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Diamonds North Resources Encounters Gold Mineralization at Amaruk Property in Nunavut

Diamonds North Resources Ltd. (TSX VENTURE:DDN) announces gold assays at the Far East showing on the Amaruk property in Nunavut.

Prospecting around gold grains in till anomalies has lead to the identification of an extensive area with anomalous gold and silver including rock samples with 2.66 g/T gold and 1.19 g/T gold with 49.5 g/T silver.

Gold mineralization occurs in at least four structurally controlled zones within a 2 square kilometre central core area of felsic intrusive rock. The highest gold concentrations occur along the margins of an overburden covered valley which is open to the west. Elevated to high silver values also occur in two separate areas at the Far East showing.

Within similar rocks 1500 metres to the south of the main Far East showing, additional mineralization was identified where samples returned 24.9 g/T silver and 0.126 g/T gold. Silicified boulders with pyrite and chalcopyrite found 100 metres to the south of this second showing returned up to 0.573 g/T gold, 5.6 g/T silver, and 1% copper.

"This is another example of gold mineralization occurring over a large area discovered on the under-explored Amaruk property. The Far East showing is of particular interest because of the occurrence of silver with gold and follow-up work on this project will be a priority for the company," says Mark Kolebaba, President and CEO of Diamonds North.

A total of 83 rock samples were collected in 2010 at the Far East showing and 27 samples returned values greater than 0.1 g/T gold. The Far East showing was discovered in 2009 and was formerly referred to as the PB3 Showing (See news release 09-16, October 29, 2009).

The proposed work program for the Far East property includes immediate structural analysis prior to geological mapping, prospecting and ground geophysical surveying. Geochemical soil surveying will be conducted over overburden covered areas adjacent to anomalous rock samples identified in 2010.

Bruce Kienlen (P. Geol) is Diamonds North's qualified person as defined by National Instrument 43-101, reviewing this project. He is responsible for the design and conduct of the exploration programs and the verification and quality assurance of analytical results. All assay results are provided by ALS Chemex.

Source:

Diamonds North Resources Ltd.

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