Peregrine Announces Completion of the CH-6 Kimberlite Bulk Sample Program and Finalization of the 2013 Chidliak Work Program

VANCOUVER, BRITISH COLUMBIA -- (Marketwired) -- 06/03/13 -- Peregrine Diamonds Ltd. ("Peregrine" or "the Company") (TSX: PGD) is pleased to announce the successful completion of the CH-6 kimberlite bulk sample program on the Company's 100 percent-owned Chidliak project ("Chidliak" or "the Project") located on Baffin Island, 120 kilometres from Iqaluit, the capital of Nunavut, Canada. As announced on April 23, 2013, Peregrine exceeded its CH-6 bulk sample objective of 200 tonnes with a total of 508 wet tonnes of kimberlite collected. The increased size of the bulk sample is expected to deliver a larger parcel of rough diamonds which will provide higher confidence in future diamond valuations. The bulk sample will be shipped from Iqaluit this summer and is scheduled to be processed for diamond recovery beginning in the fourth quarter. The bulk sample program was funded and operated by Peregrine.

Field operations at Chidliak will resume in June with the commencement of the summer program, which, as reported on January 28, 2013, is budgeted at approximately $2.0 million, and will be funded and operated by De Beers Canada Inc. ("De Beers"). As reported by Peregrine on September 5, 2012, the Project is subject to an option agreement with De Beers whereby De Beers has the exclusive right until December 31, 2013 to enter into an earn-in and joint venture agreement for Chidliak on a 50.1 percent De Beers / 49.9 percent Peregrine, basis.

The eight week summer program will focus on new target generation and orientation activities through ground geophysics, geologic mapping and prospecting. In addition to the summer field program, De Beers is finalizing the comprehensive mining options study and the kimberlite pipe characterization studies.

Total expenditures by De Beers to date on technical studies, field costs, a reimbursement of a BHP Billiton installment payment regarding Chidliak, and De Beers' private placement in Peregrine, amount to $6.3 million. De Beers' expenditures will be applied to their earn-in obligation of $58.5 million should they enter into the earn-in and joint venture agreement with Peregrine. In the event De Beers does not elect to enter into the joint venture, Peregrine will have no obligation to refund any of these expenditures.

Mr. Brooke Clements, Peregrine's President, said, "We are pleased to have collected this substantial bulk sample at CH-6 and to have finalized the summer 2013 work program with De Beers. Transitioning of operatorship to De Beers for this program is well advanced and I am confident that De Beers will advance Chidliak with the technical and operational excellence for which they are renowned. The combination of the Peregrine and De Beers' technical teams is already yielding considerable benefits for the Project and we look forward to additional kimberlite discoveries this summer and to the results of the CH-6 bulk sample."

Mr. Alan O'Connor, Professional Geologist, Peregrine's Chidliak Project Manager, is a Qualified Person under National Instrument 43-101 and is responsible for the design and conduct of the programs carried out by the Company at Chidliak.

Mr. O'Connor has reviewed this release and approves of its contents.

ABOUT PEREGRINE DIAMONDS

Peregrine Diamonds is a diamond exploration and development company focused on Canada's North. Peregrine has discovered two new diamond districts in Nunavut, Nanuq in 2007 and Chidliak in 2008. At its 72 percent owned, nine hectare DO-27 kimberlite in the Northwest Territories, located 27 kilometres from the Diavik Diamond Mine, a NI 43-101 compliant mineral resource of 18.2 million carats of diamonds in 19.5 million tonnes of kimberlite at a grade of 0.94 carats per tonne, which is open at depth, was confirmed in 2008. At its 100 percent-owned Chidliak project, located 120 kilometres from Iqaluit, the capital of Nunavut, the Company has discovered 61 kimberlites to date, and has completed the first bulk sample from the CH-6 kimberlite in 2013, currently one of seven kimberlites that exhibit economic diamond mining potential. Peregrine also continues to evaluate earlier stage diamond exploration projects it controls in Nunavut and the Northwest Territories and through comprehensive evaluation of its extensive and proprietary diamond exploration databases, is working towards discovering new diamond districts in North America.

For further information on Peregrine Diamonds, please visit www.pdiam.com.

Forward-Looking Statements: This news release contains forward-looking statements. All statements, other than statements of historical fact, that address activities, events or developments that the Company believes, expects or anticipates will or may occur in the future (including, without limitation, statements relating to exercise of the option to joint venture by De Beers, the proposed exploration programme, funding availability, anticipated exploration results, resource estimates and future exploration and operating plans are forward-looking statements. These forward-looking statements reflect the current expectations or beliefs of the Company based on information currently available to the Company. Forward-looking statements are subject to a number of risks and uncertainties that may cause the actual results of the Company to differ materially from those discussed in the forward-looking statements and, even if such actual results are realized or substantially realized, there can be no assurance that they will have the expected consequences to, or effects on, the Company. Factors that could cause actual results or events to differ materially from current expectations include, among other things, uncertainties relating to the exercise of the option to joint venture by De Beers, availability and cost of funds, timing and content of work programmes, results of exploration activities, interpretation of drilling results and other geological data, world diamond markets, future diamond prices, reliability of mineral property titles, changes to regulations affecting the Company's activities, delays in obtaining or failure to obtain required project approvals, operational and infrastructure risk and other risks involved in the diamond exploration business. Any forward-looking statement speaks only as of the date on which it is made and, except as may be required by applicable securities laws, the Company disclaims any intent or obligation to update any forward-looking statement, whether as a result of new information, future events or results or otherwise. Although the Company believes that the assumptions inherent in the forward-looking statements are reasonable, forward-looking statements are not guarantees of future performance and accordingly undue reliance should not be put on such statements due to their inherent uncertainty.

Contacts:

Peregrine Diamonds Ltd.

Mr. Eric Friedland

CEO

604-408-8880


Peregrine Diamonds Ltd.

Mr. Brooke Clements

President

604-408-8880


Peregrine Diamonds Ltd.

Mr. Tom Peregoodoff

Executive VP, Business Development

604-408-8880


Peregrine Diamonds Ltd.

Investor Relations

604-408-8880
investorrelations@pdiam.com
www.pdiam.com