Mr. Yari Nieken reports

FLOW-THROUGH AND NON FLOW-THROUGH PRIVATE PLACEMENT INCREASED

Margaret Lake Diamonds Inc. has arranged a private placement of up to 3,333,333 flow-through units at an offering price of 15 cents per flow-through unit for up to $500,000. Each flow-through unit will consist of one transferable flow-through share and one share purchase warrant entitling the holder to purchase a non-flow-through share at a price of 30 cents for a period of two years.

The company also announces a non-brokered private placement of up to 10 million non-flow-through units at an offering price of 14 cents per unit for up to $1.4-million. Each non-flow-through unit will consist of one transferable non-flow-through share and one share purchase warrant, entitling the holder to purchase an additional non-flow-through common share at a price of 28 cents for a period of two years.

The aggregate gross proceeds from the sale of the FT offering will be used to contribute to and maintain the company's share in its joint venture with Arctic Star Diamond Exploration. The aggregate gross proceeds from the sale of the NFT offering will be used for legal, accounting, and general and administrative costs. The closing of the offering is subject to receipt of all necessary regulatory approvals, including from the TSX Venture Exchange. Finders' fees will be payable in accordance with the policies of the TSX Venture Exchange.

All securities issued in connection with the offering will be subject to a statutory hold period expiring four months and one day after closing of the offering. Any participation by insiders in the offering will constitute a related-party transaction under Multilateral Instrument 61-101 (Protection of Minority Security Holders in Special Transactions) but is expected to be exempt from the formal valuation and minority shareholder approval requirements of MI 61-101.

About Margaret Lake Diamonds Inc.

Margaret Lake is a Canadian-based mineral exploration company. As part of its joint venture with Arctic Star Exploration, Margaret Lake holds an 18.5-per-cent interest in the Diagras diamond project, Northwest Territories. The property hosts 13 known kimberlites originally discovered by DeBeers in the 1990s, and Margaret Lake believes there is an opportunity to apply modern exploration techniques to define additional kimberlites. Additionally, Margaret Lake owns a 100-per-cent interest in the Mormon Lake uranium property near Payson, Ariz.

We seek Safe Harbor.