DIATREME RESOURCES LIMITED — Capital/Financing Update 2013

Mar 14, 2013

==> picture [72 x 74] intentionally omitted <==

DIATREME RESOURCES LIMITED

ABN: 33 061 267 061

Postal Address: P.O Box 10288 Brisbane Adelaide Street QLD 4000 Registered Office: Level 2 87 Wickham Terrace Spring Hill QLD 4000 PH: +61 (0)7 3832 5666 FX: +61 (0)7 3832 5300 www.diatreme.com.au manager@diatreme.com.au

==> picture [39 x 40] intentionally omitted <==

ASX : DRX

Companies Announcement Office Australian Securities Exchange Level 4, 20 Bridge Street Sydney NSW 2000

15 March 2013

CAPITAL RAISING

Diatreme Resources Limited ( the Company ) is pleased to announce that it has received signed agreements to subscribe for placements totalling 34,000,000 ordinary fully paid shares (to rank equally in all respects with existing shares) at A$0.025 (two and a half cents) per share to raise gross proceeds of A$850,000. This represents approximately 7.2% of the Company’s currently issued share capital.

The placement will be made to sophisticated investors Mr Zhensheng Zhuang, Mr Chenfei Zhuang and Mr Qi Lin (existing shareholders), and represents a premium to the Company’s current 30 day VWAP and existing share price.

Under the agreements the Applicants are required to:

• 1 Lodge a cash deposit of A$85,000 by 31 March 2013.

• 2 Lodge final settlement funds of A$765,000 by 30 April 2013.

• 3 If the Applicants funds under item 2 are not remitted by the due date, then the Placement Shares will not be issued unless a further A$170,000 is remitted by 6 May 2013 and the placement price increases to A$0.03 per share.

• 4 If the Applicants fail to perform under item 3, then the Company reserves the right to either allot 3,400,000 Placement Shares to the Applicants at an issue price of A$0.025 or to refund the A$85,000 deposit without interest.

Funds raised from the placement will be applied to the Company’s project activities and for working capital.

Application for quotation of the Placement Shares will be made to ASX Limited once the placement is finalized.

For and on behalf of the Board

==> picture [75 x 30] intentionally omitted <==

Leni Stanley Company Secretary