| Wed 11 Jun 2008, 14:30 | | BCD - BRC Diamondcore updates exploration at Silverstreams Project |
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BCD
BCD
BCD - BRC Diamondcore updates exploration at Silverstreams Project
BRC Diamondcore Limited
(Incorporated in Canada)
(Corporation number 627115-4)
Share code: BCD & ISIN Number: CA05565C1095
("BRC DiamondCore" or "the Company")
BRC DIAMONDCORE UPDATES EXPLORATION AT SILVERSTREAMS PROJECT
Toronto, Canada and Johannesburg, South Africa - June 11, 2008: BRC
DiamondCore Ltd. (the "Company") (TSX - BCD; JSE - BCD) is pleased to provide
the following update on bulk sampling and exploration drilling being
conducted by the Company on the Company`s Silverstreams Project in the
Northern Cape Province of South Africa. The Silverstreams Project, which is
the most advanced of the Company`s alluvial diamond projects, covers 3,589
hectares and is located on the northern bank of the Orange River some 14
kilometres from the town of Prieska.
Highlights
- A total of 1,465.25 carats ("ct") have been recovered from bulk samples
at an average recovered grade of 0.27ct per hundred tonnes.
- 713 vertical percussion boreholes (total length of 6,019 metres) have
been drilled over the property.
Bulk Sample Results
The table below summarizes the results from all bulk samples taken to date at
Silverstreams:
SAMPLE LOCALITY VOLUME STONES AVE. CARATS RECOVERED BOTTOM TOP
TREATED RECOVER STONE GRADE SCREEN SCREEN
(tonnes) ED SIZE (cpht) SIZE SIZE
(ct) (1) (mm) (mm)
NN1 NN1 12,616 7 0.80 5.62 0.04 1.2 50
Midlings
NN1 TOTAL/AVERAGE 12,616 7 0.80 5.62 0.04
PDJ1 PDJ1 17,629 21 1.02 21.42 0.12
Bottoms
PDJ1 17,629 21 1.02 21.42 0.12
TOTAL/AVERAGE
SS1 SS1 4,852 39 0.94 36.62 0.75
SS1 TOTAL/AVERAGE 4,852 39 0.94 36.62 0.75
SS2 SS2 48,341 123 1.43 175.82 0.36
SS2 TOTAL/AVERAGE 48,341 123 1.43 175.82 0.36
SS3 SS3 25,742 11 0.82 9.07 0.04
Midlings
SS3 40,003 9 3.92 35.24 0.09
Bottom
SS3 TOTAL/AVERAGE 65,745 20 2.22 44.31 0.07
SS4 SS4 18,557 12 1.00 11.98 0.06
Midlings
SS4 26,547 28 0.82 22.95 0.09
Bottom
SS4 TOTAL/AVERAGE 45,104 40 0.87 34.93 0.08
SS5 SS5 30,036 34 1.96 66.51 0.22
Midlings
SS5 9,073 24 1.88 45.02 0.50
Bottom
SS5 TOTAL/AVERAGE 39,109 58 1.92 111.53 0.29
SS6 SS6 12,600 27 1.93 52.04 0.41
Bottom
SS6 TOTAL/AVERAGE 12,600 27 1.93 52.04 0.41
SS7 SS7 26,342 29 1.79 51.81 0.20
Midlings
SS7 54,198 103 1.60 165.24 0.30
Bottom
SS7 TOTAL/AVERAGE 80,540 132 1.64 217.05 0.27
SS8 SS8 21,208 30 1 41 0.19
Bottoms
SS8 TOTAL/AVERAGE 21,208 30 1.35 40.57 0.19
SS9 SS9 37,268 47 2 80 0.21
Bottom
SS9 TOTAL/AVERAGE 37,268 47 1.70 79.87 0.21
SS10 SS10 21,887 17 1 19 0.09
Bottoms
SS10 21,887 17 1.14 19.42 0.09
TOTAL/AVERAGE
SS11 SS11 10,530 20 2 49 0.47
Bottoms
SS11 10,530 20 2.46 49.00 0.47
TOTAL/AVERAGE
SS12 SS12 16,913 21 2 34 0.20
Bottoms
SS12 16,913 21 1.64 34.44 0.20
TOTAL/AVERAGE
SS13 SS13 19,220 21 2 37 0.19
Bottoms
SS13 19,220 21 1.75 36.71 0.19
TOTAL/AVERAGE
SS14 SS14 21,318 22 2 35 0.16
Bottoms
SS14 21,318 22 1.59 35.07 0.16
TOTAL/AVERAGE
SS15 SS15 5,491 3 1 2 0.03
Bottoms
SS15 5,491 3 0.52 1.56 0.03
TOTAL/AVERAGE
SS16 SS16 17,330 18 2 34 0.20
Bottoms
SS16 17,330 18 1.89 34.06 0.20
TOTAL/AVERAGE
SS17 SS17 19,878 45 2 109 0.55
Bottoms
SS17 19,878 45 2.43 109.42 0.55
TOTAL/AVERAGE
SS18 SS18 33,620 108 3 326 0.97
Bottoms
SS18 33,620 108 3.02 325.79 0.97
TOTAL/AVERAGE
GRAND 551,199 819 1.71 1,465.25 0.27
TOTAL/AVERAGE
(1) "cpht" refers to carat per hundred tonnes.
