Acquisition of Beneficial Ownership of Common Shares of Peregrine Diamonds Ltd.

VANCOUVER, BRITISH COLUMBIA--(Marketwired - July 18, 2017) - Eric Friedland ("Friedland") reports that he has acquired deemed beneficial ownership of 20,000,000 common shares ("Common Shares") of Peregrine Diamonds Ltd. ("Peregrine") in connection with Peregrine's announced rights offering ("Rights Offering").

As at the close of business on July 17, 2017, the announced record date for the Rights Offering, Friedland received 59,615,545 rights ("Rights") of Peregrine, for no consideration, in connection with the Rights Offering, with 3.3 Rights being exercisable into one Common Share at $0.10 per Common Share until 2:00 p.m. (Vancouver time) on August 15, 2017. Friedland also entered into a standby purchase agreement with Peregrine and others (the "Standby Purchase Agreement") in connection with the Rights Offering pursuant to which he agreed to fully exercise the Rights that he received and to acquire a portion of any unsubscribed Common Shares under the Rights Offering at $0.10 per Common Share up to a maximum of 1,934,684 Common Shares.

As a result of Peregrine's issue of Rights, under applicable Canadian securities legislation, Friedland is deemed to have acquired beneficial ownership of up to 20,000,000 Common Shares (as to 18,065,316 Common Shares issuable on full exercise of the Rights that he received under the Rights Offering and as to up to 1,934,684 Common Shares that he has agreed to purchase under the Standby Purchase Agreement). Upon full exercise of the Rights held by Friedland, he would have beneficial ownership of 90,080,861 Common Shares, representing 24.4% of the deemed outstanding Common Shares. If Friedland is required to purchase the maximum 1,934,684 Common Shares pursuant to his commitment under the Standby Purchase Agreement, Friedland would have beneficial ownership of 92,015,545 Common Shares, representing 24.8% of the deemed outstanding Common Shares, and his deemed beneficial ownership of Common Shares will have increased by 4.3% from the previously reported percentage of 20.5%. All percentage calculations reported are calculated on a partially diluted basis assuming, among other things, Friedland's acquisition of Common Shares in connection with the Rights Offering, but excluding any Common Shares issuable to others pursuant to the Rights Offering.

Friedland will be acquiring the additional Common Shares further to the Standby Purchase Agreement and for investment purposes. He may acquire additional Common Shares or dispose of Common Shares (through market or private transactions or exercises of outstanding stock options) from time to time.

A copy of the related early warning report may be obtained from the SEDAR website (www.sedar.com) or from Friedland at (604) 408-8880.

"Eric Friedland"
ERIC FRIEDLAND