Tahera to Sell 16% Stake to Teck Cominco

Teck Cominco, a diversified mining company headquartered in Vancouver, Canada, will purchase 30 million units of Tahera at a price of $1 per unit. Teck Cominco's initial investment will represent approximately 16% of Tahera's issued and outstanding common shares after the sale.

The units Teck Cominco will purchase will be comprised of a total of 30,000,000 common shares and 22,109,757 common share purchase warrants. Three series of common share purchase warrants will be issued at closing and consist of 7,369,919 warrants exercisable at a price of $1.20 per share until November 30, 2007; 7,369,919 warrants exercisable at a price of $1.35 per share until November 30, 2008; and 7,369,919 warrants exercisable at a price of $1.50 per share until November 30, 2009.

Teck Cominco's holding will increase to approximately 24.9% on a fully diluted basis if all warrants issued to Teck Cominco are exercised. Teck Cominco is an arm's length party to Tahera.

Tahera, which owns the Jericho diamond mine, said that its goal of becoming the leading Canadian-owned diamond exploration and mining company is strengthened significantly by this strategic alliance with Teck Cominco which enables Tahera to draw on the technical and financial strengths of one of the world's leading mining companies.

Tahera plans to use the proceeds for working capital and to fund capital improvements that may be necessary to optimize production from the Jericho.

Due to lower than expected cash flows, Tahera approached Tiffany & Co., requesting to defer scheduled repayments of its credit facility. In light of the proposed investment by Teck Cominco, Tiffany has agreed to defer repayments until the end of September 2007.

For its agreement, Tahera has granted Tiffany marketing rights for any production from the Muskox kimberlite which Tahera would be entitled to under its agreement with De Beers Canada.