May 11, 2006, Vancouver, B.C. --- Peregrine Diamonds Ltd. (“Peregrine”) (TSX-V: PGD) today announced that large diameter RC (“LDRC”) drilling on the lake-ice at DO-27 has been completed for this year. LDRC drilling on the land-based portion of DO-27 (Northeast Lobe) is scheduled to begin in August, 2006.  LDRC drilling of the DO-18 kimberlite is scheduled to begin October, 2006.

 A total of eighteen LDRC holes totaling 3202 meters have been completed to date at DO-27 by Peregrine including twelve holes totaling 2424 meters completed this winter.

 Approximately 566 tonnes of kimberlite were extracted during the winter 2006 bulk sampling program for a total of over 717 tonnes of kimberlite extracted from DO-27 to date by Peregrine through LDRC drilling.  The 2006 program recovered material from vertical depths of up to 403 meters as compared to 209 meters in the 2005 program.

 This year’s bulk sample consisting of 444 samples have been delivered to the Ekati™ Diamond Mine for diamond recovery processing which is scheduled for June/July, 2006.

 A total of twenty-four NQ and HQ core holes totaling 5233 meters have been completed to date at DO-27 by Peregrine including twelve holes totaling 2929 meters this winter.  Core drilling is currently continuing with the following objectives: 

• Delineation drilling of DO-27, particularly the Northeast Lobe which is land based.
• Geotechnical drilling at DO-27.
• Exploration drilling in the area between DO-27 and DO-18 where previous core drilling intersected kimberlite and where geophysical gravity data suggests that DO-27 and DO-18 may be connected at depth.

The WO Diamond Project is a joint venture with Peregrine holding a 54.475% interest plus Operatorship. The other partners’ project interests are as follows: Archon Minerals Ltd 13.275%, Aber Diamond Corp. 7.35%, DHK Diamonds Inc. 20% (⅓ controlled by each of Dentonia Resources Ltd., Horseshoe Gold Mining Inc., and Kettle River Resources Ltd.), and SouthernEra Diamonds Inc. 4.9%.   

Peregrine's diamond exploration programs are conducted under the direction of Dr. Jennifer Pell, Vice President Exploration, P. Geo., (BC), P. Geo. (NT/NU), a qualified person under NI 43-101.