| Thu 29 May 2008, 10:00 | | BCD - BRC Diamondcore Ltd - BRC Diamondcore updates bulk sampling on PK5 |
|
BCD
BCD
BCD - BRC Diamondcore Ltd - BRC Diamondcore updates bulk sampling on PK5
kimberlite
BRC DIAMONDCORE LTD.
(Incorporated in Canada)
(Corporation number 627115-4)
Share code: BCD & ISIN Number: CA05565C1095
("BRC DiamondCore" or "the Company")
BRC DIAMONDCORE UPDATES BULK SAMPLING ON PK5 KIMBERLITE
AT PAARDEBURG EAST PROJECT
Independent valuation indicates a conceptual average diamond value of US$325/ct.
Toronto, Canada and Johannesburg, South Africa - May 29, 2008: BRC DiamondCore
Ltd. (the "Company") (TSX - BCD; JSE - BCD) is pleased to provide the following
update on bulk sampling being conducted by the Company on the PK5 kimberlite
target ("PK5") at the Company`s Paardeburg East Project in the Northern Cape
Province of South Africa.
Highlights
* A total of 2,163.08 carats ("ct") have been recovered with a sample grade
of 7.64ct per hundred tonnes.
* An initial independent valuation of the diamonds from samples 1 to 5 has
indicated a conceptual average diamond value of US$325/ct.
* The four largest stones recovered in the combined sampling operations to
date include 18.43ct, 11.02ct, 9.97ct and 8.28ct diamonds, all of gem
quality.
Initial Bulk Sample Results
While bulk sampling continues to be undertaken, the initial bulk sampling
program on PK5 comprised the following bulk samples:
SAMPLE LOCALITY VOLUME
No. 1 North-east extremity of the strike, 2,121
representing a kimberlite blow with a tonnes
surface expression of
50 metres in
diameter.
No. 2 South-western extremity of the strike, 2,062
representing a kimberlite blow with a tonnes
surface expression of
70 metres in
diameter.
No. 3 5,420
tonnes
No. 3 (Waste Sample No. 3 material with high waste 922
Material) content. tonnes
No. 4 Directly below Sample No. 3. 9,907
tonnes
No. 5 Directly below Sample No. 4. 9,608
tonnes
On a macro-scale (bench scale), bulk Samples No. 1 to No. 5 (excluding Sample
No. 3 Waste Material) can be considered as being representative of the
kimberlite body to 12 metres in depth (see also "Additional Information" below)
and the results can be considered indicative of the potential the deposit has on
a commercial scale. Sample No. 3 (Waste Material) has been contaminated and
diluted by a large proportion of waste rock and is therefore not considered as
representative of the kimberlite body.
The table below summarizes the results from the processing of bulk Samples No. 1
to No. 5. Sample No. 3 (Waste Material) is not considered representative of the
kimberlite body and is reported separately:
SAMPLE VOLUME STONES AVE. STONE CARATS SAMPLE BOTTOM
TREATED RECOVERED SIZE GRADE SCREEN
SIZE
No. 1 2,121 238 0.52ct/stn 123.15 1.25mm
tonnes 5.81cpht
(1)
No. 2 2,062 349 0.37ct/stn 128.63 6.24cpht
tonnes
No. 3 5,420 1,194 0.38ct/stn 417.73 7.71cpht
tonnes
No. 4 9,907 1,924 0.38ct/stn 727.02 7.99cpht
tonnes
No. 5 9,608 2,197 0.35ct/stn 766.55 7.98cpht
tonnes
TOTAL/AVE. 28,309 5,902 0.38ct/stn 2,163.08 7.64cpht
tonnes
No. 3 922 129 0.20ct/stn 25.85 2.80cpht
(Waste tonnes
Material)
(1) "cpht" refers to carat per hundred tonnes.
The sample grades set out in the above table are the grades for the respective
bulk samples only. Additional bulk sampling, accompanied by an assessment of
the volume of the entire kimberlite body (from planned delineation drilling),
will be required in order to provide an estimate of the grade of the entire
kimberlite body and to provide sufficient geological confidence to define a
mineral resource. The above results do, however, confirm the diamondiferous
nature of the kimberlite body and has, on this basis, justified further
exploration work in order to establish the sub-surface geometry of the
kimberlite body.
The four largest stones recovered in the combined sampling operations to date
include 18.43 carat ("ct"), 11.02ct, 9.97ct and 8.28ct diamonds, all of gem
quality.
Assessment of Diamond Values from Samples 1 to 3
An initial independent valuation of the diamonds from Samples No. 1 to No. 5 by
independent diamond consultant, Mr. R. Ferraris, has indicated a conceptual
weighted average diamond value of US$325/ct (this assessment only relates to
diamonds from Samples No. 1 to No. 5 and not to the entire PK5 deposit). This
assessment is in range of the realized average diamond price received for a
parcel of 975 stones (337.76cts) from PK5 (including the 9.97ct stone for which
a price of US$5,531/ct was realized) which were tendered by the Company,
resulting in an average diamond price achieved of US$334.42/ct (see the
Company`s press release dated April 24, 2008 for additional information
regarding this tender of diamonds). This parcel comprised all stones recovered
from Samples No. 1 and No. 2 and only 388 diamonds (86.10ct) from Sample No. 3.
The remaining Sample No. 3 diamonds, together with the diamonds recovered from
Samples No. 4 and No. 5, will be sold at subsequent tenders.
