
world diamond markets, changes in diamond valuations, risks relating to
fluctuations in the Canadian dollar and other currencies relative to the US
dollar, changes in exploration, development or mining plans due to exploration
results and changing budget priorities of Shore or its joint venture partners;
the effects of competition in the markets in which Shore operates; the impact
of changes in the laws and regulations regulating mining exploration and
development; judicial or regulatory judgments and legal proceedings;
operational and infrastructure risks and the additional risks described in
Shore's most recently filed Annual Information Form, annual and interim MD&A
and short form prospectus, and Shore's anticipation of and success in managing
the foregoing risks.
    Shore cautions that the foregoing list of factors that may affect future
results is not exhaustive. When relying on our forward-looking statements to
make decisions with respect to Shore, investors and others should carefully
consider the foregoing factors and other uncertainties and potential events.
Unless otherwise required by applicable securities legislation, Shore does not
undertake to update any forward-looking statement, whether written or oral,
that may be made from time to time by Shore or on our behalf.

For further information:

For further information: Joseph Dickson, Manager, Investor Relations at
(306) 667-3505

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