The bulk samples taken to date indicate a range of recovered (fully diluted,
delivered to Pan Plant) sampling grades between 0.03cpht to 0.97cpht (with a
weighted average of 0.27cpht). In general, the Basal Gravels exhibit higher
recovered grades (averaging
0.3cpht) than the Suspended Gravels (averaging
0.13cpht). These recovered sampling grades, while lower, are in range of
the average 0.5cpht grade estimated for the Inferred Mineral Resource at
Silverstreams reported by independent consultants, Venmyn Rand (Pty) Limited,
in the technical report 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" (the "NI 43-101 Technical Report"). It should be noted, however,
that the grade reported in the NI 43-101 Technical Report was based on
records of recovered grades from similar gravels on neighboring properties
and was classified as Inferred due to the low level of confidence in this
estimate. The bulk sampling grades set out in the table above therefore
represent the first recovered grades from Silverstreams and additional bulk
sampling, accompanied by a re-assessment of the volume of gravels on the
property, will be required in order to provide a better estimate of the grade
of the entire property.
These results do, however, confirm the diamondiferous nature of the gravels,
as well as the localization of some very high grade areas (
1.0cpht).
Among the 1,465.25cts recovered to date, the bulk samples have produced a
number of exceptional stones, including a 77.34ct diamond which was sold for
US$904,724 and a 13.65ct diamond which was sold for US$518,180 (see the
Company`s press release dated June 3, 2008, a copy of which can be obtained
from SEDAR at www.sedar.com).
Diamond Values from Samples
An initial independent valuation of the diamonds recovered to date at
Silverstreams by independent diamond consultant, Mr. R. Ferraris, indicated a
conceptual weighted average diamond value of US$2,089/ct (this assessment
only related to diamonds recovered to date from bulk samples at Silverstreams
and not to the entire Silverstreams property).
With respect to the diamond values realized through the three tender sales
carried out to date by the Company, the average value for the diamonds
recovered at Silverstreams has been significantly increased by a 77.34ct
diamond which sold for US$11,698/ct and a 13.65ct diamond which sold for
US$37,962/ct. These have resulted in a realized weighted average diamond
value for all diamonds recovered to date at Silverstreams of US$2,511.19/ct
(see the Company`s press release dated June 3, 2008 for additional
information regarding the Company`s most recent tender of diamonds).
Drilling
The Silverstreams Project has seen numerous phases of percussion drilling and
gravel orebody modelling, each representing a refinement of the previous
phase.
Vertical percussion drilling over the property is ongoing in order to refine
the geological model of the gravels over the property. Initial drilling was
conducted on a 100 metre x 250 metre grid. Current in-fill drilling is being
done at a 100 metre x 50 metre grid in general, and in some areas this grid
is being in-filled at 25 metre x 25 metre drill spacing in order to develop a
detailed understanding of the gravel horizon development on Silverstreams.
