Dr. Michael Gunning reports

VR CONFIRMS THE DIAMOND POTENTIAL FOR THE KIMBERLITE BRECCIA PIPE AT NORTHWAY IN NORTHERN ONTARIO

VR Resources Ltd. has received complete results from caustic fusion and mineralogy from hole NW22-001, the first hole into the kimberlite breccia pipe on its Northway property in Northern Ontario.

A microdiamond fragment was recovered from the uppermost part of the 30 metres of kimberlitic material intersected in drill hole NW22-001, the first reconnaissance drill hole into the eastern part of the 1.2-kilometre magnetic anomaly at Northway. Attributes of the microdiamond include:

• Clear, free of inclusions;
• Transparent, colourless;
• A fragment of a larger diamond.

Additional heavy mineral analyses from this section of core reveals:

• One eclogitic pyrope-almandine garnet with magnesian-ilmenite inclusion;
• Six chromite grains, of which two fall within the diamond stability field.

The balance of caustic fusion and mineral composition results is pending for holes 002 and 003 which were collared at the same site located approximately 450 metres to the northwest of hole 001. Samples from holes 002 and 003 span 438 m of core and make up the bulk of the 468 m of kimberlite intersected in all three holes and submitted for caustic fusion and mineral chemistry.

From VR's chief executive officer, Dr. Michael Gunning: "Northway is fertile. A clear and colourless fragment of a larger diamond is preserved in the pyroclastic mudstone crater facies at the top of the breccia pipe, and the composition of underlying Kimberley-type pyroclastic diatreme breccia (KPK) falls within the kimberlite-melilite compositional range."

The clear fragment of a larger diamond is believed to be local in nature, that is, from the diatreme breccia pipe complex in which it occurs, because the host kimberlitic mudstone was deposited in a waterlain, maar-type depression filled with pyroclastic material which lacks exotic rock fragments from elsewhere. Further, the kimberlite pipe was emplaced into a larger-scale depression, a graben, which was filled by sandstone deposition in a Devonian seaway, thereby preserving the top of the breccia pipe.

Discovery is a process, not an event. The complete results from hole 001 including the compositional data summarized below are the foundation to start the real job of exploring and evaluating the diamond potential of an entire field of targets, including Northway, potentially representing a new field of Devonian-aged diamondiferous kimberlite pipes in the northern Superior craton in Northern Ontario, and located along the Ontario Northern Railway.

Compositional studies for hole 001

Compositional data were obtained from two samples of drill core submitted for whole-rock and inductively coupled plasma mass spectrometry trace element geochemistry at ALS Laboratories, and from analysis of 15 samples of pelletal, accretionary diatreme breccia by an electron microprobe (EMPA) equipped with an energy dispersive spectrometer (EDS) by Renaud Geological Consulting Ltd. (RGC) based in London, Ont., with extensive experience in kimberlite exploration, geology and mineralogy.

Preliminary observations include:

1. Deep crustal glimmerite xenoliths composed of massive phlogopite are common;
2. Phlogopite xenocrysts and mineral grains in xenoliths plot within kimberlite fields on Ti-Al (titanium-aluminum) plots, and in kimberlite-orangeite field on Al-Fe (aluminum-iron) plots;
3. Melilite is observed in phlogopite-dominated magmaclasts and in accretionary rims;
4. Garnet is observed within altered xenocrysts of eclogite or websterite;
5. Accretionary lapilli are mainly biotite-phlogopite (now illite), surrounded by illite, dolomite-ankerite, F-apatite and perovskite;
6. Pelletal lapilli are hosted in a groundmass of carbonate, titanium-barium-biotite-phlogopite, including glimmerite nodules, F-apatite, Al-spinel, clinopyroxene, Nb-ilmenite, monazite and perovskite.

Two of the Mg-rich chromite heavy mineral grains recovered from the diamond-bearing kimberlitic mudstone at the top of the breccia pipe intersection also plot within the diamond stability field, consistent with the compositional data of the phlogopite xenocrysts.

Technical information

Summary technical and geological information for the company's various exploration properties is available at the company's website.

Technical information for this news release has been prepared in accordance with the Canadian regulatory requirements set out in National Instrument 43-101. Justin Daley, PGeo, vice-president, exploration, and a non-independent qualified person, oversees and/or participates in all aspects of the company's mineral exploration projects, and the content of this news release has been reviewed on behalf of the company by the CEO, Dr. Gunning, PGeo, a non-independent qualified person.

About the Northway property and project

The Northway property is located in Northern Ontario. It is approximately 12 km northeast of the company's rare earth element critical metal discovery at its Hecla-Kilmer project.

Exploration is based out of a camp at the hydroelectric facility at Otter Rapids located about 50 km to the southeast of Northway. Provincial Highway 634 provides road access to Otter Rapids from Smooth Rock Falls, located at the junction of Hwy 634 with the Trans-Canada Highway. The property itself is just 15 km west of the Ontario Northern Railway (ONR) which provides service to the communities on James Bay.

The nearest town is Moosonee, located on tidewater at James Bay approximately 125 km to the north. Kapuskasing is about the same distance to the southwest, located on the Trans-Canada Highway (Provincial Hwy 11).

The Northway property consists of 64 contiguous claims in a single, four km by seven km block 1,315 hectares in size. It was expanded to a district-scale project by staking directly 284 new claims in 19 additional properties covering magnetic anomalies near Northway and proximal to the ONR line, within an area of 50 km by 70 km over all.

The properties are owned 100 per cent by VR. There are no underlying payments or interests on the property and no royalty interests because the property was staked by VR directly.

Northway is located on Crown land in Northern Ontario, with mineral rights administered by the Ontario Ministry of Northern Development, Mines, Natural Resources and Forestry (MNDM). There are no annual payments, but the MNDM requires certain annual exploration expenditures and reporting. The property falls within the traditional territories of the Moose Cree and Taykwa Tagamou First Nations.

About VR Resources Ltd.

VR is an established junior exploration company based in Vancouver. VR evaluates, explores and advances opportunities in copper, gold and critical metals in Nevada, United States, and Ontario, Canada, and most recently, a kimberlite breccia pipe discovery and field in Northern Ontario. VR applies modern exploration technologies, in-house experience and expertise in greenfields exploration to large-footprint systems in underexplored areas/districts. The foundation of VR is the proven record of its board in early-stage exploration, discovery, and mergers and acquisitions. The company is well financed for its mineral exploration and corporate obligations. VR owns its properties outright and evaluates new opportunities on a continuing basis, whether by staking or acquisition.

We seek Safe Harbor.