Namibian Minerals Corporation (Namco) has released interim results from sampling in two of its Namibian concessions. The program is currently focused on upgrading the extension of known resource areas. As well as proving the continuation of diamond concentration south of feature LBG019 in Mining Licence 51, initial results are demonstrating significant quantities of gem-quality diamonds located in feature BBY005, Bakers Bay, Mining Licence 36A.
Overview
Full-scale sampling operations with the Wirth drilling system onboard MV Zacharias commenced in September, 2001. As at Nov. 21, 2001, a total of 189 samples (378 holes) have been completed in features 018 and 019 of Mining Licence 51 and features 005 and 006 of Bakers Bay. Diamonds were recovered from 145 samples (290 holes), reflecting a success ratio of 77 per cent. To date, 1,007 stones have been recovered, for a total of 362 carats.
The program has focused on conducting close-spaced, evaluation sampling, consisting of 50-by-100-metre or 100-by-100-metre grids along the anticipated extension of known mineralization in existing resource areas. The 85-ton drill is designed to operate in water depths to 250 metres and to penetrate sediments up to eight metres thick. At each sample site two holes are drilled into the sediments to obtain a sample of five square miles. Processing of sediment material is fully automated with a minimum screening size of 1.5 millimetres and diamonds are recovered under strict security on board MV Zacharias.
The performance of the drill has been satisfactory, proving its ability to penetrate through a variety of sediment types onto the bedrock as well as providing accurate information about the soil and bedrock conditions to support mine planning.
The company’s exploration director Mike Woodborne is responsible for the direction of the sampling program and the reporting of results.
SAMPLING RESULTS SUMMARY
Samples
No. of mineral- Success
Feature samples ized ratio
——- ——- ——– ——-
Mining
Licence
51
LBG019 63 46 73%
LBG018 40 28 70%
Mining
Licence
36A
BBY005 81 68 84%
BBY006 5 3 60%
——- ——- ——– ——-
Total 189 145 77%
Average
stone
Total Total size
Feature stones carats (carats)
——- ——- ——– ——–
Mining
Licence
51
LBG019 258 82.7 0.32
LBG018 131 43.9 0.33
Mining
Licence
36A
BBY005 600 224.5 0.37
BBY006 18 11.0 0.61
——- ——- ——– ——-
Total 1007 362.1 0.36
Sampled
Area
(sq. m.)
Feature (*)
——- ——-
Mining
Licence
51
LBG019 180,000
LBG018 210,000
Mining
Licence
36A
BBY005 210,000
BBY006 10,000
——- ——-
Total 610,000
(*) Sampled area reflects the perimeter of the total area encompassed by sampling.
Mining Licence 36A results
Mining Licence 36A, referred to as Bakers Bay, is located approximately 110 kilometres south of Luderitz, Namibia. Sampling has concentrated on testing a broad sediment-filled basin approximately four kilometres long and 300 to 600 metres wide, where more than 60,000 carats have been recovered from previous limited mining activities by Namco and Ocean Diamond Mining Ltd. using airlift operations. Three initial target features have been identified in the basin (BBY004, BBY005 and BBY006) and evaluation sampling to date has concentrated on the southwestern margin in feature BBY005 and its southern extension into feature BBY006. Of the 86 evaluation samples completed to date, 71 contained diamonds, for an 82-per-cent success rate. In BBY005, 16 individual sample recovered grades were in excess of 1.0 carat per square mile. Based on previous experience, grades recovered during mining have exceeded sampled grades in well-mineralized features and therefore these results are highly encouraging.
A continuous zone of diamond mineralization over an 800-by-400-metre zone has been identified with variable grades in sediments of up to seven metres thick. The average sediment thickness is approximately four metres. The average diamond size recovered is higher than current production from Mining Licence 51, and these larger stones should fetch higher values in the market. Sampling is continuing and more detailed results will be provided at the end of the quarter, but the company believes that Bakers Bay is potentially a major new mining area.
Mining Licence 51 results
Sampling in Mining Licence 51 has focused on confirming grades in the probable reserve areas in the ancient paleo-channel feature LBG019 where more than 400,000 carats have been recovered, and further southward into the adjacent feature LBG018.
Results have confirmed that the mineralization extends approximately 1.2 km south from the previously mined area of LBG019 and into the LBG018. Of the 103 evaluation samples taken, 74 samples contained diamonds, which represents a success rate of 72 per cent. A total of 13 samples were recovered with individual sample recovered grades in excess of 0.5 carat per square mile, indicating a well mineralized area is located in thicker sediments in the central part of the channel is approximately 200 metres wide and extends about 600 metres south of the previously mined area. Sampling shows that in feature LBG018 mineralized gravels are resting on a sandstone and clay bedrock and in certain parts of the channel sediments are thicker than eight metres, which affect assessment of sampling results as well as mining in these areas. The sampling program in LBG018 has been deferred to further assess the Bakers Bay deposit.
Conclusions
The company is highly encouraged by the performance and early results of sampling with the Wirth drill. In particular, initial sampling results from two feature areas in Bakers Bay are excellent, demonstrating the potential to provide a new mining area for the company. The company has initially identified approximately 200 prospective target feature areas for sampling and building on its resource base over the next 12 months.
WARNING: The company relies upon litigation protection for “forward-looking” statements.
