14th Jun 2005 13:51
SouthernEra Diamonds Inc. - DO-27 Joint Venture in Canada's NWT ReturnsEncouraging Advanced Exploration Results - 2005 Bulk Sample of DO-27 grades an average of 0.98 carats/tonne - Large high grade central core identified - Core drilling extends depth of kimberlite to over 465 meters - Resource delineation core drilling program to commence in July Shares Issued and Outstanding: 102,066,601 TSX: SDM AIM: SRE TORONTO and LONDON, June 14 /CNW/ - SouthernEra Diamonds Inc. (TSX: SDM;AIM: SRE) has received an encouraging report from the operating partner of theDO-27 Joint Venture, Peregrine Diamonds Ltd., following yesterday's release ofexploration results from the 2005 mini-bulk sample of the DO-27 kimberlitepipe, which is located 23 kilometers southeast of the Diavik(TM) Diamond Minein Canada's NWT. The central portion of the DO-27 main vent tested during the 2005 programreturned an average grade of 0.98 carats per tonne. The DO-27 pipe is made upof a main vent and a subsidiary northeastern vent and comprises the southernlobe of the Tli Kwi Cho kimberlite complex. The main vent of DO-27 has asurface expression of over 400 meters by 200 meters (greater than 6 hectares)and, combined with the northeastern subsidiary vent, has a surface area ofapproximately 9 hectares. A total of 1,806 diamonds were recovered using a 1mm screen. A total of21 stones larger than one-half carat were recovered with the largest stonescoming from the central volcanic kimberlite facies. The four largest stoneswere a 2.93 carat light brown flattened octahedron; a 2.66 carat off-whitetetrahexahedron; a 1.85 carat clean white octahedron; and a 1.62 carat cleanwhite complex tetrahexahedron. The diamonds have been sent to a number ofinternationally recognized diamond valuators for complete valuations. The Joint Venture completed six large diameter (13 3/4 inch) reversecirculation (RC) drill holes in the DO-27 main vent during early 2005. Thisproduced 151.27 dry tonnes of kimberlite which was subsequently processed atthe Ekati(TM) Diamond Mine. The tonnages were calculated using measured andestimated hole dimensions and measured specific gravities. Three N.Q. coredrill holes were also completed to give geological control on the RC drillingand to provide additional information about the pipe at depth. Two different primary pyroclastic kimberlite phases were intersected inthe portion of the pipe tested by the RC drilling. Holes RC 1, 2, 4, 5, and 6sampled a layered sequence of primary pyroclastic tuffs in the central portionof the pipe that were rich in chrome diopside and pyrope and contained lesseramounts of fresh olivine. RC 3, the southernmost hole of the program,intersected a completely different volcaniclastic kimberlite facies with highconcentrations of fresh olivine. The individual grades and specific diamondinformation for the six RC holes are summarized below: DO-27 - Pyrope, Chrome Diopside-Rich Facies ------------------------------------------------------------------------- Total Sample Total Carats No. Stones Largest Drill Hole Depth Weight Carat per greater than Stones (Meters) (Dry Tonnes) Weight Tonne Half Carat (Carats) ------------------------------------------------------------------------- RC 1 209 45.74 47.32 1.03 4 2.93, 1.62 ------------------------------------------------------------------------- RC 2 124 28.96 27.66 0.96 5 1.85, 0.96, 0.94 ------------------------------------------------------------------------- RC 4 93.5 12.02 11.99 1.00 1 2.66 ------------------------------------------------------------------------- RC 5 83 12.20 11.66 0.96 3 0.76 ------------------------------------------------------------------------- RC 6 77 9.54 7.4 0.78 1 0.5 ------------------------------------------------------------------------- Total/Average 108.47 106.03 0.98 14 ------------------------------------------------------------------------- DO-27 - Fresh Olivine-Rich Facies ------------------------------------------------------------------------- Total Sample Total Carats No. Stones Largest Drill Hole Depth Weight Carat per greater than Stones (Meters) (Dry Tonnes) Weight Tonne Half Carat (Carats) ------------------------------------------------------------------------- RC 3 190.5 42.80 29.93 0.70 7 0.98 ------------------------------------------------------------------------- The Joint Venture also completed a program of three N.Q. diamond drillholes at DO-27 designed to test the depth of the kimberlite and to obtaingeological information on lithological variations detected in the RC drilling.A total of 750 meters was drilled during April and May with the deepest holedrilled to 465 meters of depth and ending in kimberlite and a second holedrilled to 230 meters, which also ended in kimberlite. This program has significantly extended the known depth of the DO-27kimberlite, which was previously drilled to a maximum depth of 215 meters. TheN.Q. core will be sent for caustic fusion micro-diamond analysis which willprovide further information regarding the deeper levels in the pipe. The DO-27 kimberlite was discovered in 1993. Initial exploration returnedpromising microdiamond results through core drilling encouraging the jointventure partners at the time to move directly to an underground bulk samplingprogram in 1994. Technical problems encountered resulted in the sample beingcollected in the northeastern subsidiary vent and not from the central portionof the main vent as originally intended. Grades of 0.36 carats per tonne wereobtained from the subsidiary vent and work on the project was suspended. Themain vent of DO-27 was never tested during the 1994 program. The latestresults contrast with the previous results from the peripheral kimberlitefacies and confirm that the DO-27 kimberlite contains a large and high gradecentral portion to the pipe. The DO-27 JV intends pursuing an extended program of diamond drilling atboth DO-27 and the nearby DO-18 pipe (the northern lobe of the Tli Kwi Chocomplex) starting July, 2005. DO-18, located 700 meters to the north of DO-27,occurs on land under a thin veneer of till cover. Microdiamond grades as highas 1.41 carats per tonne over 242 meters were reported at DO-18 from severaldiamond drill holes completed in 1993. The DO-27 Joint Venture comprises Peregrine Diamonds (54.475%), ArchonMinerals Ltd. (13.275%), Aber Diamond Corp. (7.35%), DHK Diamonds Inc. (20%)and SouthernEra Diamonds Inc. (4.9%). Peregrine Diamonds will be responsiblefor the sole funding of the next $500,000 of core drilling at DO-27 in orderto complete its earn-in obligations. Dr. Jennifer Pell, P.Geo., of Peregrine Diamonds is the Qualified Personwho oversaw the entire program at DO-27. Mr. Howard Coopersmith of Coopersmith& Associates, Colorado, provided audits on the sample protocols andprocedures. AMEC Americas Limited in Vancouver audited the drilling andsampling protocols as well as provided quality assurance/quality controlaudits on the actual drilling, sampling, and evaluating procedures. SouthernEra Diamonds is one of Canada's largest fully integrated diamondcompanies with extensive diamond exploration in five countries includingCanada, Australia, Gabon, the DRC and South Africa. This represents the fourthmost active global diamond exploration program after the majors DeBeers, BHPBand Rio Tinto. The Company also operates the Klipspringer Diamond Mine inSouth Africa and maintains an 18 percent free-carried interest in the CamafucaDiamond Project in Angola. For further information: SouthernEra Diamonds Inc.: Mr. Patrick Evans,President and CEO, or Mr. Howard Bird, Vice President Exploration, Telephone:(416) 359-9282, Fax: (416) 359-9141, E-mail: [email protected],www.southernera.com (SDM. SRE) ENDSOUTHERNERA DIAMONDS INCRelated Shares:
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