Additional Information
PK5 has been identified by the Company from old workings and tunneling
(conducted during the 1900`s) and has been interpreted to represent a series of
blows (over a strike length of
250 metres) on a north-east trending kimberlite
dyke. Excavations by the Company to date, to a depth of approximately 12
metres, have revealed at least four blow features. These blow features have
been bulk sampled, as described above, in order to provide an initial,
conceptual indication of the potential economic feasibility of exploiting this
kimberlite target in the future. While the results received from the initial
bulk sampling program appear positive, there is currently insufficient
geological information on the target to define a mineral resource and additional
exploration work (including geophysics and delineation drilling) will be
required to provide a more accurate estimate of the volume of the target.
The kimberlite excavated from PK5, while appearing highly weathered at surface,
can be positively identified as being hypabyssal in nature. Two kimberlite
types have been identified:
* a highly weathered light green hypabyssal kimberlite is the dominant facies
type identified; and
* a slightly more fresh appearing hypabyssal kimberlite in the form of
autoliths (kimberlite inclusions within the dominant kimberlite).
Both kimberlite types have been sampled and processed together. However, since
the autoliths comprise only a very small proportion of the kimberlitic material,
it is not possible to sample this facies type separately and since these
autoliths do not represent a discrete geological zone, can be considered as a
component of the dominant facies, and the bulk samples taken can be considered
representative of the kimberlite body to a depth of 12 metres.
The kimberlite comprises various crustal xenoliths (dominated by shale) and
mantle xenoliths (dominated by lherzolite), and these have also been
incorporated with the bulk sample.
Sample Treatment
All bulk samples have been batch treated at the Company`s Paardeburg East
Processing Plant. While this plant has not been accredited in terms of ISO/IEC
17025, the plant is subject to internal protocols and QA/QC procedures which
have been audited and approved by independent consultants, Venmyn Rand (Pty)
Limited ("Venmyn"), in terms of the plant`s adherence to industry standards.
These include:
* surveying of the sample area before sampling by a qualified, independent
surveyor;
* surveying of the sample area after sampling by a qualified, independent
surveyor;
* delivering the sample directly into the plant, or stockpiling the sample
material in a sterile, demarcated location;
* purging the plant between each sample by processing
20 tonnes of barren
material; and
* conducting regular tracer tests to ensure plant efficiency.
The Paardeburg East Processing Plant comprises:
* primary crushing (-75mm) using a Telsmith Jaw Crusher;
scrubbing;
* secondary crushing (-25mm) using a 36" Gyrasphere Osborn Cone Crusher;
recrushing using a tertiary Oremaster Cone Crusher;
* concentration by a 50tph Bateman DMS module;
* screening (+1.25);
* course and fine diamond recovery by two Flowsort Machines;
* Bateman Grease Plant (currently by-passed); and
* final hand sorting of Flowsort concentrate in gloveboxes.
No tailings audits have been conducted.
Strict security controls are in place and the storage and movement of the
diamonds are recorded within a diamond register which documents the "chain of
custody" and is used to reconcile both the number of diamonds and carats of
each parcel produced.
Qualified Person
Neil Mc Kenna, an employee of Venmyn, is the "qualified person" (as such term
is defined in National Instrument 43-101) who prepared and is responsible for
the technical information in this press release. Mr. Mc Kenna (Pr.Sci. Nat.)
recently conducted a site inspection, and has verified the data disclosed in
this press release. The verification of the sampling data has been done
retrospectively and has been limited to a review and audit of the sampling
data, databases and sampling records provided to Mr. Mc Kenna by the Company.
Nick Norman (Pr.Sci.Nat), the Company`s geologist on site, was responsible
for supervising the sampling operations.
Additional information with respect to the Company`s Paardeburg East Project
is contained in the technical report prepared by Venmyn dated July 31, 2007
and entitled "National Instrument 43-101 Technical Report Prepared on the
Mineral Assets of Diamond Core Resources Limited in the Northern Cape and
Free State Provinces, South Africa." A copy of this report can be obtained
from SEDAR at www.sedar.com.
BRC DiamondCore Ltd. is an African-focused diamond explorer active in South
Africa and the Democratic Republic of the Congo (the "DRC"). Led by a
management team with extensive experience in diamond exploration and mine
development, the Company has a broad spectrum of projects ranging from
advanced stage trial mining operations through grass-roots exploration. The
Company`s projects comprise both prospective alluvial gravels and primary
kimberlite targets. The Company works in a systematic and responsible manner
to discover, assess and develop diamond resources for the benefit of its
shareholders and local stakeholders.
For further information, please visit our website, www.brc-diamondcore.com,
or contact:
In Toronto: Martin D. Jones, Vice President, Corporate Development, at
(416) 366-2221 or 1-800-714-7938.
In Johannesburg: James Duncan, Russell & Associates, at 27 11 880-3924.
Johannesburg
29 May 2008
Sponsor
River Group
Date: 29/05/2008 10:00:02 Produced by the JSE SENS Department.
The SENS service is an information dissemination service administered by the
JSE Limited (`JSE`). The JSE does not, whether expressly, tacitly or
implicitly, represent, warrant or in any way guarantee the truth, accuracy or
completeness of the information published on SENS. The JSE, their officers,
employees and agents accept no liability for (or in respect of) any direct,
indirect, incidental or consequential loss or damage of any kind or nature,
howsoever arising, from the use of SENS or the use of, or reliance on,
information disseminated through SENS.
