DNI completes interim financing to resume drilling on its Alberta polymetallic black shale projects, Athabasca region, Alberta

    




 DNI METALS INC.  

 TORONTO, May 23, 2012 /CNW/ - DNI Metals Inc.   is pleased to announce that it has completed a non-brokered private  placement of flow-through shares, with arm's length parties, for  aggregate gross proceeds of $450,000. The securities issued under the  private placements are subject to a four-month hold period expiring on  September 23, 2012. 

 The financing consisted of the placement of 1,000,000 flow-through  shares at a price of 45 cents per share. A commission was paid in  connection with the placement, consisting of an aggregate of $31,500  and issuance of 70,000 warrants, each warrant entitling the holder to  purchase an additional common share of the company at a price of 45  cents for a period of twelve months from closing. Shares underlying the  broker warrants are subject to a four-month hold period expiring on  September 23, 2012. 

 Proceeds of the above financing, together with funds in treasury, will  be applied toward resuming drilling at DNI's polymetallic shale  properties, Alberta, to complete two drill programs during early fall.  The planned drilling is intended to commence drilling over the Buckton  South mineralized zone with the objective of delineating an initial  resource, and will also include coring of strategic holes to expand and  upgrade the Buckton inferred resource (announced October 24, 2011).  Additional details of the drilling programs will be announced at a  later date. 

 The above financing is part of a larger private placement financing, on  terms which contemplate issuance of up to 3,000,000 flow-through shares  at a price of 45 cents per share, for gross proceeds of up to  $1,350,000. 

 Neither the 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 release. 

 DNI - TSX Venture DG7 - Frankfurt Issued: 69,246,689 post financing 

DNI Metals Inc.


CONTACT:  DNI Metals Inc. - Shahe Sabag, President & CEO (416-595-1195) orDenisClement, Chairman (416-364-1909) email [e-mail]. Alsovisit www.dnimetals.com. 


    

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