TORONTO, ONTARIO--(Marketwire - July 6, 2011) - Olivut Resources Ltd. ("Olivut" or the "Company") (News - Market indicators) is pleased to announce that it has signed a definitive Option Agreement ("the Definitive Agreement") dated July 5, 2011 with Latin American Minerals Inc. ("LAT") (TSX VENTURE:LAT) and certain of its Paraguayan subsidiaries to explore the Itapoty Diamond Project located in central Paraguay, South America.

Pursuant to the terms of the Definitive Agreement, Olivut has the option to earn 50% of the Itapoty Diamond Project by incurring CDN$250,000 in expenses related to the property in the first 12 months and an additional CDN$750,000 in the following 18 months. Olivut will be the operator of the project. Work will begin immediately to evaluate the potential of the Itapoty Diamond Project.

Highlights of the Itapoty Diamond Project include:

• Stream and rock sample results have yielded numerous kimberlite indicator minerals
• 37 diamonds have been recovered from the property by LAT
• Diamond distribution suggests local and multiple sources
• Diamonds found in coarse fraction (1-2 mm)
• Surface features of diamonds indicate proximal sources
• Regional and local geology supports emplacement of diatremes and dykes

The Company is very pleased to be working on this new opportunity as it complements Olivut's existing portfolio of Diamond exploration properties in the NWT, Canada and Uruguay, South America. Paraguay is a mining-friendly county that remains largely underexplored. It depends primarily on agricultural production that comprises the vast majority of the country's exports. Argentina and Brazil are its main trading partners.

Please visit www.olivut.com for detailed corporate and project information.

This communication to shareholders and the public contains certain forward-looking statements. Actual results may differ materially from those indicated by such statements. All statements, other than statements of historical fact, included herein, including, without limitations statements regarding future production, are forward-looking statements that involve various risks and uncertainties. There can be no assurance that such statements will prove to be accurate and actual results and future events could differ materially from those anticipated in such statements.

Martin Jackson MAusIMM, a Qualified Person as defined by National Instrument 43-101, has reviewed the contents of this press release. 

Leni Keough, P.Geo.

President and Chief Executive Officer