Mr. Jim Crawford reports

PEREGRINE DIAMONDS LTD.: FINAL TOTAL OF 2,651 TONNES OF KIMBERLITE RECOVERED DURING 2007 BULK SAMPLE PROGRAM AT DO-27

Peregrine Diamonds Ltd. has completed the 2007 bulk sample drilling program on the plus-nine-hectare DO-27 kimberlite, WO diamond project, Northwest Territories, Canada, with the extraction of a total of 2,651 wet tonnes of kimberlite. This compares with a total of 566 wet tonnes recovered during the 2006 program and a total of 168 wet tonnes from the 2005 program. The significant increase in kimberlite recovery this year was primarily due to careful logistical planning and management by Peregrine's operations team, the addition of a third large diameter reverse circulation (LDRC) drill rig, the incorporation of various drilling tools and techniques learned from previous bulk sampling programs, and longer periods of cold weather as compared with last year.

Since Dec. 6, 2006, 28 LDRC drill holes totalling 5,639 metres and 12 core holes totalling 2,382 metres were completed. A total of 1,701 bags of kimberlite have been filled, security sealed and sent to BHP Billiton's Ekati diamond mine for diamond recovery at its sample processing facility. Processing is currently under way, with completion scheduled for late August, 2007.

Following completion of this year's bulk sample, two of the three LDRC rigs were demobilized to Ekati and from there they will be sent to Yellowknife, while the third rig has been stationed at DO-27, in anticipation of possible additional bulk sampling work next winter. Site maintenance activities are continuing at DO-27, while exploration activities, including delineation core drilling, are scheduled to resume in July, 2007, after the spring thaw.

Work has also been continuing on the internal AMEC preliminary technical assessment of DO-27 (as reported in Stockwatch on Jan. 23, 2007), with the final report expected by the end of July, 2007. This report will begin to investigate the potential of concentrating and upgrading the kimberlite by way of scrubbing and washing, prior to diamond recovery processing.