Diamond Fields Obtains Shareholder Approval For Subscription Receipts Financing

Dec 23, 2003 | 2003, Corporate News

Vancouver, December 23, 2003 — Further to our News Release of December 1, 2003, Diamond Fields International Ltd. (TSX:DFI) is pleased to announce that on December 17, 2003, shareholder approval was obtained to the private placement of 6,900,000 Subscription Receipts that were issued on November 28, 2003.

Further to receipt of such shareholder approval and upon the release from escrow of an aggregate of Cdn$4,140,000 in subscription proceeds, Diamond Fields issued an aggregate of 6,900,000 units, each unit consisting of one common share in the capital of DFI (a “Share”) and one nontransferable share purchase warrant (a “Warrant”), each Warrant entitling the holder to purchase one additional Share, exercisable until November 28, 2006 at a price of $1.00. As previously disclosed, should the weighted average closing price of DFI’s Shares equal or exceed $1.30 per Share for a period of 20 consecutive days at any time between 6 months and 35 months after the closing and DFI gives the Warrant holders notice thereof, the Warrants must be exercised within 30 days or they will terminate. Insider participants included C.E.O. Gregg Sedun and C.F.O. Marcel de Groot, who purchased 400,000 and 50,000 Subscription Receipts, respectively.

In addition, Diamond Fields paid finders’ fees equal to a cash commission of 6% of the gross proceeds of the subscriptions found by the finders and has issued Compensation Receipts to purchase up to a total of 485,430 Shares at an exercise price of $0.74 per Share until November 28, 2005.

About Diamond Fields International Ltd.
Diamond Fields International Ltd. is an internationally active exploration and mining company pursuing diamond and nickel opportunities worldwide. The Company’s corporate strategy is to maximize cash flow from its Namibian marine diamond concessions and systematically explore and develop its international diamond and nickel projects. In addition, the Company continues to explore opportunities to acquire new economic mineral projects worldwide.

“Marcel de Groot”
Marcel de Groot, Chief Financial Officer and Secretary

For further information contact Investor Relations at (1.604.682.2113).
Website: https://dfrgold.com

Forward-Looking Statements:
Statements in this release that are forward-looking statements are subject to various risks and uncertainties concerning the specific factors identified in the Diamond Fields’ periodic filings with Canadian Securities Regulators. Such forward-looking information represents management’s best judgment based on information currently available. No forward-looking statement can be guaranteed and actual future results may vary materially. Diamond Fields does not assume the obligation to update any forward-looking statement.

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