NEWS RELEASE 11 July 2007 ASX: DIO DIORO TO ASSIGN NICKEL RIGHTS...

NEWS RELEASE



11 July 2007 ASX: DIO



DIORO TO ASSIGN NICKEL RIGHTS TO SUBSIDIARY

AHEAD OF LIKELY SPIN-OFF



Australian resources company Dioro Exploration NL (“Dioro”) will assign the nickel
rights over its recently acquired Penfolds tenements to a wholly owned subsidiary of
the Company, ahead of a likely spin-off later in the year.



The consideration for the assignment of the nickel rights by Dioro will be the issue by
the subsidiary of 25,000,000 shares at an issue price of 20 cents each.



It is Dioro’s intention to distribute the 25,000,000 shares by way of an in specie
distribution to all its shareholders on a pro-rata basis. This distribution will require
shareholder approval, as it constitutes a return of capital.



The subsidiary Company will then issue 25,000,000 shares at 20 cents each to raise
$5,000,000 in capital. A priority allocation will be given to Dioro shareholders to
apply for shares on a pro rata basis, for a minimum of 20,000,000 shares.



It is the intention to list the subsidiary on the ASX.



The Penfold Nickel Project is considered highly prospective due to;



• its location covering three nickel belts, 12 kilometres from Kambalda, a world
class nickel province in Western Australia.
• its dormant exploration status with no nickel exploration undertaken on the
project in the last 15 years due to the projects ownership by large gold-
focussed explorers.
• its historical sulphide nickel intercepts including 3m @ 3.1% Ni at the Abattoir
prospect (Marston 1984).
• the lack of modern geophysics with no documented evidence of any previous
airborne, surface or down hole geophysical techniques. These techniques
have led to the discovery of numerous nickel deposits in recent times.




The board of Dioro has decided to assign this nickel project to a subsidiary so as to
allow for the creation of a focused approach to the exploration and development of
this project.



This will also allow Dioro to focus on its gold assets including its 49% interest in the
Frogs Leg gold project and its 100 % interest in the Penfold gold project.




A prospectus, notice of meeting, and further details (including the record date to
determine entitlements) will be forwarded to shareholders once available.





Yours faithfully

DIORO EXPLORATION NL











RHOD GRIVAS

Director