Great Western closes private placement

Great Western Diamonds Corp. has closed the previously announced private placement of flow-through shares. Thomas Weisel Partners Canada Inc. acted as sole agent for the placement which consisted of 8,000,000 flow-through shares priced at C$0.25 for aggregate gross proceeds of C$2,000,000.

In connection with the closing today, the Agent received a cash commission equal to 7.5% of the gross proceeds of the placement and has been granted 600,000 broker warrants, each such broker warrant entitling the Agent to acquire one common share of the Company at a price of C$0.25 until February 27, 2009.

The flow-through shares issued in the placement will be subject to a four-month “hold period” under applicable Canadian securities legislation expiring on June 28, 2008. The Company plans to use the net gross proceeds from the sale of the flow-though shares for general exploration expenditures, that will constitute Canadian Exploration Expenses (as defined in the Income Tax Act), such expenses will be renounced for the 2008 taxation year.

Completion of the financing remains subject to the final approval of the TSX Venture Exchange.

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