Mr. Paul Brockington reports

MARGARET LAKE DIAMONDS INC. ANNOUNCES NON BROKERED FLOW THROUGH PRIVATE PLACEMENT FOR GROSS PROCEEDS OF UP TO $500,000

Margaret Lake Diamonds Inc. has arranged a non-brokered flow-through private placement of up to five million units at a price of 10 cents per unit, for aggregate gross proceeds of up to $500,000. Each unit shall consist of one flow-through common share of the company and one-half of one transferable non-flow-through common share purchase warrant, with one warrant entitling the holder thereof to acquire one additional non-flow-through common share at a price of 15 cents for a period of 12 months following closing of the offering.

The company may pay finders fees of 6 per cent in cash and 10 per cent in units under the offering in accordance with applicable securities laws and the policies of the exchange. The net proceeds from the offering will be used for the company's planned coming ground geophysical programs.

Closing of the offering is subject to receipt of applicable regulatory approvals, including the approval of the exchange. The securities issued will be subject to a standard four-month-and-one-day hold period.

About Margaret Lake Diamonds Inc.

Margaret Lake Diamonds is a diamond exploration company focused on the Northwest Territories with the Margaret Lake property in proximity to Gahcho Kue, the new Canadian diamond mine owned by De Beers and Mountain Province Diamonds, and adjacent to the continuing advanced exploration by Kennady Diamonds. In addition, the company has a joint venture with Arctic Star Exploration Corp. on the Diagras property in the Lac de Gras area in proximity to the Ekati and Diavik producing diamond mining operations. The board of Margaret Lake Diamonds is composed of persons with combined involvement of over 50 years in the Canadian diamond sector.

We seek Safe Harbor.