RE: RE: News out !This news release is not for distribution to United States newswire services or for dissemination in the United States.
Dianor Resources Inc. (TSX VENTURE:DOR) has completed a previously-announced (press releases September 27th 2010, October 5th 2010 and October 12th 2010) initial draw down of $500,000 under its equity line of credit with Kodiak Capital Group, LLC by issuing 7,269,555 common shares at a price of
.06878 per share. In addition, as previously announced, Dianor issued 908,397 shares in partial consideration for the equity line of credit.
Additional draw downs under the equity line of credit with Kodiak Capital will be under the formula in the Amended and Restated Standby Equity Distribution Agreement dated July 9, 2010, between Dianor and Kodiak, as amended and in the Short Form Prospectus (www.sedar.com) which states that the drawdown will be calculated as follows: " 200% of daily volume of the Common Shares on the TSXV for the three Trading Days immediately prior to the date of delivery of the Draw-Down Notice, calculated by dividing the total volume of Common Shares traded on the TSXV for such period by three, multiplied by the average closing price of the Common Shares on the TSXV for the same period. The price per Subscription Share to be paid by the Subscriber (the "Purchase Price") will be equal to the volume weighted average price of the Common Shares on the TSXV for each Trading Day during the Draw-Down Pricing Period (the "Market Price"), less a discount of 10%, subject to a minimum Purchase Price of
.05. The number of Subscription Shares to be purchased by the Subscriber on each Settlement Date will be equal to the Draw-Down Amount divided by the Purchase Price."