Diamond Fields International has
completed phase 1 of the planned three phase advanced sampling program on its
Luderitz sea diamond concessions in Namibia. The work included the sampling
of 68 sites on 25 metre centres and test mining of approximately 3,000 square
metres. The average sample grade was 1.28 carats per square metre. Excluding
18 barren and low-grade samples, the remaining 50 samples had an average grade
of 1.71 carats per square metre. The average stone size for the sampling program was 0.38
of a carat. A total of 4,484 carats was recovered from both the sampling and
test mining work. The gem quality diamonds will be valued by the Namibian
government this month for royalty purposes and then independently sold by DFI.
“We are encouraged by the results that we obtained. They further
support DFI’s belief that the resource will evolve into an economic mining
operation,” said Dan Johnson, president of DFI.
The phase 1 program included grid sampling and test mining an area in the
Marshall Fork feature, one of five previously identified and sampled features.
The newly sampled area represents 3 per cent of the Marshall Fork feature and a
smaller fraction of the nine square kilometres of features previously sampled
and determined to contain an indicated and inferred resource of 1.15 million
carats with a grade of 0.12 of a carat per square metre. Further sampling in known and new
feature areas on the 656 square kilometre area covered by the concessions is
planned in future phases of the program.
Alluvial sea diamond grades are reported in carats per square metre as
the diamonds are generally found within and below gravel sediment layers
overlying bedrock. The sediment layer averaged three metres thick in the area
most recently sampled and test mined. Due to technical, mechanical and
weather problems, DFI was unable to complete the initially planned test mining
area of 7,500 square metres before the vessel had to depart to meet other
commitments.
De Beers Marine, using the sampling and mining vessel MV Coral Sea,
carried out the work in November under contract to DFI. All samples were
collected, processed and sorted by De Beers Marine according to its standard
policies and security regimen. In addition to grade information, important
metallurgical, environmental, geotechnical and economic data were gathered
from the program. DFI is continuing negotiations with De Beers Marine
regarding contracting for further phases of the program. Subject to
development plan adjustments based on the phase 1 results, contractor vessel
availability, and a favourable decision to proceed, the work will be carried
out in 1999.
Phase 2 of the program will grid sample additional areas in known
features to provide data to upgrade the resource information for those areas.
Completion of the test mining program likely will be added to phase 2. Phase
3 will sample two high potential features with geophysical and area
indications of significant diamond deposits. These two new feature areas are
five times the combined areas of the resource feature areas already
identified. The Namibian government has approved the company’s environmental
management plan for the entire sampling program.
