New Dimension Resources Ltd.

New Dimension Resources Ltd.

January 28, 2011 11:19 ET

New Dimension Closes Second Tranche of Flow-Through Financing

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Jan. 28, 2011) - New Dimension Resources Ltd. (TSX VENTURE:NDR) (the "Company" or "New Dimension") announces it has closed the second tranche of its non-brokered private placement of 833,666 flow-through Units (the "Units") at a price of $0.24 per Flow-Through Unit for proceeds of $200,080. Each Unit consists of one flow-through common share of New Dimension plus one-half of one non-flow-through transferable common share purchase warrant with each whole purchase warrant exercisable into a common share at a price of $0.40 for a period of 12 months from closing. Each warrant will be subjected to an accelerated exercise provision if the share price of New Dimension trades at or above $0.75 for 10 or more consecutive trading days.

New Dimension has paid a finders fee in respect of purchasers of securities introduced to the Company by the Finder. The finder's fee was paid through the issuance of common shares equal in value to 7% of the Units sold under the offering by the Finder.

The Units and the shares issued to the Finders are subject to a four-month hold period which expires on May 25, 2011.

The Company raised a total of $801,320 through the issuance of 3,338,833 flow-through Units in both the first and second tranches. The Company will use the proceeds from the financing to incur Canadian Exploration Expenses ("CEE") within the meaning of the Income Tax Act (Canada) ("ITA") on its Canadian mineral properties, and particularly on the recently optioned Gild Property. The Company will use its best efforts to ensure that such CEE qualifies as "flow-through mining expenditures" for the purpose of the ITA.



Fred G. Hewett, P.Eng., President & CEO

This news release may contain forward looking statements which are not historical facts, such as ore reserve estimates, anticipated production or results, sales, revenues, costs, or discussions of goals and exploration results, and involves a number of risks and uncertainties that could cause actual results to differ materially from those projected. These risks and uncertainties include, but are not limited to, metal price volatility, volatility of metals production, project development, ore reserve estimates, future anticipated reserves and cost engineering estimate risks, geological factors and exploration results. See New Dimension's filings for a more detailed discussion of factors that may impact expected results.

This news release does not constitute an offer to sell or solicitation of an offer to sell any 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 U.S. Persons unless registered under the U.S. Securities Act and applicable state securities laws or an exemption from such registration is available.

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 news release.

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