Nearctic Nickel Mines Inc dated August 11 2006

Also, Tyson Griffin went and sat in the audience after his fight and they were loving it.12:16 pm: Wow, did not see that coming. Is Vitor really next in line for a title shot I think we should have first ever MMA triple threat match!. MONTREAL, QUEBEC, Feb 02 (MARKET WIRE) Canadian Royalties Inc. (TSX: CZZ) announces that it has been advised bytwo of its directors, Messrs. Bruce Durham and Glenn Mullan, that UngavaMinerals Exploration Inc.'s ("UMEI") Application to the Supreme Court ofCanada (Application for Leave) was rejected, with costs in favour ofBruce Durham and Glenn Mullan.UMEI's Application to have its matter presented to the Supreme Court ofCanada was made in a final attempt to overturn a decision of the QuebecCourt of Appeal that had upheld a decision of the Quebec Superior Court,dismissing UMEI's law suit against Durham and Mullan.UMEI is a company associated with Ungava Minerals Corp. (now namedNearctic Minerals) and its Application to the Supreme Court is correlatedwith Ungava Minerals' direct and indirect efforts to challenge CanadianRoyalties' interests in the Expo-Ungava Property.

Over the years, UngavaMinerals, UMEI, and its related entities, have been unsuccessful inachieving that objective.In respect of this recent loss by UMEI at the Supreme Court, it had, in2006, launched an action against Durham and Mullan in the Quebec SuperiorCourt seeking $50,500,000 in damages (see Press Release of UngavaMinerals Corp./Nearctic Nickel Mines Inc dated August 11, 2006). Durhamand Mullan were successful in having this 2006 action against themdismissed by the Quebec Superior Court on April 24, 2007, and again bythe Court of Appeal of Quebec on July 16, 2008.Glenn J. Mullan, President and CEO of Canadian Royalties, states that "itis anticipated that the success achieved by Bruce Durham and Glenn Mullanin this matter may have significant carry-over benefits to CanadianRoyalties".About Canadian Royalties and the Nunavik Nickel ProjectCanadian Royalties has identified Indicated resources totaling 19,437,000tonnes grading 0.97 Ni, 1.18 Cu, 0.56 g/t Pt, and 2.27 g/t Pd, inaddition to 4,102,000 tonnes of Inferred resources at its Nunavik NickelProject, located 20 kilometers south of Xstrata Nickel's Raglan Mine inNunavik, Quebec. Canadian Royalties has received its EnvironmentalCertificate of Authorization and Mine Leases for the Expo, Mesamax,Ivakkak and Mequillon sites.Forward-looking StatementThis news release contains certain forward-looking statements orforward-looking information.

These forward-looking statements are subjectto a variety of risks and uncertainties beyond the Company's ability tocontrol or predict which could cause actual events or results to differmaterially from those anticipated in such forward-looking statements.Such risks and uncertainties are disclosed under the heading "RiskFactors" in the Company's Annual Information Form for the year endedDecember 31, 2007 and dated March 31, 2008. Further, forward-lookinginformation is in addition based on various assumptions and should one ormore of these risks and uncertainties materialize, or should theunderlying assumptions prove incorrect or different, actual results mayvary materially from those described in the forward-looking statements.All forward-looking statements speak only as of the date of this newsrelease and the Company does not undertake any obligation to update orpublicly disclose any revisions to such forward-looking statements toreflect events, circumstances or changes in expectations after the datehereof, except as required by law. Accordingly, readers should not placeundue reliance on such forward-looking statements.Contacts:Canadian Royalties Inc.Glenn J. MullanDirector, President and Chief Executive Officer514-879-1688, ext. 2009, Market Wire, All rights reserved.-0-.