Leadbetter diamond project

Dianor issues shares as partial payment

2009-01-13 16:07 ET - Property Agreement

The TSX Venture Exchange has accepted for filing the documentation in connection with the issuance of a total of 8,417,461 common shares in partial payment pursuant to option agreements for the acquisition of interest in mining claims, as follows:

• Dianor has issued 4,208,731 shares further to an option agreement dated Dec. 15, 2004, pursuant to which the company has an option to acquire an 80-per-cent interest in 19 claim units covering an area of 944 hectares and located in the Chabanel township, province of Ontario.
• Dianor has issued 4,208,730 shares further to an option agreement dated Feb. 23, 2005, pursuant to which the company has an option to acquire a 70-per-cent interest in 49 claim units covering an area of 646 hectares and located in the Chabanel township of the province of Ontario.

Under the terms of each of these option agreements, the company is required to make annual payments of $750,000 over a period of four years, half of which may be paid by the issuance of common shares. The parties having agreed to accelerate the final payments under the agreements, which would normally be payable on Jan. 15, 2009, such that the remaining $750,000 payable by the issuance of common shares became due on Nov. 25, 2008. As a result of the final payment, the company has earned its interest in each of the above-mentioned properties.

For further information, please refer to the company's press release dated Dec. 4, 2008.