Sunrise Diamonds - the spin off of Tertairy Minerals potentially Diamond bearing kimberlite fields in Finland will launch on the AIM, 6th June after being hugely oversubscribed. Tertiary will retain a stake in Sunrise.

TYMs last drill report confirms the findings of a highly promising find and the capital raised will fund critical phase 2 trials leading to potential industrial level production. The field is enormous containing numerous targets...expect an audacious debut and get on early if you can. The likelihood of a positive find is high.....read on from the company's technical report...

Study Confirms Kimberlites Tapped Diamond-Favourable Source Rocks
Claim Holding Extended To Total 30 Untested Targets
Possible Link To Russian/Arkhangelsk Diamond Fields
Tertiary Minerals plc (the Company) is pleased to report the positive findings of an independent study on the diamond potential of its Kuusamo kimberlite project in Northern Finland.

The report has been prepared by an international kimberlite specialist at the Geological Survey of Finland (GTK). The data in the report is based on relatively limited sampling of the three kimberlites discovered so far but supports the following important conclusions:

the geological conditions considered necessary for the occurrence of diamondiferous kimberlites occur in the Kuusamo area
the newly discovered kimberlites have tapped the diamond stability field of the earths mantle
the mantle tapped by the kimberlites contain both types of potential diamond-hosting mantle materials - harzburgite and eclogite and the mantle has not been affected by diamond destroying processes.
The statistics for kimberlite clusters show that any given cluster can contain a spectrum of kimberlite from those containing no microdiamonds to those with commercial diamond contents. Similarly individual kimberlite intrusions can be multi-phase, with some phases containing diamonds, others none.

The GTK report concludes that the lack of micro-diamonds in the kimberlite samples tested to date does not necessarily limit the prospectivity of any future kimberlite discoveries in the area.

The report also concludes that the results are .exciting in that it is likely that an entirely new cluster of kimberlites (the Kuusamo cluster) has been discovered and that typically there are 10-50 kimberlites in a cluster.

Tertiary considers that the results of the GTK study considerably enhance the potential of the untested targets in the Kuusamo area. The company has recently expanded its claims and claim reservations and now has a further 11 targets (total of 30) under claim or claim reservation in addition to Kalettomanpuro and Kattaisenvaara and existing data strongly suggest that more kimberlites will be discovered.

The report speculates that the Group I Kuusamo kimberlites may have a similar Devonian age to kimberlites found near Arkhangelsk in Russia, also in the Karelian Craton that includes the Lomonosov diamond project run by Alrosa and the highly diamondiferous Grib pipe.

This speculation is based principally on the position of the Kuusamo cluster on the southern margin of the same Devonian kimberlite and alkaline province that stretches for over a 1,000 km from Northern Finland through the diamond bearing regions of Kandalaksha, Terskii Bereg, Arkhangeslsk and Central Timan in NW Russia.

For further information please contact:
Patrick Cheetham, Executive Chairman, Tertiary Minerals plc. Tel: 01625-626203
Ron Marshman/John Greenhalgh, City of London PR Limited. Tel: 020-7628-5518

Technical Note (to accompany New Release of 4 November 2004)

The background to Tertiarys new discoveries is given in various news releases made since January this year. Three separate kimberlites have been intersected in drilling - two at the Kalettomanpuro (KP) site and one at Kattaisenvaara (KV) some 20km away.

It is accepted wisdom that many diamonds (a form of carbon) grew as crystals in the primeval earth as all harzburgitic diamonds are over 3 billion years old. Over time diamonds are only preserved where diamond is stable in preference to graphite (at high pressure and relatively low temperature) and this is usually beneath the old stable parts of the earths crust (cratons) where there is a thick, cool and stable lithospheric mantle keel the so-called diamond stability window. In such windows diamonds are found in mantle containing the rock types harzburgite or eclogite. For diamonds to be found at the surface kimberlitic magma must have risen to the surface through the diamond stability field of the mantle, on the way collecting pieces of the diamond host-rocks, harzburgite and eclogite. As the kimberlite magma ascends these pieces are disrupted, liberating the diamonds. The kimberlite magma must ascend rapidly enough so that the diamonds are preserved in otherwise unstable conditions in the crust.

Thus there are two main pre-requisites for the occurrence of diamonds at or near the earths surface:

Favourable mantle conditions for diamond preservation through geological time (a source of diamonds)
A transport medium (kimberlite magma) that taps the diamond stability field and both collects and preserves the diamonds.
As kimberlites are the main transport medium, a study of the mineralogy and mineral chemistry of kimberlites in any given cluster will provide information on whether that cluster has diamond potential.

