TORONTO, June 17, 2004 (PRIMEZONE) -- Bontan Corporation Inc. (OTCBB:BNTNF) through its wholly owned subsidiary, Bontan Diamond Corporation ("BDC"), is pleased to announce that BDC's wholly owned Brazilian subsidiary Astrogemas Mineracao Ltda ("AML") has amassed exclusive exploration rights covering over 2000 hectares in Serra do Alemao located between diamondiferous Rio Abaete and Rio Borrachudo in the Coromandel region of Minas Gerais State in Brazil.
Serra do Alemao is a low-lying circular flat surrounded by a ring of intermittent hills composed entirely of chaotic impact ejecta. BDC geologists concluded that it is possible that the core of the structure could host embedded kimberlites.
Mr. Guardia, Chief geologist, comments, "The area is an important drill target since it is totally surrounded by recent claims of Comphania Vale do Rio Doce (CVRD), Brazil's mining giant."
Mr. Kam Shah, CEO commented, "BDC has now acquired exploration rights to over 3600 hectacres known for the findings of diamondiferous kimberlites. The current acquisition is part of Bontan's strategy to become a significant producer of diamonds in Brazil."
About Bontan Corporation Inc.:
Bontan Corporation Inc. is a diversified natural resource Company seeking high returns with minimal risks. Bontan operates, backs and invests in major exploration and exploitation plays run and organized by highly regarded geologists, geophysicists and executives.
Through its wholly owned subsidiaries, Bontan seeks highly visible opportunities in countries around the globe with a history of natural resource production that offer exciting and attractive propositions. The company will seek to minimize risk by bringing in either joint venture, carried or working interest partners, depending on the size and scale of the project.
For further information, please contact Kam Shah, CFO at 416-860-0174. Visit www.bontancorporation.com for more information
For Media Relations, contact Rob Kennedy at Current Capital Corp. at 416-860-0211 or visit their website at www.currentcapital.com
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