Diamcor Mining Announces Private Placement Closing

August 31, 2007

KELOWNA, August 31, 2007 – Diamcor Mining Inc. (TSX-V:DMI) announces that, further to its news release of July 16, 2007, the Company has now completed a nonbrokered private placement resulting in the issuance of a total of 1,000,000 units at a price of $0.50 per unit, for total gross proceeds of $500,000.00. Each unit consists of one common share of the Company and one common share purchase warrant. Each warrant will entitle the holder thereof to purchase one additional common share at a price of $0.75 for a period of two years from the closing date.

All securities issued pursuant to the Private Placement agreements will be subject to a hold period of four month plus one day from the date of closing.

The gross proceeds of the financing will be used for general corporate purposes, as a reserve for asset acquisition investigation, and to fund business development costs associated with other potential opportunities.

Diamcor Mining is a junior resource company with established operations and production history in South Africa. The Company is determined to use this established operating history and industry knowledge to increase its current production of diamonds through the development and or, acquisition of additional quality properties in the region.

On behalf of the Board of Directors

Mr. Dean H. Taylor
President & Chief Operating Officer
Diamcor Mining Inc.

Phone: (250) 864-3326

The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this release.

Statements about the Company’s future expectations and all other statements in this press release other than historical facts are “forward looking statements”. The Company intends that such forward-looking statements be subject to the safe harbours created thereby. Since these statements involve risks and uncertainties and are subject to change at any time, the Company’s actual results may differ materially from the expected results.