The table below summarises the amount of percussion drilling conducted on the
property to date:
NO. HOLES METERS AREA
DRILLED COVERED
713 6,019m 8km2
All holes are logged by a qualified geologist according to, among other
things, gravel type, gravel quality, depth to bedrock, basal gravel
thickness, total gravel thickness and overburden thickness. A detailed
description of the sampling method and approach, sample preparation, analysis
and security has been detailed in the NI 43-101 Technical Report.
Bulk Sampling/Trial Mining
The Company began bulk sampling of the Silverstreams primary gravels in July
2007 in order to better understand the gravel morphology, grade, degree of
calcretisation, stone value and sample metallurgical mass balance. This bulk
sampling is ongoing with the locality of the bulk samples being guided by the
results from the vertical percussion drilling. A detailed description of the
sampling method and approach, sample preparation, analysis and security has
been detailed in the NI 43-101 Technical Report.
Sample Description
Diamondiferous gravels at Silverstreams occur between 20 metres and 60 metres
above the present day Orange River. These gravels are deposited on a planar
surface comprising shale and tillite of the Dwyka Group, which consists
almost entirely of tillite, with a variable clast assemblage of meta-basalt,
quartzite and dolomite with minor vein quartz, jasper, iron stone and agate.
The tillite bedrock is relatively soft and homogenous and is not amenable to
pot-hole formation, and hence fairly even.
The alluvial diamonds are found in the following gravel deposits at
Silverstreams:
- the Rooikoppie Gravels; and
- the Primary Gravels which include:
- the Suspended Gravels (Midlings); and
- the Basal Gravels (Bottom).
The Rooikoppie varies in thickness from a few centimetres up to 2 metres and
has an average thickness of 0.25 metres. The deposit consists of poorly
rounded pebbles of BIF, chert, jasper, quartzite and lava, and typically
rests on sand, gravel or in places a hard, semi-continuous layer of calcrete
and silcrete.
The Primary Gravels are entirely covered by calcrete, aeolian sand and in
places Rooikoppie Gravel, and overlie relatively soft tillite bedrock. These
gravels are composed mainly of rounded clasts of Ventersdorp lava as well as
BIF, agate, jasper, vein quartz and quartzite. The gravel is partially
cemented in places, with impersistent sand lenses present. The Primary
Gravels have been deposited on a planed, slightly undulating bedrock which
slopes gently southwards towards the Orange River. These Primary Gravels
form the focus of the Company`s current bulk sampling/trial mining
activities.
The overburden, which occurs between the Rooikoppie and Primary Gravels,
consists of a hard layer of calcrete and silcrete capping, which averages
between 0.5 metre and 1.0 metre in thickness. This calcrete capping grades
into a soft calcrete and sand sequence between 1 metre and 3 metres thick.
To date, no Rooikoppie Gravels have been bulk sampled and are currently
treated as overburden where present. In general, the Suspended Gravels have
been processed separately from the Basal Gravels but some bulk samples have
combined these units. Since the current bulk sampling/trial mining positions
are being determined from the drilling results, the recovered grades tend to
be more representative of the Primary Gravels in the most prospective areas
at Silverstreams.
Sample Treatment
All bulk samples have been batch treated at the Company`s Silverstreams bulk
sampling 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
20t of barren
material; and
- conducting weekly tracer tests on the pans, DMS and X-Ray to ensure
plant efficiency.
The gravel undergoes primary concentration at the Silverstreams bulk sampling
plant, which comprises:
- a primary 670tph trommel screen;
- magnetic seperators to remove banded ironstone;
- four 16ft rotary pan plants;
- a 50tph Bateman DMS unit;
- four Flowsort X-Ray machines;
- three Bateman GB1000 automatic grease belts; and
- `hands-off` recovery of diamonds in a glove box.
The +2mm -32mm material is treated through the rotary pan plant and DMS
section. The +32mm -50mm material is delivered separately to an attritioner
followed by the grease belts.
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.
The Company`s geologist on site was responsible for supervising the sampling
operations.
Additional information with respect to the Company`s Silverstreams Project is
contained in the NI 43-101 Technical Report. 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.
11 June 2008
Johannesburg
Sponsor
River Group
Date: 11/06/2008 14:30:01 Produced by the JSE SENS Department.
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