Northern Empire Acquires 550,000 Acre 'Coronation Diamond Project'


Northern Empire Minerals Ltd. ("Empire") is pleased to announce that it has acquired an interest in the 550,000 acre Coronation Diamond District Project (the "Property") located in the Coronation Diamond District from 524520 BC Ltd., a private company. The purchase price to be paid by Empire, subject to regulatory approval, is 400,000 shares of Empire. The Property is already subject to an option agreement with Stornoway Ventures Ltd. (CDNX:SWV) ("Stornoway"), whereby Stornoway has the right to earn a seventy percent (70%) interest in the Property by incurring $1,000,000 in exploration expenditures on or before June 30, 2003 (of which $500,000 must be incurred on or before June 30, 2002). Upon the exercise of the option, Stornoway shall be responsible for 100% of the next $4,000,000 dollars in exploration expenditures, effectively carrying Empire for a total of $1,200,000 before its interest becomes participating. The Property is subject to a two percent (2%) NSR/GORR with a $2 million buyout on one percent (1%). 

The property lies north and adjacent to Ashton's Kim property, which hosts the recently discovered Artemisia kimberlite, and encompasses the northern boundary of Ashton's Eokuk property. The property is approximately 5 km north of Empire's Kikerk Lake project where its joint venture partner, Ashton announced encouraging diamond counts from the Potentilla kimberlite. The Potentilla and Artemisia pipes compare favorably with early results from the Lac de Gras area where several economic diamond deposits have been discovered in recent years.

The Coronation Diamond Project covers an extensive area of geologically favorable terrain. The project area is dominated by a series of mafic dike swarms and structural breaks, features often associated with kimberlite emplacement. In addition several anomalous kimberlite indicator minerals are reported on the property.

The ‘Coronation Diamond Project' property represents a significant addition to Empire's portfolio of diamond properties in the growing Coronation Diamond Play, bringing the company's total exposure to over 700,000 acres.

An exploration program of airborne geophysics and detailed till sampling is under consideration for the 2002 field season.

Empire views this acquisition as a strategic step in establishing itself as a dominant player in the emerging Coronation Diamond District. Empire is continuing to pursue opportunities in diamond exploration throughout Canada.

On behalf of the Board,


"John E. Robins"                                   

John Robins, P. Geo.
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