Commander Resources Limited said that it has commenced a diamond drilling program on the South Voisey's Bay nickel properties in Central Labrador. The drilling will test strong electromagnetic conductors interpreted to be caused by sulphide accumulations coincident with the base of gabbro intrusive rocks similar to host rocks at Voisey's Bay.

Three conductors will be tested in the first phase of drilling. Two conductors reported in the company's news release dated May 22nd 2008 include a large ovoid 600 by 700 meters in size that is open to the west and a second anomaly that is about 150 meters wide by 400 meters long east west and is open and strengthening to the west. The third target, reported in the company's news release dated July 16th 2008 is about 800 meters long and averages 150 to 200 meters in width with an easterly plunge.

The three strong conductors are sub horizontal to gently dipping and large in area, with sufficient strength to be caused by an accumulation of massive sulphides. The favorable host rocks for nickel accumulation were formed as intrusions into vertically dipping sedimentary rocks. Geophysical data supports the interpretation that this gabbro underlies most of the Adlatok 1, Sally and Sadie properties and areas to the southeast to the northeast. The company controls over 200 square kilometers east of the Sally Adlatok 1 properties to cover the possible extent of this favorable gabbro.

Historical drilling nearby in the South Voisey's Bay area by the company and partners encountered numerous nickel sulphide intercepts including 11.9% nickel, 9.6% copper over 1.10 meter and 1.13% nickel, 0.78% copper over 15.7 meters. Nickel sulphides in the SVB area are hosted by a highly altered gabbroic complex identical to that which hosts the Voisey's Bay nickel deposits 90 kilometers to the north.