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Snowfield Development Corp. ("Snowfield" or the "Company") announces that on Monday, July 31st, 2006, the Company received an e-mail addressed to Snowfield, subject "Termination of Agreement", from Mr. Laurie Stephenson, a consultant to Consolidated Gold Win Ventures Inc. ("Gold Win"), which had an attached letter on Gold Win letterhead. To Snowfield's knowledge, Mr. Stephenson is neither an Officer nor Director of Gold Win. The subject letter was not signed with a written signature, other than the name "Abi Souhail Farrage" typed, in italics, in the signature section of the letter. The contents of the letter advised Snowfield that the letter was Gold Win's notice of abandonment (the "Abandonment Notice") of the Option Agreement dated April 21st, 2006 between Snowfield and Gold Win, granting Gold Win an option to earn a net 39.6% interest in the Drybones No. 4 Mineral Claim. The Drybones No. 4 Mineral Claim forms part of Snowfield's Ticho Diamond Project located 55 km south east of Yellowknife, Northwest Territories in the Archean Slave Geological Province and covers the Mud Lake kimberlite sill, discovered by Snowfield in the winter-spring of 2003, which has proven to be diamondiferous (NR06-04) and is now being bulk sampled to further quantify the commercial potential of the structure.
On August 1, 2006 the Company delivered a second Notice of Default to Gold Win's registered offices regarding Gold Win's option to earn an interest in the Drybones No. 4 Mineral Claim (the "Option Agreement") with respect to Gold Win's failure to remit a second payment of $300,000 to Snowfield as prescribed for under Paragraph 1.3 (b) of the Option Agreement which payment was due on or before July 31st, 2006 .
Previously, on July 19, 2006, Snowfield announced (NR06-27) that on July 14th, 2006 the Company delivered a Notice of Default dated July 13th, 2006 to Gold Win with respect to Gold Win being in default of the Option Agreement. Specifically, Gold Win had failed to make the first payment of $300,000 on the 45th day following the date of Acceptance for Filing of the Option Agreement by the TSX Venture Exchange (the "Exchange"), which date of acceptance was May 19th, 2006. Under the terms of the Option Agreement, the prescribed payments were to be used by Snowfield to carry out exploration and development work on the Drybones No. 4 Mineral Claim.
In accordance with Paragraph 6.5 of the Option Agreement, Gold Win has a period of 30 days to remedy its first default, which date is August 14th, 2006. In the event that Gold Win does not remedy its default, Snowfield, at its option, may, upon written notice, terminate the Option Agreement.
In the second Notice of Default dated August 1, 2006, Snowfield requested that, if in fact the aforementioned e-mailed, un-signed, Abandonment Notice properly reflected Gold Win's intention to abandon the Option Agreement, that Gold Win provide Snowfield with properly executed documentation to that effect. Snowfield further advised Gold Win that if in the event that Gold Win did not provide Snowfield with properly executed documentation regarding Gold Win's abandonment of the Option Agreement, or notice to the contrary, within twenty-four hours from the delivery time of its August 1st, 2006 Notice of Default, Snowfield would accept the Abandonment Notice delivered by e-mail from Mr. Stephenson as accurately reflecting Gold Win's intentions of abandoning the Option Agreement.
As of the close of business on Thursday, August 3, 2006, some forty-eight hours following delivery of the second Notice of Default to Gold Win's registered office on August 1, 2006. Snowfield had not received any response to that Notice of Default's request that Gold Win provide Snowfield with properly executed documentation regarding Gold Win's abandonment of the Option Agreement. Consequently, in the absence of a response from Gold Win, Snowfield is accepting the Abandonment Notice delivered by e-mail from Mr. Stephenson as accurately reflecting Gold Win's intentions of abandoning the Option Agreement.
ON BEHALF OF THE BOARD
"Robert T. Paterson"
President
SNOWFIELD DEVELOPMENT CORP.
The Canadian Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of the contents hereof.