CORAZON MINING LIMITED — Capital/Financing Update 2005

Sep 27, 2005

Level 2, 22 Oxford Close WEST LEEDERVILLE WA 6872 T: +61 8 9381 1436 F: +61 8 9381 1068 PO Box 1681 WEST PERTH WA 6872 www.graynlemetals.com.au

ASX RELEASE

28 September 2005

GRAYNIC ACQUIRES DIAMOND PROJECT IN THE KIMBERLEY

Gravnic Metals Limited (ASX:GYN) has applied for Exploration Licence 04/1551 which hosts the entire Walgidee Lamproite Intrusion in the West Kimberley region of Western Australia. The Walgidee Lamproite is a known diamond-bearing intrusion from which not only numerous micro diamonds but, significantly, 62 macro-diamonds have been recovered. The more recent 11 macro-diamonds recovered by Diamond Rose NL comprised 6 white (colourless) stones, 4 brown and 1 yellow, ranging in size from 0.8mm to 1.5mm. The results of previous exploration are summarised in the following table:

Company	Year	IndicatorMMacro		IMicro Minerals diiamonds diamonds	Total diamonds
Stockdale Prospecting 1970
Seltrust Mining Corp	1978-80			Not tested
CRA Exploration	1988-1989l		17	520	537
Great Central Mines	1993-95	Yes	33	368	401
Diamond Rose NL	1997-2005	Yes	11	3	14
Totals			62	891	953

The Walgidee Lamproite is reputedly the largest lamproite in the world, with a diameter of about 2.5km and an area of about 490ha. Various campaigns of bulk testing of pit samples as well as testing of drill samples have been carried out over the years. It is the Company's opinion that the amount of testing to date may have been inadequate for such a large intrusion and that there is very good potential for a commercial diamond deposit to be discovered.

The project area is located approximately 80 kilometers south of the Ellendale Diamond mine operated by Kimberley Diamond Company NL (ASX:KIM) and currently undergoing an expansion which will establish the operation as a "Top 5 Western World diamond producer" (Kimberley ASX Announcement dated 12th August 2005). In the same area Blina Diamonds NL (ASX:BDI) has recently completed a bulk sampling program at its alluvial project at Ellendale 9 North and recovered 3766 diamonds weighing 1442 carats from a 3773 tonne gravel sample (Blina ASX announcement dated 27th September 2005).

At the Walgidee Project, Diamond Rose NL has reported on a "zone which may contain a very high potential for an economic discovery" (Diamond Rose NL Quarterly Report, March 2002) which has vet to be followed up. In addition "some concentrates from bulk samples remain to be tested for macro-diamonds". Although these concentrates may no longer be available, the comment points to the incompleteness of the previous evaluation programmes.

Graynic remains fully committed to the search for base metals, nickel and platinum group metals at its Quartz Circle, Northampton and Jutson Rocks projects. However it is Company policy to consider other projects and other commodities which could generate shareholder wealth as and when new opportunities arise. The Walgidee project represents a unique opportunity for the Company to explore an advanced diamond prospect with a view to discovering a significant economic resource.

Ron Thom Managing Director

The information in this report that relates to Exploration Results, Mineral Resources or Ore Reserves was compiled by R Thom, who is a Member of the AusIMM. R Thom has sufficient experience which is relevant to the style of mineralization and type of deposit under consideration and to the activity which he is undertaking to qualify as a Competent Person as defined in the 2004 Edition of the 'Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves'. R Thom consents to the inclusion in the report of the matters based on his information in the form and context in which it appears.