Dear VMS Followers,

We believe today's release, which features a substantial new discovery in drill hole RLE006 with an intersection of 7.18 metres of 7.44% copper, is the beginning of a serious chase for a brand new deposit in the area of the Reed deposit, near Snow Lake, Manitoba.

It is in the property package known as the Super Zone, in which HudBay may earn up to 70% with payments and expenditures. VMS is carried for the first $50 million dollars of developing any new deposit in the Super Zone and the other property packages at Reed.

This new Super Zone discovery is 1.8 kilometres to the northeast of our Reed deposit. The anomaly is over 900 metres long and the rock package has the same characteristics that host the very large deposits in this belt. Our option partner, HudBay Minerals is following up aggressively.

We have said for some time that the biggest return for shareholders will be if/when we discover we are in a camp at Reed that hosts several deposits. Our team is thrilled with the potential of this discovery and is looking forward to more results from the HudBay drill program.

The press release is further below, but today, I'm also including the just released Dundee Capital Markets note on VMS Ventures for your information.

Here is a quote from their report this morning which goes beyond this morning's excellent drill results and why they consider VMS Ventures a buy:

"The Flin Flon - Snow Lake mineralized belt of Manitoba is characterized by high-grade, low-tonnage Volcanogenic Massive Sulphide (VMS) deposits. This is HudBay's backyard and its management knows the economic potential of this high-value rock very well. The economics of these small high-grade deposits, such as Reed Lake, are enhanced by the fact that HudBay already has a processing facility in the Flin Flon area with unused capacity. Hence, such deposits present HudBay with low-cost opportunities to enhance its copper production profile.

We like VMS Ventures, not just because of its 30% interest in the Reed Lake deposit, but also for the fact that over 90% of its land holdings in the Flin Flon - Snow Lake region of Manitoba are 100% owned with very little exploration on these properties in the past. Management has undertaken a $5 million exploration program to drill these properties this year. We are excited at the prospect of significant results coming out this summer."

To view the full Dundee note, please click here:

Neil Richardson, VMS' Chief Operating Officer states: "We are very excited with the potential of this high grade copper discovery on our Super Zone property. All of the largest deposits in the belt are associated with bimodal volcanism and this has all the earmarks of such a discovery. This discovery signifies the potential of a new camp emerging with our partner HudBay. HudBay is continuing exploration with two diamond drills testing geophysical and geological targets on the option properties. VMS management would like to congratulate the HudBay technical team for this discovery, which took place in their first drill program on the property." CLICK HERE TO READ MORE