Mr. Graham Warren reports

PANGOLIN CLOSES $404,375 FINANCING FOR DIAMOND PROJECTS IN BOTSWANA

Pangolin Diamonds Corp. has closed a non-brokered private placement financing for aggregate gross proceeds of $404,375. The offering consisted of 8,087,500 units of the company at a price of five cents per unit. Each unit consists of one common share in the capital of the company and one common share purchase warrant. Each warrant entitles the holder thereof to acquire one common share at a price of six cents for a period of 60 months from the date hereof. Insiders of Pangolin participated in the total amount of $97,500.

The company retained the services of Aberdeen Gould Capital Markets Ltd. to lead and arrange the offering. The company will pay Aberdeen a cash payment equal to 7 per cent of the total gross proceeds raised from the offering in connection with subscriptions arranged by Aberdeen, plus compensation warrants equal to 7 per cent of the total number of units sold by Aberdeen pursuant to the offering. Each compensation warrant entitles Aberdeen to purchase one unit of the company and is exercisable for a period of two years from the date hereof on the same terms and pricing of the units.

Funds will be applied to drilling, geological-geophysical and sampling programs at the company's 100-per-cent-owned diamond projects in Botswana, as well as for general working capital.

The offering is subject to the final acceptance of the TSX Venture Exchange, and all securities issued pursuant to the offering are subject to a four-month-and-one-day hold period.