Vaaldiam Acquires 87.1% of Great Western Diamonds Corp.

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Vaaldiam Resources Ltd. (TSX:VAA) ("Vaaldiam") and Great Western Diamonds Corp.
("GWD") (TSX VENTURE:GWD) are pleased to announce that 82,416,248 common shares
of GWD representing approximately 87.1% of the common shares of GWD have been
validly tendered and taken up under Vaaldiam's offer to acquire all of the
common shares of GWD. When taken together with the 1,111,112 common shares and
the 555,556 common share purchase warrants of GWD that were held by Vaaldiam at
the outset of the offer (representing 1.8% of the issued and outstanding common
shares of GWD), Vaaldiam now holds approximately 88.3% of GWD's issued and
outstanding common shares (assuming the exercise of the Share purchase warrants
held by Vaaldiam).


Under the Vaaldiam offer, holders of GWD's common shares were offered 0.45 of a
common share of Vaaldiam for every GWD share tendered. The aggregate number of
Vaaldiam common shares to be issued will be approximately 37,087,312 in respect
of the acquisition of the GWD common shares taken-up.


As noted in the circular for the offer, Vaaldiam will immediately begin taking
steps to acquire the remaining common shares of GWD pursuant to a second stage
transaction. Under the second stage transaction, the remaining holders of the
GWD common shares will also have the right to receive 0.45 of a common share of
Vaaldiam for each GWD common share.


Vaaldiam is South America's largest diamond producer through its 100% ownership
in the Duas Barras and Chapada Mines in Brazil. Vaaldiam is also developing a
number of advanced-stage kimberlite diamond deposits, including the Brauna
deposits which are advancing towards a feasibility study later this year.
Vaaldiam's principal office is located at 55 University Avenue, Suite 1105,
Toronto, Ontario, M5J 2H7. For additional information please visit
www.vaaldiam.com or contact Ken Johnson, President and Chief Executive Officer
or Janet Reid, Manager Investor Relations at [phone].


Great Western Diamond Corp. is an exploration and mine development company that
is operated on a vision of growth and substantial enhancement of shareholder
value based on a balance of management experience, technical expertise, and
expansion of operations. GWD is currently focused on the 100%-owned Candle Lake
Diamond Project in central Saskatchewan where an aggressive, results-driven
evaluation program is targeted on reaching an advancement decision on the Candle
Lake kimberlites by the end of 2008. While Candle Lake is the core diamond
project, the Company continues to build a balanced and geographically diverse
project portfolio with both advanced and grass-root diamond properties in Canada
and Brazil.


Brent Jellicoe, P.Geo, President & CEO

Forward Looking Information

This news release may contain forward looking statements, being statements which
are not historical facts, including, without limitation, statements regarding
the proposed acquisition of GWD by Vaaldiam and discussions of future plans and
objectives. There can be no assurance that such statements will prove accurate.
Such statements are necessarily based upon a number of estimates and assumptions
that are subject to numerous risks and uncertainties that could cause actual
results and future events to differ materially from those anticipated or
projected. Important factors that could cause actual results to differ
materially from expectations are in the companies' documents filed from time to
time with the stock exchanges and provincial securities regulators, most of
which are available at www.sedar.com. The companies disclaim any intention or
obligation to revise or update such statements.