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NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES/
TSX.V Symbol (DMI)
KELOWNA, BC, March 5, 2014 /CNW/ - Diamcor Mining Inc. (TSX-V.DMI /
OTCQX-DMIFF), (the "Company") announces it has arranged a brokered
private placement financing (the "Offering") of 2,142,858 units (the
"Units") at a price of $1.40 per Unit for gross proceeds of
$3,000,001.20. Each Unit consists of one common share (a "Share") of
the Company and one-half of one common share purchase warrant (a
"Warrant"). Each whole Warrant has a 3 year term and entitles the
holder to purchase one Share at an exercise price of $1.80.
The Company engaged Roth Capital Partners ("Roth") as the lead agent and
Euro Pacific Canada Inc. (together with Roth, the "Agents") for the
Offering. The Agents will receive a cash fee equal to 6% of the gross
proceeds raised from the Offering and that number of Agents' warrants
equal to 6% of the number of Units sold pursuant to the Offering. Each
Agents' warrant has a 3 year term and entitles the holder to purchase
one Share at an exercise price of $1.80. Securities issued pursuant to
the Offering will be subject to a hold period of four months plus one
day following the date of issuance. Participants in the Offering were
largely institutional investment firms, and the Offering is expected to
close on or before March 7, 2014, subject to regulatory approval and/or
approval of the TSX Venture Exchange along with completion of all
definitive documentation and filings, as required. Proceeds from the
Offering will be used to support the advancement of the Company's
Krone-Endora at Venetia Project, and for general and administrative
purposes.
The securities sold in the Offering have not been registered under the
United States Securities Act of 1933, as amended, or any state
securities laws and may not be offered or sold in the United States
absent registration with the U.S. Securities and Exchange Commission or
an applicable exemption from such registration requirements.
This press release shall not constitute an offer to sell or the
solicitation of an offer to buy securities in the United States or any
other jurisdiction nor shall there be any sale of these securities in
any jurisdiction in which such offer, solicitation or sale would be
unlawful prior to the registration or qualification under the
securities laws of any such jurisdiction.
About Diamcor Mining Inc.
Diamcor Mining Inc. is a fully reporting publically traded junior
diamond mining company which is listed on the TSX Venture Exchange
under the symbol V.DMI, and on the OTC QX International under the
symbol DMIFF. The Company has a well-established prior operational and
production history in South Africa, extensive prior experience
supplying rough diamonds to the world market, and has established a
long-term strategic alliance with world famous Tiffany & Co. Rather
than exposing itself to the high risks and costs associated with
traditional exploration, the Company's focus is on the identification,
acquisition, and operation of unique diamond projects with near-term
production potential such as the Krone-Endora at Venetia Project. For
additional information on Diamcor, please visit our website at www.diamcormining.com.
About the Tiffany & Co. Alliance
As announced on March 29, 2011, the Company has established a long-term
strategic alliance and first right of refusal with Tiffany & Co.
Canada, a subsidiary of world famous New York based Tiffany & Co., to
purchase up to 100% of the future production of rough diamonds from the
Krone-Endora at Venetia Project at then current prices to be determined
by the parties on an ongoing basis. In conjunction with this first
right of refusal, Tiffany & Co. Canada also provided the Company with
substantial financing to advance the Project as quickly as possible.
Tiffany & Co. is a publically traded company which is listed on the New
York Stock Exchange under the symbol TIF. Founded in 1837, the Tiffany
name is now globally recognised as one of the premier luxury jewellery
and specialty retailers in the world. Through Tiffany & Co. and various
other subsidiaries, the company is engaged in product design,
manufacturing, and retailing activities on a global basis. As of
December 31, 2013, Tiffany & Co. operated 286 stores and boutiques in
the Americas, Japan, Asia-Pacific, Europe and the United Arab Emirates,
and also engages in direct selling through internet, catalog and
business gift operations. For additional information on Tiffany & Co.,
please visit their website at www.tiffany.com.
About Krone-Endora at Venetia
In February 2011, Diamcor acquired the Krone-Endora at Venetia Project
from De Beers Consolidated Mines Limited, consisting of the prospecting
rights over the farms Krone 104 and Endora 66, which represent a
combined surface area of approximately 5,888 hectares directly adjacent
to De Beers' flagship Venetia Diamond Mine in South Africa. De Beers
previously completed various exploration efforts on initial areas of
interest comprised of approximately 307 hectares, a summary of which
was reported in an initial Independent NI 43-101 Technical Report filed
by the Company on July 30, 2009. The deposits which occur on the
properties of Krone and Endora have been identified as a higher-grade
"Alluvial" basal deposit which is covered by a lower-grade upper
"Eluvial" deposit. The deposits are proposed to be the result of the
direct-shift (in respect to the "Eluvial" deposit) and erosion (in
respect to the "Alluvial" deposit) of material from the higher grounds
of the adjacent Venetia Kimberlite areas. The deposits on Krone-Endora
occur in two layers with an average total depth of less than 15.0
metres from surface to bedrock, allowing for a very low-cost mining
operation to be employed with the potential for near-term diamond
production from a known high-quality source. Krone-Endora also
benefits from the significant development of infrastructure and
services already in place due to its location directly adjacent to the
Venetia Mine. Since acquiring Krone-Endora the Company has completed
the construction and installation of extensive infrastructure at the
Project, along with the installation of a purpose built modular
processing plant, and extensive quarrying and in-field screening
operations. Commissioning of the processing plant is now complete, and
the Company's current efforts are designed to be a continuation of the
ongoing advancement of the Project, and as part of the Company's
preparations for an ultimate decision to move from bulk sampling and
trial mining exercises to full scale mining operations.
Qualified Person Statement:
Mr. James P. Hawkins (BSc., P.Geo), is Manager of Exploration & Special
Projects for Diamcor Mining Inc., and the Qualified Person in
accordance with National Instrument 43-101 responsible for overseeing
the execution of Diamcor's exploration programmes and a Member of the
Association of Professional Engineers and Geoscientists of Alberta
("APEGA"). Mr. Hawkins has reviewed this press release and approved of
its contents.
On behalf of the Board of Directors
Mr. Dean H. Taylor
President & CEO
Diamcor Mining Inc.
DTaylor@diamcormining.com
Tel (250) 864-3326
www.diamcormining.com
This press release contains certain forward-looking statements. While
these forward-looking statements represent our best current judgement,
they are subject to a variety of risks and uncertainties that are
beyond the Company's ability to control or predict and which could
cause actual events or results to differ materially from those
anticipated in such forward-looking statements. Further, the Company
expressly disclaims any obligation to update any forward looking
statements. Accordingly, readers should not place undue reliance on
forward-looking statements.
WE SEEK SAFE HARBOUR
Neither TSX Venture Exchange nor its Regulation Services Provider (as
that term is defined in policies of the TSX Venture Exchange) accepts
responsibility for the adequacy or accuracy of this release.
SOURCE Diamcor Mining Inc.
