News

March 26, 2007

Sanatana Diamonds Inc. Commences 2007 Exploration Program

Vancouver, British Columbia, Canada, March 26, 2007. Sanatana Diamonds Inc. ("Sanatana" or the "Company") is pleased to announce that it has begun its 2007 exploration program. The Company commissioned Aeroquest International Limited to fly an IMPULSE survey in the Greenhorn area, situated inland of the northeastern Dease Arm of Great Bear Lake. This survey is nearing completion.

Till sampling by Sanatana in the Greenhorn area has revealed at least three separate indicator mineral dispersion trains that contain up to 82 indicator minerals obtained from an 18kg sample. The geology of the area is mapped as a continental to shallow marine Proterozoic platform. Electron micro-probe results from grains of the indicator minerals show chemistry that is amenable to diamond mineralization therefore providing evidence that underlying this terrain is a potential deep cool lithospheric keel capable of harboring diamonds.

The most prominent indicator dispersion train in the Greenhorn area has been traced to a 1.2 kilometre diameter swamp based on till sampling at about 300 metre density. The theory behind till sampling is that, during the recent ice age, glaciers eroded kimberlites and pushed indicator minerals liberated from the kimberlite many kilometers in the down-ice direction. At Greenhorn, there are at least four prominent indicator mineral dispersion trains that spread out in the direction of ice flow, which was from east to west. On the most prominent indicator dispersion train no indicator minerals occur up-ice of the swampy area mentioned above, suggesting the source of these indicator minerals is within the swamp.

The IMPULSE survey is currently gathering frequency domain EM data and total field magnetic data at 100 metre spacing from a helicopter. Anomalies within this data, especially those that can be linked to the indicator mineral dispersion trains, will be subject to ground geophysical surveys and developed into drill targets.

A drill program to test these targets is planned prior to the spring melt. Permitting for this proposed drill program is in progress, and initial community consultations have taken place.

The till sampling over Sanatana's large land holding has generated several other separate indicator mineral anomalies and the IMPULSE system will be deployed over at least two of these areas before it is demobilized. This work is designed to generate targets that will be the subject of a summer drilling program.

Qualified Person

The Sanatana exploration programs are carried out under the supervision of Sanatana's Director and VP of Exploration, Mr. Buddy Doyle. Mr. Doyle meets the qualified person requirements (as defined by National Instrument 43-101) with 26 years of exploration experience, 16 years of which is in diamond exploration.

Stock Options

On March 6, 2007, the Board of Directors approved the grant of 3,170,000 stock options under the Company's Share Option Plan. Of these, 2,000,000 stock options are being granted to directors, officers and senior consultants, exercisable for a period of five years from March 6, 2007 at a price of CDN $1.40 per share, and 1,170,000 stock options are being granted to employees and operational staff, exercisable for a period of five years at a price of CDN $0.75 per share. Options to Directors have been awarded as follows:

Peter Miles
Buddy Doyle
Edward Marlow
Harley Hotchkiss
Nick Archibald
400,000
400,000
400,000
400,000
300,000

Forward Looking Statements

Some of the statements contained in this press release are forward-looking statements. Forward-looking statements are not historical facts and are subject to a number of risks and uncertainties beyond Sanatana's control, and may include statements regarding resource estimates, potential mineralization, exploration results, completion of work programs and studies, and future plans and objectives. Resource exploration, development and operations are highly speculative, characterized by a number of significant risks, which even a combination of careful evaluation, experience and knowledge may not eliminate, including, among other things, unprofitable efforts resulting not only from the failure to discover mineral resources, but from finding mineral deposits that though present, are insufficient in quantity and quality to return a profit from production. There can be no assurance that such statements will prove to be accurate and actual results could differ materially from those suggested by any forward-looking statements.

For additional information on the company, please contact:
Sanatana:
Mr. Peter Miles, President and Chief Executive Officer, at 604-408-6680 or email investor@sanatanadiamonds.com.

Insinger de Beaufort (Nominated Adviser):
Jasper Allen/Joe Lunn, at tel: +44 207-190 7000

NEITHER THE AIM MARKET OF THE LONDON STOCK EXCHANGE PLC NOR THE TSX VENTURE EXCHANGE HAS REVIEWED, NOR ACCEPTS RESPONSIBILITY FOR, THE ADEQUACY OR ACCURACY OF THIS RELEASE.

About the Company

Sanatana Diamonds Inc. is focused on the exploration of its Mackenzie Diamond Project located north of Great Bear Lake and approximately 700 kilometres northwest of Yellowknife, in the Northwest Territories of Canada. Sanatana currently holds approximately 5.9 million acres of ground under claims and permits, reduced from 16.5 million acres last year as the company further hones in on selected geochemical and geophysical targets. The Sanatana Mackenzie project is a joint venture between Kennecott Canada Exploration Inc. and Sanatana Diamonds Inc., where Sanatana operates and Kennecott has a contributing 15%, interest. As part of the Joint Venture arrangement Kennecott has made available one of their project geologists and a geophysicist from their pool of experienced staff. Sanatana Diamonds, headquartered in Vancouver, is dual listed on the AIM Market of the London Stock Exchange plc and TSX Venture Exchange (AIM: SAN, TSX.V: STA).