News

December 7, 2007

Sanatana's Newly Discovered Dharma Kimberlite Is Diamond Bearing

Vancouver, British Columbia, Canada, December 7, 2007. Sanatana Diamonds Inc., ("Sanatana" or the "Company", AIM: SAN: TSX-V: STA) is pleased to announce that it has received the first batch of caustic fusion diamond results from the Company's newly discovered Dharma kimberlite pipe. These results were generated by Thunder Bay Diamond Services1, which is operated by Kennecott Canada Exploration Inc.

This first batch weighed 339.18 kg and is from 21 separate samples of split NQ2 size drill core from the discovery drill hole. Approximately one tonne of kimberlite has been sent for microdiamond recovery and the results from the two remaining batches will be reported as they come to hand.

In total, 180 diamonds greater than 0.106mm have been recovered, which equates to 531 stones recovered per tonne. Table 1 below shows the stone size distribution for this group of samples.

Combined Weight (kg) 0.106 Sieve 0.15 Sieve 0.212Sieve 0.3 Sieve 0.425Sieve 0.6 Sieve 0.85Sieve 1.18 Sieve 1.7 Sieve TOTAL
339.18 77 45 29 12 7 7 2 0 12 180


1 Kennecott Canada Exploration Inc. operates Thunder Bay Diamond Services, which is assessed and registered by Intertek Testing Services NA Ltd. as conforming to the requirements of ISO 9001-2000.
2 This diamond measured 3.20 x 2.70 x 0.95 mm and weighed 0.06 carats.

The diamonds are described as being 60% white in colour and 23% have octahedral crystal habits. The largest stone2 weighed 0.06 carats and measured 3.2mm across, falling on a 1.7mm sieve.

The management of Sanatana is highly encouraged by these initial results.

The Company initially acquired, in June 2004, approximately 20 million acres of permits that comprise its Mackenzie Project. The acquisition was based on the premise that a deep, cool, potentially diamondiferous craton existed under the project area. Management believes that this new discovery, on what the Company now calls the Mackenzie Craton, confirms this premise.

The Company has, after four years and some $20 million in exploration, consolidated its original 20 million acres of permits into about 5.9 million acres that have at least six discrete regions with anomalous geochemical indicator mineral concentrations. These regions are the Greenhorn, Simpson, Yeltea, Colville, Horton and Estabrook Projects.

Management believes that the Company's exploration strategy of controlling a large land area and using geochemical indicator mineral analysis to define probable kimberlite fields within that area, coupled with geophysics to define individual kimberlites, has now been proven.

The Dharma discovery, which occurs in the Greenhorn Project area, is a prominent geophysical anomaly at the head of a kimberlite indicator mineral anomaly. Kimberlites generally occur in fields of 30 or more and the Company has several drill ready targets in close proximity to Dharma. The likelihood of additional kimberlite in the Greenhorn Project area is supported by till sampling which shows a regional cloud of indicator minerals in the area. Geophysical surveys will begin in February 2008 to define additional drill targets with drill testing of targets commencing in early March 2008.

Results coming in from the 2007 summer sampling program have produced several new indicator mineral trains which are coupled with magnetic anomalies. The indicator mineral chemistry of these new targets is positive for diamonds. The new targets, some of which are already drill permitted, are from projects other than the Greenhorn. The Company plans to drill test these targets over the next 24 months.

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):
Nandita Sahgal, at tel: +44 207-190-7000 or email
nsahgal@insinger.com

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.

Forward Looking Statements
Some of the statements contained in this press release are forward-looking statements and information within the meaning of applicable securities laws. Forward-looking statements and information 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 or continuation 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 be economic or to return a profit from production. There can be no assurance that such statements and information will prove to be accurate and actual results could differ materially from those suggested by any forward-looking statements and information. Sanatana disclaims any obligation to update or revise such forward looking statements and information except as required by law.

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 are in diamond exploration.

About the Company
Sanatana Diamonds Inc. is focused on the exploration of its Mackenzie Diamond Project, comprised of approximately 5.9 million acres of ground under claims and permits, located north of Great Bear Lake and approximately 700 kilometres northwest of Yellowknife in the Northwest Territories of Canada. The Sanatana Mackenzie project is a joint venture between Kennecott Canada Exploration Inc. and Sanatana Diamonds Inc., which 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 Toronto Venture Exchanges (AIM: SAN: TSX-V: STA).