October 21, 2008
DIAGNOS Options Its K6 Diamond Project in Otish Mountains to Diamond Frank
DIAGNOS inc. ("DIAGNOS" or the "Corporation") (TSX VENTURE: ADK), a leader in the use of artificial intelligence ("AI") and advanced knowledge extraction techniques, announced today the signing of an agreement with Diamond Frank Inc, a Canadian mining exploration company, optioning 100% interest in its K6 project situated in the Otish Mountains.
Diamond Frank will pay exploration fees to DIAGNOS, a cash amount of $105,000 CDN for services and the right to use targets that are produced by CARDS (Computer Aided Resources Detection System) and $5,000 for the sale of the K6 project, for a total amount of $110,000.
Furthermore, in the case of an economic diamantiferous discovery on the property, Diamond Frank will issue 250,000 common shares and pay a 2% Gross Overriding Royalty (GORR) to DIAGNOS. Diamond Frank will have the option to acquire 1% of this GORR for $1,000,000 any time within five years of the economic discovery.
DIAGNOS completed an analysis of the area with its CARDS technology. The exploration targets were generated from the compilation and levelling of a number of geophysical surveys available. This sector is favourable for discovery of kimberlites since indicator minerals in tills were documented in the assessment work filed by SOQUEM in neighbouring areas.
DIAGNOS can count on a multidisciplinary team that includes professionals in geophysics, geology, Artificial Intelligence, mathematics, as well as remote sensing and image interpretation. The Corporation's objective is to develop a royalty stream by significantly enhancing and participating in the exploration success rate of mining and oil and gas companies. For further information, please visit our Website at www.diagnos.com.
The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this release.
Contacts: DIAGNOS Inc. Andre Larente, Chairman and CEO 450-678-8882, ext. 224 [email protected] DIAGNOS Inc. Michel Fontaine Vice-president - Business Development 450-678-8882, ext. 222 [email protected]
SOURCE: Diagnos Inc.