Dianor Resources Inc.

Dianor Resources Inc.

August 28, 2007 14:43 ET

Dianor Resources Inc.: 6.653 Carats Including a 0.244 Carat Diamond Recovered From Audit of Tailings of Four "60 Tonne" Surface Samples at Leadbetter

VAL-D'OR, CANADA--(Marketwire - Aug. 28, 2007) - This news release is not for distribution to United States newswire services or for dissemination in the United States.

Dianor Resources Inc. (TSX VENTURE:DOR) is pleased to inform its shareholders that it has received macrodiamond results from an audit of the rejects/tails from the four "60 tonne" surface samples collected on the Leadbetter property (press release June 11th 2007). An additional 354 diamonds weighing 6.653 carats were recovered including a 0.244 carat diamond from sample pit #101. The processing of the rejects/tails was conducted at Kennecott Exploration Inc.'s mineral processing laboratory in Thunder Bay, Ontario. Mr. Michael Rylatt of Hatch (Montreal) supervised the reprocessing work on behalf of the Company.

The test pit samples were originally processed through Kennecott's dense media separation (DMS) facility in Thunder Bay in the spring of 2007 (press release April 18th 2007). The objective of reprocessing the approximate 126 tonnes of rejects/tails (-4mm+1mm) from this work was to test the recovery efficiency of the DMS plant and to recover any diamonds locked or enclosed in rock pieces in the rejects/tails.

The rejects/tails consisting of minus 4 to plus 1 millimetre sized material from the four test pits "60 tonne" samples, were passed through the DMS circuit to produce a heavy mineral concentrate, which was then subjected to magnetic separation. The non-magnetic fraction was picked for diamonds, in order to determine the number of free diamonds and calculate free diamond recovery rates. The rejects/tails less than 4 mm in particle size were then subjected to a recrush using a high pressure roll crusher. The crushed material was run through the DMS as a separate batch and treated as above in order to liberate any locked diamonds.

A total of 61 diamonds totalling 1.2585 carats including a 0.244 carat free diamond were recovered during the first pass run of the rejects/tails through the DMS plant. The results indicate that the overall first pass DMS diamond recovery efficiency, based on carats, was 98.5%. The diamond industry accepted 'design' figure is 97%.

The minus 4 millimetre DMS rejects/tails recrush treatment liberated an additional 5.413carats (298 diamonds) or 6.5% diamonds by weight, indicating that a "fine grind" will maximize liberation and recovery in future sample processing.

Summary of Audit Results
Diamond Sizes(i)
Pit Rejects Diamonds Locked Total greater
No (kg) (carats) Diamonds Diamonds than 0.85 1.18 1.7 2.36
101 34,537 1.985 80 98 62 35 0 1
136 27,647 1.787 88 98 58 38 2 0
184 28,711 0.769 33 44 28 15 1 0
401 35,427 2.113 97 114 78 33 3 0
6.653 298 354
(i) Diamond sizes: based on stones recovered on square millimetre sized

The rejects/tails audit data combined with the original test pit sample results (press release June 11th 2007) allows for an updated grade for diamonds greater than 0.85 mm to be estimated for the samples. The revised grades are tabulated below. For test pits 136 and 401 that sampled the main diamondiferous unit, S1C, the average grade of these samples is 40.22 carats per hundred tonnes. For the sample 101 of volcaniclastic conglomerate, S1CV, the grade is 26.88 carats per hundred tonnes. For sample 184, taken in the overlying conglomerate, S1CO, the grade is 11.69 carats per hundred tonnes.

Update of Diamond Contents for 2006 "60 tonne" Test Pit Samples
Original Revised
Sample Initial Audit Total Sample
Pit Original Grade Diamonds Diamonds Diamonds Grade
No Dry Wt (kg) (cpht)(i) (carats) (carats) (carats) (cpht)(i)
101 79,855 24.40 19.481 1.985 21.466 26.88
136 70,736 35.14 24.858 1.787 26.645 37.67
184 68,006 10.56 7.181 0.769 7.949 11.69
401 78,151 39.83 31.127 2.113 33.240 42.53
(i) cpht equals carats per hundred tonnes

It must be pointed out that the grade data is only applicable to the above samples. Extrapolation of the above grades as "average" grades for the rest of the diamondiferous conglomerate units is not possible due to insufficient sample density. Collection of additional large samples will be required in order to assess the lateral and down-dip grade variations in the conglomerate units.

Management is very encouraged by the results of the audit processing especially the first pass DMS diamond recovery efficiency of 98.5% compared to the industry's design figure of 97%. The results also clearly demonstrate that a small percentage of diamonds remain locked but can be liberated by an additional fine grind during primary processing. Enhanced diamond recoveries were achieved during the primary processing of the "60 tonne" samples and the re-processing of rejects/tails by the utilization of high pressure roll crushers and the attention given to process control by both the service provider - Kennecott Canada Exploration Inc. - and the project supervisor, Michael Rylatt of Hatch. Overall the results were successful in demonstrating that the diamonds are liberated and recovered from the Leadbetter Conglomerate by conventional technology and that larger stones occur in the Leadbetter Conglomerate (press release April 18th and April 23rd 2007).

Mr. Michael Rylatt of Hatch (Montreal) designed sample protocols for the sampling of the conglomerate material for gold content as it proceeded through the various stages of DMS processing for the recovery of diamonds. A series of samples from the four "60 tonne" samples have been sent to an assay laboratory for gold analyses. Results are awaited. The magnetic and non-magnetic concentrates are currently being picked for the presence of indicator minerals, sapphires and rubies.

Detailed geological mapping is ongoing on the northern and central sectors of the property to establish the geological boundaries of the various diamond bearing units and to assist in locating sites for bulk sampling. The bulk sampling programmes will be designed to accumulate parcels of diamonds from a variety of segments of the Leadbetter Conglomerate that can be used to appraise the feasibility of the project. Since May of this year various studies are being carried out on the property as part of the permit application for the bulk sampling programme. These studies are scheduled to be completed by early fall of 2007.

The Company decided not to option the GQ property from West Timmins Mining at the end of the due diligence period (press release March 1st 2007)

Mr. Carl Verley, P.Geo is the Qualified Person responsible for the technical contents of this press release.

Dianor is an innovative exploration company focused on advancing diamond exploration properties in Canada. The Leadbetter Diamond Project is its most advanced project and is located 12 kilometres north east of Wawa in Northern Ontario. It is a unique diamond deposit that in addition to diamonds it contains gold, sapphires and rubies (press release January 18th 2007). It is also the oldest in the world being dated at 2.697 billion years old (press release April 4th 2007).

This news release does not constitute an offer to sell or a solicitation of an offer to buy any of the securities in the United States. The securities have not been and will not be registered under the United States Securities Act of 1933, as amended (the "U.S. Securities Act"), or any state securities laws and may not be offered or sold within the United States or to United States Persons unless registered under the U.S. Securities Act and applicable state securities laws or an exemption from such registration is available.

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

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