The main technical findings of the GTK study are as follows:

The proximity of the Group I kimberlites to Devonian (365 Ma) alkaline complexes, in particular the Iivaara intrusion, raises the possibility that these new kimberlite discoveries are similar in age to those found near Arkhangelsk in Russia
The Group II Kalettomanpuro kimberlite has petrological similarities to the kimberlites in the 1200 Ma Kuhmo cluster, an area currently being explored by European Diamonds Plc and Karelian Diamond Resources Plc, some 150km to the south
The mineralogy and chemistry of phlogopite mica in the kimberlites confirms the original identification as hypabyssal Group I and Group II kimberlites (end member types of kimberlite, both can contain diamonds)
The Group II kimberlite from Kalettomapuro contains significant amounts of G10 (harzburgite) garnets and G9 (lherzolite) garnets and a high ratio of G10/G9. As harzburgite is known to be one of the main diamond source rocks, this indicates a high diamond potential
Compositional data and thermobarometry studies indicate that mantle-derived G10 garnets are derived almost exclusively from the diamond stable portion of the earths mantle
The Group I kimberlites contain both eclogite grains and eclogite xenoliths (eclogite in the mantle is the other main source for diamonds). So far, however, these are of relatively low sodium garnet type
Picroilmenite and pyrope garnet compositional data indicate that metasomatism has not significantly affected the mantle - another positive factor for diamond preservation
Chromites for the KV Group 1 kimberlite plot in compositional fields that indicate shallow sampling
Group 1 kimberlites so far examined show evidence of fractionation implying slower transport to the surface which, in the case of these kimberlites only, suggests any contained diamonds may have been resorbed

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More good news for SDS holders...

January 2006


SUNRISE DISCOVERS NEW KIMBERLITE IN KUUSAMO CLUSTER

Latest Find Results From Follow-Up Drilling Of Geophysical Anomaly

Drilling Extends Minimum Width Of Anomaly 45 Kimberlite To 45m

On-Going Ground Geophysics, Till Geochemistry And Drill Testing

Sunrise Diamonds plc ('Sunrise') is pleased to announce that follow-up drilling
close to the site of its Anomaly 45 kimberlite at Kuusamo in northern Finland
has resulted in a new kimberlite discovery.

The new discovery was made during drill testing of a geophysical anomaly 200
metres away from Anomaly 45 kimberlite. Hole number 45-07-05 was drilled in late
December and intersected 4.4 metres of kimberlite within granite from 12.2-16.6
metres depth down-hole.

The recent short drilling programme was intended primarily to test the extent of
the Anomaly 45 kimberlite, where micro-diamonds were recently recovered (see
News Release of 13 October, 2005) and to investigate the potential for
higher-grade phases. A northeast-southwest traverse across Anomaly 45 kimberlite
suggests a minimum width of 45 metres for this kimberlite in this direction with
both diatreme and hypabyssal phase kimberlite indicated from preliminary
logging. The northwest-southeast extent of the kimberlite is not yet defined.
Detailed logging and sampling of drill core from Anomaly 45 and the latest new
kimberlite discovery will be carried out by diamond specialists at the
Geological Survey of Finland ('GTK') in mid-January, with further micro-diamond
results expected by mid-March.

A programme of magnetic and electromagnetic ground geophysics totalling
approximately 300 line-kilometres is ongoing and forms part of a systematic
investigation by Sunrise of numerous priority targets in the Kuusamo cluster.
The survey includes a detailed survey around Anomaly 45 and 47 kimberlites and
the latest kimberlite discovery.

The GTK, on behalf of Sunrise Diamonds, recently completed detailed till
sampling at several sites as a follow-up to the identification last summer of
kimberlite indicator mineral trains containing diamond-diagnostic G10 pyrope
garnets, kimberlitic ilmenites, chrome diopsides and chromites. Encouraging
preliminary results have been received from picking of heavy mineral
concentrates, with definitive data from microprobe chemical analysis of
kimberlite indicator grains expected in early January.

Commenting today, Sunrise Chairman, Mr Patrick Cheetham, said: ' We are very
pleased to find another kimberlite body at Kuusamo so soon after the nearby
Anomaly 45 and 47 discoveries. This suggests that kimberlite emplacement in this
particular area of the Kuusamo cluster is likely to be more extensive than we
first imagined and we are looking forward to resuming exploration now that the
festive break is behind us.'

Further Info: Patrick Cheetham, Sunrise Diamonds plc. Tel: +44 (0)1625-505947.
Mob: +44 (0)7767-458751

John Greenhalgh/Ron Marshman, City of London PR Ltd. Tel: +44 ( 0)20-7628-5518