Skye Resources Inc. ("Skye") (TSX:SKR) today announced that it has entered into contracts with Hatch Ltd. (Hatch) for the provision of engineering, procurement and construction management (EPCM) services to the Fenix ferro-nickel project.

The EPCM contracts are a continuation of Hatch's extensive involvement in the Fenix project. Since finalizing the feasibility study for the ferro-nickel project in late 2006, Hatch has completed the basic engineering, prepared the control estimate, made significant progress with detailed engineering, placed orders for major critical components and initiated site preparation with a view to mobilizing the construction crews on site early in 2008.

In addition to its detailed knowledge of the Fenix project, Hatch brings a proven expertise in nickel smelting technology, and a record of successful execution of EPCM assignments of this type, with plant upgrades and retrofits representing a major part of Hatch's history.

GLTA