TORONTO, Oct. 26 /PRNewswire-FirstCall/ -

JD-03 KIMBERLITE
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As reported in the second quarter report, the Company undertook a bulk-sample program on the JD-03 kimberlite pipe in the first quarter of 2007. Discovered in 1996, the 1.8 hectare body is located just 7 kilometres from Tahera's Jericho Diamond Mine in Nunavut, Canada.

JD-03 is a typical group one (non-micaceous) kimberlite and is interpreted to be pyroclastic with intense serpentinization. In addition, it contains numerous crustal xenoliths including limestone and granite.

The goal of the 2007 bulk sample was to better understand the diamond distribution and grade as previous results showed the potential for large diamonds. In 1997, a single 3.63 carat stone was recovered from a 10.53 tonne sample. The 2007 bulk sample results show an average sample grade of 0.27 carats per tonne, similar to previous grades recovered.

In total, 3,746 diamonds larger than 0.85mm were recovered from 495.1 dry tonnes of kimberlite. These diamonds totaled 134.7 carats and averaged 0.036 carats per stone with the largest diamond weighing 1.69 carats.

The 2007 bulk sample was collected by drilling five large diameter (17.5") drill holes using reverse circulation drilling methods down to a maximum depth of 305 meters. Kimberlite tonnage estimates were calculated using a down-hole caliper and 151 in-house density measurements. The results presented in the table below may be considered representative of the kimberlite as results are consistent and were collected from holes regularly spaced within the body.

    Table 1 - Recovered Carats, Diamonds and Carats/Stones per dry Tonne per     Drill Hole      -------------------------------------------------------------------------                    Sample Dry      Carats   Diamonds  Carats Per  Stones Per     Drill Hole ID      Tonnes   Recovered  Recovered       Tonne       Tonne     -------------------------------------------------------------------------     RC07-JD3-001        108.5        28.2        753        0.26        6.94     -------------------------------------------------------------------------     RC07-JD3-002         61.6        18.8        441        0.31        7.16     -------------------------------------------------------------------------     RC07-JD3-003        110.8        29.0        795        0.26        7.18     -------------------------------------------------------------------------     RC07-JD3-004        108.7        34.5        988        0.32        9.09     -------------------------------------------------------------------------     RC07-JD3-005        105.5        24.1        769        0.23        7.29     -------------------------------------------------------------------------     Total               495.1       134.7       3746        0.27        7.57     -------------------------------------------------------------------------     All diamonds and diamond weights shown in the charts above are greater     than 0.85mm. Stones recovered smaller than 0.85 mm have not been     included. An additional 1.37 carats were not included in table above were     recovered from 3 re-crush audits and the final process plant gravel purge     cleanout but included for diamond valuation purposes. 

Kimberlite from the JD-03 bulk sample was processed in a 10-tonne-per-hour dense media separation ("DMS") plant with a bottom cut-off of 1.0 millimetre (square mesh) at De Beers Canada Inc.'s Grande Prairie facility. The resulting heavy concentrate was shipped to Kennecott Canada Inc.'s laboratory in Thunder Bay for diamond recovery. Although neither of these facilities are ISO/IEC 17025 accredited, industry standard chain of custody and security protocols were followed maintaining sample integrity.

The DMS processing flow sheet was designed for maximum liberation of diamonds >0.85 mm, not necessarily to simulate current commercial production methods. All feed material greater than 1 mm and less than 11 mm was processed through the DMS, with larger material crushed to approximately 11 mm before processing. A re-crush circuit for DMS tailings was set-up at 7 mm to further liberate diamonds on five of the batches for auditing purposes. The recovery circuit included an X-ray recovery system, with a secondary Eriez magnetic concentration system to create a diamond concentrate for picking. Concentrate and X-ray fractions were commonly large and therefore some fractions were reduced using caustic fusion to reduce picking time. All process plant bottom cut-off screens were 1mm square mesh.

The processing and security of the bulk sample was audited at many stages and followed a rigorous quality control program. A random diamond 'spiking' program using marked natural stones showed 99% recovery of both the processing plant and the recovery circuit

Diamonds from the entire sample totaling 136.07 carats were valued by independent and government diamond valuators at the Jericho Diamond Mine in late October and achieved an average price of US$39 per carat; however, stones in the +3 grainer (greater than 0.75 carats) categories had an average price of $227 per carat. Due to the small size of the diamond parcel, the average price per carat may not be representative of the JD-03 kimberlite. Individual stones with value greater than 5% of the overall parcel are presented in the table below. Detailed diamond descriptions for the entire +5 DTC parcel was carried out by Mineral Services Canada Inc (MSC). MSC describes 76% of the diamonds (by stone count) as having octahedral morphology, 33% of the stones are classified as colourless (white), 69% are transparent, and 26% have high clarity (less than 1% inclusions/fractures). No price modeling was undertaken due to the small parcel of diamonds.

    Table 2 - Stones with value greater than 5% of overall parcel                  -----------------------------------------------                           Carat         US$ per                  Stone   Weight           Carat     Value ($US)                 -----------------------------------------------                  1         1.64        $ 250.00       $ 410.00                 -----------------------------------------------                  2         1.20        $ 375.00       $ 450.00                 -----------------------------------------------                  3         0.78        $ 442.94       $ 345.50                 ----------------------------------------------- 

Based on the grade and value results of the 2007 bulk sample, no further exploration work is planned on the JD-03 kimberlite at this time.

An outline of the Company's 2008 exploration program will be provided prior to year end.

Mr. Dale Mah, P. Geol., is Tahera's qualified person as defined in National Policy 43-101 for its exploration programs and has supervised the preparation of the exploration information included in this report. Mr. Mah is an employee of Tahera and is not considered independent of the Company.

Tahera Diamond Corporation (www.tahera.com) is a unique Canadian diamond Company. Tahera's primary asset is its wholly-owned Jericho Diamond Mine, which represents Canada's third and Nunavut's first diamond mine. Tahera's diamond purchase and marketing arrangement with Tiffany & Co., one of the world's leading jewelers, ensures that the Company receives competitive market prices for its Jericho diamonds.

Forward Looking Statements

The above contains forward-looking statements that are subject to a number of known and unknown risks, uncertainties and other factors that may cause actual results to differ materially from those anticipated in our forward-looking statements. Although we believe the expectations reflected in our forward-looking statements are reasonable, results may vary, and we cannot guarantee future results, levels of activity, performance or achievements.

Note: that the potential quantity and grade that may be inferred from the data is conceptual in nature and readers are reminded that there has been insufficient exploration to define a mineral resource for the JD-03 kimberlite.

    Tahera Diamond Corporation      R. Peter Gillin - Chairman and CEO  

SOURCE Tahera Diamond Corporation

For further information: Investor Relations, Tel: (416) 777-1998, Fax: (416) 777-1898, Toll free: (877) 777-2004, Email: investor_relations@tahera.com; Website: www.tahera.com