| Wed 7 Jul 2010, 8:05 | | DMC - DiamondCorp Plc - Botswana and South Africa Activities Update |
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DMC
DMC
DMC - DiamondCorp Plc - Botswana and South Africa Activities Update
DiamondCorp plc
JSE share code: DMC
AIM share code: DCP
ISIN: GB00B183ZC46
(Incorporated in England and Wales)
(Registration number 05400982)
(SA company registration number 2007/031444/10)
(`DiamondCorp` or `the Company`)
BOTSWANA AND SOUTH AFRICA ACTIVITIES UPDATE
HIGHLIGHTS
- Reprocessing of geophysical data from PL71 in Botswana has resulted
in the size of the geophysical target at J-12 increasing from 15
hectares (ha) to 45ha, and better defined a 4ha target at J-05;
- A six-hole drilling programme targeting diamondiferous kimberlites
at J-05 and J-12 will commence in August.
- Exploration Licence PL71 covering the Jwaneng South kimberlite
exploration project has been renewed by the Botswana Department of
Minerals, Energy and Water Resources for a further two years;
- Decline development activities at the Lace mine in South Africa are
progressing well, with approximately 200 metres of decline being
developed since activities recommenced on April 20.
DiamondCorp, the Southern African diamond mining and exploration company,
is pleased to announce an update on exploration and mine development
activities in Botswana and South Africa.
JWANENG SOUTH PROJECT, BOTSWANA
Reprocessing of ground geophysical data from Prospecting Licence PL71
covering the Jwaneng South project area by Earthmaps Consulting of
Namibia has resulted in an increase in the size of the geophysical target
at J-12 from 15ha to 45ha, and better definition of a 4ha target at J-05.
(One hectare = 10,000 sq metres or 2.47 acres)
A six-hole drilling programme targeting diamondiferous kimberlites at J-
05 and J-12 will commence in August. The results from this programme,
when combined with the results from the drilling of the 10ha kimberlite J-
01 last November, will determine the priorities for large diameter
drilling and bulk testing in PL71.
DiamondCorp managing director and CEO, said: `We are excited by the
significant increase in the size potential of the geophysical target at J-
12, and we look forward to reporting drill results from both J-05 and J-
12 over the coming months. The 10ha diamondiferous kimberlite we have
intersected at J-01, and the targets at J-05 and J-12, each have the size
potential to host a large open pit diamond mine if grade and carat value
prove economic.`
The size of the J-12 target is comparable to De Beers Jwaneng pipe, 9km
to the northwest of J-12. Jwaneng was a 54ha pipe at the surface when
mining commenced, produces between 12.5 million and 15 million carats per
annum, and is the richest diamond mine in the world measured by value.
Prospecting Licence PL71 covering the Jwaneng South project has been
renewed by the Botswana Department of Minerals, Energy and Water
Resources for a further two year period, following acceptance of
DiamondCorp`s proposed work programme and a 50% statutory reduction in
licence area from 61 sq km to approximately 30 sq km.
DiamondCorp is earning a 77.5 per cent interest in PL71 from
Geoperspectives (Pty) Limited by completing a definitive feasibility
study on at least one kimberlite by June 2014.
After assessing existing exploration data, DiamondCorp has indicated to
Geoperspectives that it is relinquishing its rights to earn an interest
in prospecting licences PL59 and PL60 in order to concentrate on PL71.
Once initial core drilling and microdiamond analysis is completed,
DiamondCorp will commence planning of large diameter drilling at PL71 in
order to determine an indicative grade and diamond value for the
kimberlites within the prospect area.
LACE MINE, SOUTH AFRICA
Decline development activities are progressing at the Lace mine, near
Kroonstad in the Free State province of South Africa.
Since restarting activities on 20 April, approximately 200m of decline
development have been completed. The decline size has been increased to
4.5m x 4.5m, and development activities are now progressing on a three-
shift 24 hour basis. Development to date has been completed within
budget.
The rate of advance will increase during July as a third LHD is re-
commissioned and second 25-tonne low profile dump truck is brought into
service. In total, 800m of decline development needs to be completed to
access kimberlite at the -240m level, and is scheduled to be completed by
the end of 2010. Advance will slow as the decline reaches the -165m level
and intersects an existing haulage between the pipe and the vertical
shaft on that level. Once the holing into the existing workings and
dewatering on that level has been completed, the decline will continue
its advance down to the -240m level.
The Competent Person responsible for the technical information with
respect to Botswana contained in this announcement is Mr Paul Zweistra
(Pr. Sci. Nat., Registration number 400016/93) a full-time employee of
VP3 Geoservices (Pty) Limited. VP3 and Mr Zweistra have given their
permission for their work to be quoted in this announcement.
London
7 July 2010
AIM Nomad: Cenkos Securities plc
AIM Brokers: Cenkos Securities plc, Fairfax I.S. plc
JSE Sponsor: PSG Capital (Pty) Limited
DiamondCorp plc, Paul Loudon +44 20 3151 0970
Liz Bowman/Ivonne Cantu, Cenkos Securities plc +44 20 7397 8900
Ewan Leggat, Fairfax I.S. plc +44 207 598 5368
John-Paul Dicks, PSG Capital (Pty) Limited +27 21 887 9602
Charmane Russell/Marion Brower, Russell & Associates +27 11 880 3924
Date: 07/07/2010 08:05:02 Produced by the JSE SENS Department.
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