Canadian Royalties/Nunavik Nickel Project Allammaq Update: 2.5 Million Tonnes of High-Grade Mineralization Added to Resource Inventories

MONTREAL, QUEBEC--(Marketwire - April 15, 2008) - Canadian Royalties Inc. (TSX:CZZ) is pleased to report the results of an initial resource estimate on its recently discovered Allammaq deposit. The Allammaq resource model was derived from delineation drilling conducted during the 2007 that outlined an ultramafic hosted, convex-shaped, shallow north-dipping lens of dominantly net-textured sulphides with lesser massive sulphide and vein-type mineralization. The high-grade Nickel and Copper resource is also complemented by significant Platinum and Palladium grades and the deposit remains open for further expansion.

The table below summarizes the Allammaq resource estimate:


Resource Ni Cu Co Au Pt Pd

Category tonnes (%) (%) (%) (g/t) (g/t) (g/t)


Indicated 2,065,000 1.30 1.52 0.05 0.13 0.73 3.14

Inferred 461,000 1.97 1.84 0.08 0.13 0.81 2.67



(1) The new resource for Allammaq is estimated on the basis of US$ metal prices of $8.00/lb nickel $2.00/lb copper, $25/lb cobalt, $600/oz gold, $1,100/oz platinum and $300/oz palladium and the $US exchange rate was $0.90. NSR cut-offs of $115/tonne for underground mining were utilized to report the resource.

(2) Mineral resources which are not mineral reserves do not have demonstrated economic viability. The estimate of mineral resources may be materially affected by environmental, permitting, legal, title, taxation, socio-political, marketing, or other relevant issues.

(3) The quantity and grade of reported inferred resources in this estimation are uncertain in nature and there has been insufficient exploration to define these inferred resources as an indicated or measured mineral resource and it is uncertain if further exploration will result in upgrading them to an indicated or measured mineral resource category.

(4) The mineral resources in this press release were estimated using the Canadian Institute of Mining, Metallurgy and Petroleum (CIM), CIM Standards on Mineral Resources and Reserves, Definitions and Guidelines prepared by the CIM Standing Committee on Reserve Definitions and adopted by CIM Council December 11, 2005.

Although two mineralized zones are present, the basal zone (Allammaq) is by far the most economically important with thicknesses exceeding 40 metres in the central portion of the deposit. Significant sulphide mineralization was outlined on five 50-metre spaced sections over dip lengths of up to 150 metres that can be projected over 250 metres of strike length (Sections 2450E to 2250E). Twenty-six (26) drillholes that intersected mineralization on these five sections form the basis of the resource estimate while thirty-two (32) holes were incorporated to build the geological model. Inverse distance squared grade interpolation was utilized to determine block model grades.

Commenting on the results, Mr. Grant Arnold stated: "The identification of significant resources at Allammaq demonstrates that systematic exploration is the largest single creator of value for our company. Given Allammaq's proximity to the high-grade Mesamax deposit, it is clear that this area will likely become a key mining centre of the Nunavik operation and that integration of Allammaq resources in a revised mine plan is now a top priority."

The addition of Allammaq to the resource inventory expands the Nunavik Nickel Project's Indicated resources to 19,437,000 tonnes (11.9% increase) while Inferred resources grow to 4,102,000 tonnes (12.7% gain).

Updated total Indicated and Inferred Resources for the Nunavik Nickel Project, including Allammaq are summarized in the table below:


Resources(Total) Ni Cu Co Au Pt Pd

Category tonnes (%) (%) (%) (g/t) (g/t) (g/t)


Indicated 19,437,000 0.97 1.18 0.05 0.14 0.56 2.27

Inferred 4,102,000 0.96 1.17 0.05 0.16 0.63 2.45



Eugene Puritch, P.Eng., Tracy Armstrong, P.Geo and Antoine Yassa, P.Geo of P&E Mining Consultants Inc. will be the authors of an NI 43-101 compliant Resource Estimate Technical Report on the Allammaq deposit to be filed within 45 days of this news release. They are Qualified Persons in accordance with NI 43-101, and are responsible for the information presented in this news release.

All assaying was completed by ALS Chemex with sample preparation completed in Val-d'Or, QC and analyses completed at ALS Chemex in Vancouver, B.C. Base metal values were determined by sodium peroxide fusion with ICP-AES analysis. Platinum, palladium and gold values were determined by 30 gram fire assay with ICP-AES finish.

About Canadian Royalties and the Nunavik Nickel Project

Canadian Royalties has initiated the development of an independent, stand-alone nickel-copper mine on its Nunavik Nickel Project, located 20 kilometres south of Xstrata Nickel's Raglan Mine in northern Quebec. Canadian Royalties is proceeding with permitting applications, as well as exploration for additional resources.

Forward-looking Statement

This news release contains certain forward-looking statements or forward looking-information. These forward looking statements are subject to a variety of risks and uncertainties beyond the Company's ability to control or predict which could cause actual events or results to differ materially from those anticipated in such forward looking statements. Such risks and uncertainties are disclosed under the heading "Risk Factors" in the Company's Annual Information Form for the year ended December 31, 2007 and dated March 31, 2008. Further, forward-looking information is in addition based on various assumptions, including, without limitation, the expectation and beliefs of management, the assumed long term price of nickel, that the Project is a technical viable and economic operation, that it can be successfully completed by the Company, that the Company will receive the required permits and access to surface rights, and that the Company can access financing, appropriate equipment, and sufficient labour. Should one or more of these risks and uncertainties materialize, or should the underlying assumption prove incorrect or different, actual results may vary materially from those described in the forward-looking statements. All forward looking statements speak only as of the date of this news release. Accordingly, readers should not place undue reliance on forward-looking statements.

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