Diamond Frank Exploration Inc.

Diamond Frank Exploration Inc.

September 21, 2010 17:38 ET

Diamond Frank Exploration Inc. Announces $3 Million Private Placement


Diamond Frank Exploration Inc. (TSX VENTURE:DOD) (the "Company") is pleased to announce that it has entered into an agreement with BayFront Capital Partners Ltd. (the "Agent") to act as agent for and on behalf of the Company, on a "best efforts" agency basis, without underwriter liability, in connection with a private placement of units (the "Units") at a price of $0.25 per Unit for aggregate gross proceeds of up to $3 million CDN. Each Unit will consist of one common share and one common share purchase warrant ("Warrant"). Each Warrant will entitle the holder to purchase one additional common share for eighteen (18) months from the date of closing at a price of $0.32 per share.

The Company plans to use the net proceeds from the offering for general corporate purposes.

Upon the closing of the offering, the Agent shall receive a commission paid in cash equal to 10% of the proceeds raised from the private placement. In addition, the Agent shall receive broker units exercisable for a period of eighteen (18) months from the date of closing to acquire such number of units at a price of $0.32 as is equal to 10% of the aggregate number of Units issued pursuant to the private placement.

The offering is scheduled to close on or about October 5th, 2010 and is subject to certain conditions including, but not limited to, the receipt of all necessary approvals including the approval of the TSX Venture Exchange and the securities regulatory authorities. All securities issued pursuant to this private placement are subject to a four month and one day hold period from closing.

This press release is not an offer or a solicitation of an offer of securities for sale in the United States. The securities have not been and will not be registered under the U.S. Securities Act of 1933, as amended, and may not be offered or sold in the United States absent registration or an applicable exemption from registration.

The common shares of Diamond Frank Exploration are listed on the TSX Venture Exchange under the symbol "DOD".

Forward-Looking Statements

This news release contains statements that constitute "forward-looking information" or "forward-looking statements" within the meaning of applicable securities legislation. This forward-looking information is subject to numerous risks and uncertainties, certain of which are beyond the control of Typhoon. Actual results or achievements may differ materially from those expressed in, or implied by, this forward-looking information. No assurance can be given that any events anticipated by the forward-looking information will transpire or occur, or if any of them do so, what benefits that Typhoon will derive therefrom. Forward-looking information is based on the estimates and opinions of Typhoon's management at the time the information is released and Typhoon does not undertake any obligation to update publicly or to revise any of the forward-looking statements, whether as a result of new information, future events or otherwise, except as may be required by applicable securities laws. Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release

A map is available at the following address: http://media3.marketwire.com/docs/Exploration%20Diamond.pdf

Contact Information

  • Diamond Frank Exploration
    David Mc Donald
    President and CEO
    450-622-4066/Toll free: 1-877-622-4004
    450-622-4337 (FAX)