Dianor Enters Into $10 Million Credit Agreement With Syndicate of Lenders

Dianor Resources Inc. (TSXV: DOR) announced that it has entered into a Credit Agreement dated August 28, 2010 with Third Eye Capital Corporation, as administrative agent, and a syndicate of lenders, pursuant to which the lenders have committed to provide up to $10 million in a term-credit facility to Dianor, subject to various terms and conditions.

The press release is quoted as saying:

The credit facility is a senior, secured, term-credit facility in the amount of up to $10 million, made available to Dianor in minimum advances of $1 million each, from time to time, until August 31, 2011. The Credit Agreement provides that the proceeds from the credit facility can be used by Dianor for, among other things: (i) the purchase of equipment for Dianor’s Leadbetter diamond project; (ii) the completion of a bulk sampling project at Dianor’s Leadbetter diamond property; (iii) the repayment in full of a secured loan made to Dianor by one of its directors; and (iv) expenses associated with the credit facility.

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