TORONTO, ONTARIO - Tsodilo Resources Limited (TSX Venture Exchange: TSD) ("Tsodilo" or the "Company") is pleased to announce that Peter Walker will re-join the Company as Vice President, Exploration effective September 1, 2004. Peter held this same position with the Company from 1995 to 2001 and was Trans Hex Group's Exploration Manager from 1999 until 2002. Since 2002, Peter has acted as a Consulting Geologist to the Company as well as many other diamond producers and exploration companies throughout Africa and recently has served as the Chairman of the Company's Botswana subsidiary, Newdico (Pty) Limited, Technical Committee.

"Peter brings impressive credentials and significant practical and management experience to our company which enhances our ability to meet the challenges of our Botswana Ngamiland project. Peter has done it all: evaluated diamondiferous kimberlites, expanded diamond resources of existing mines, worked in alluvial and marine diamond mining environments. His extensive open pit mining experience is extremely useful to us as mining diamonds in Botswana will probably be conducted through this scenario. We are pleased to welcome him aboard", commented James M. Bruchs, President & CEO. In additional to his extensive and multi-disciplinary work history, Mr. Walker holds a BSc (Hons) in Geology as well as an MBA, both from Cape Town University in South Africa. Mr. Peter Walker replaces Dr. Andrew E. Moore, who remains involved with the Company as a consultant and a member of the Technical Committee.

Tsodilo Resources is an international diamond exploration company engaged in the search for economic kimberlites at its Newdico and Gcwihaba projects in northwest Botswana. Tsodilo has a 75% stake in Newdico while Trans Hex Group, a South African diamond mining and marketing company, holds the remaining 25%. The southern Gcwihaba Project area is 100% held by Tsodilo subsidiary Gcwihaba Resources. Tsodilo manages the exploration of both licence areas. The design and conduct of the Company's exploration program is the responsibility of Peter Walker, a professional geologist registered with the South African Council for Natural Scientific Professions.

FOR FURTHER INFORMATION PLEASE CONTACT:

James M. Bruchs - President and Chief Executive Officer: E-Mail: JBruchs@TsodiloResources.com
Peter Walker - Vice President, Exploration: E-Mail: PWalker@TsodiloResources.com
Head Office: Telephone +1 416 572 2033 Facsimile + 1 416 572-4164

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