FRANC-OR RESOURCES CORPORATION
TSX : FOR

FRANC-OR RESOURCES CORPORATION

October 15, 2007 17:44 ET

Franc-Or Closes $1,025,000 Non-Brokered Financing

MONTREAL, CANADA--(Marketwire - Oct. 15, 2007) - Franc-Or Resources Corporation (TSX:FOR) is pleased to announce completion of a non-brokered private placement financing of $1,025,000 comprising the sale of 5,125,000 Units, sold at $0.20 per Unit. Each Unit consists of one common share and one-half of one common share purchase warrant. Each whole warrant entitles the holder to acquire one common share for $0.30 until April 15, 2009, and for $0.40 from April 16, 2009 to October 15, 2010. All securities issued in conjunction with the offering will be subject to a hold period of four months plus one day. Cash finder's fees totaling $72,000 were paid in conjunction with this financing. A total of 150,000 Units were sold to an officer.

Proceeds of the financing will be used for exploration activities on the Company's 100% owned Mario Property located in central Peru. The Company received an Exploration C-Permit from the Ministry of Energy and Mines in late September and is planning to conduct a 3,000 to 4,000-meter diamond drilling campaign to commence in mid-November. This work will be done concurrently with approximately one kilometer of trenching.

The overall work program is designed to test massive-sulfide Zn-Pb-Ag-Au vein and replacement mineralization that had initially been indicated to be present from the results of an IP / Resistivity survey that was conducted over Cerro Punapuna in late 2006. In addition, newly discovered polymetallic vein and manto mineralization that was reported to be present both northeast and northwest of Cerro Punapuna in an August 30, 2007 Press Release, will also be tested by drilling and trenching. Details of this upcoming work program will be released at a later time, but the Company's management is encouraged by the values of rock-chip samples reported to date from highly oxidized original sulfidic material.

CAUTIONARY STATEMENT

No stock exchange, securities commission or other regulatory authority has approved or disapproved the information contained herein. This News Release includes certain "forward-looking statements". All statements other than statements of historical fact, included in this release, including, without limitation, statements regarding future plans and objectives of Franc-Or, are forward-looking statements that involve various risks and uncertainties. There can be no assurance that such statements will prove to be accurate and actual results and future events could differ materially from those anticipated in such statements. Important factors that could cause actual results to differ materially from Franc-Or's expectations are the risks detailed herein and from time to time in the filings made by Franc-Or with securities regulators.

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