2008


Diamcor Mining Announces Private Placement



September 26, 2008

KELOWNA, September 26, 2008 – Diamcor Mining Inc. (TSX-V:DMI) (the “Company”), announces that it intends to complete a non-brokered private placement financing of up to $1,000,000.00.  The private placement will consist of the sale of up to 2,500,000 units at a price of $0.40 per unit.  Each unit will consist of one common share and one common share purchase warrant.  Each warrant will entitle the holder thereof to acquire one additional common share at an exercise price of $0.60 for a period of two years from the closing date. 

Proceeds from the financing will be used for general corporate purposes and in part, to fund some of the costs associated with the purchase of the Krone-Endora alluvial diamond deposit, should the Company conclude a definitive purchase agreement with De Beers Consolidated Mines Limited (“De Beers”).  As previously disclosed in the Company’s news release of May 26, 2008, the Company, through its 70%-owned South African subsidiary, DMI Minerals South Africa (Proprietary) Limited, received confirmation from De Beers that its proposal to acquire the Krone-Endora alluvial deposit (the “Deposit”) was approved as the successful proposal.  The Deposit consists of prospecting rights over the farms Krone 104 and Endora 66, both located adjacent to the De Beers Venetia Diamond Mine in the Limpopo Province of South Africa.

The transaction is subject to regulatory, and/or approval of the TSX Venture Exchange along with completion of all definitive documentation and filings as required.  Securities issued pursuant to the above will be subject to a hold period of four months plus one day following the closing.

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 & CEO
Diamcor Mining Inc.
DTaylor@Diamcormining.com

Phone: (250) 864-3326
Website: 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.  This news release is not for dissemination in the United States, to “U.S. Persons” or to United States of America news services.

WE SEEK SAFE HARBOUR

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