Forest Gate Intersects Kimberlite

June 19, 2003, Montreal, Qc. – Forest Gate Resources Inc. (FGT-V) reports it has intersected kimberlite on its newly discovered Dizzy kimberlite pipe on its East Side diamond property at Fort a la Corne, Saskatchewan.

Hole FG03-1 on the Dizzy kimberlite pipe intersected kimberlite and recovered NQ core (48 mm in diameter) from 145 metres to 168 metres but the hole was lost at 171 metres due to drilling problems. The last three metres of core were not recovered.

A second hole, using larger diameter equipment (HQ, with a nominal core diameter of 63.5 mm) was collared about 15 metres from the first but was lost due to drilling problems in 72 metres of overburden.

A report from Newson Management and Consulting Ltd. describes the results: “The upper 15 metres of the kimberlite shows the typical alteration to clay and serpentine usually seen in the upper part of kimberlite bodies at Fort a la Corne. Below that is relatively fresh, fine to coarse-grained, olivine/lapilli pyroclastic kimberlitic material.”

“Coarse grain size has been correlated with better diamond grade in other kimberlites, and the presence of coarse-grained layers in this kimberlite is therefore encouraging, reports Newson. “Some garnets have been identified, and some chromite grains have been tentatively identified visually. Garnets and chromites of specific chemical compositions are indicator minerals for diamonds.” Forest Gate intends to carry out analyses on parts of the core imminently.

“It is an auspicious beginning to our program at East Side,” says Forest Gate President, Michael Judson. “The drilling problems were unfortunate but beyond anyone’s control. We are currently addressing these technical issues and look forward to resuming what so far has been a highly successful exploration program.”

“The first task is complete. We have found a kimberlite pipe and established a high priority drilling target. We are also confident we will find other kimberlite pipes on our property,” said Judson. “Our consultants tell us that a good portion of our property is underlain by a large iron formation which may be masking other kimberlite pipes. We are currently developing a geophysical surveying strategy to help overcome that challenge.”

Forest Gate’s Dizzy pipe is located two kilometers from and contiguous with the De Beers-Kensington Resources 140-141 kimberlite pipe where a 10-carat diamond was recovered several weeks ago and where the joint venture just recovered a total of 664 macrodiamonds from a 1,272 tonne mini-bulk sample. Kensington shares traded at $1.57 per share on June 18, 2003 with a trading range of $1.20 to $1.50.

The Dizzy pipe is located four kilometers to the south of and contiguous with the Star kimberlite pipe owned 100% by Shore Gold Inc. Shore is at a very advanced stage of exploration and development of its Star pipe and is currently sinking a 4.5 meter vertical shaft to a depth of 130 meters to recover 25,000 tonnes of kimberlite.