Diamond Fields International Ltd. has entered into an option agreement with Liberian-based Ducor Minerals Inc. under which it may earn an interest in Ducor’s rights under two mineral exploration agreements between Ducor and the Republic of Liberia. The Gbapolu and Grand Gedeh properties cover a total area of 1,813.72 square kilometres and are prospective for diamonds and gold, respectively.
The Gbapolu property is approximately 1,095 square kilometres in size and is located within the Gbapolu, Lofa and Grand Cape counties of western Liberia. It is a diamond prospect located on Archean craton immediately adjacent to an area of known kimberlites as documented by Mano River Resources. Extensive alluvial artisanal diamond mining by locals in the area suggests the presence of diamondiferous source rock.
The Grand Gedeh property is approximately 718.72 square kilometres and is located within Grand Gedeh county in eastern Liberia. This property borders the Cestos shear trend, the southern extension of the Syama gold belt, which hosts several gold mines in the Ivory Coast and Mali.
Diamond Fields may earn 70 per cent of Ducor’s interest by issuing to Ducor one million shares, in five annual instalments of 200,000 shares each, and by spending $2-million (U.S.) on exploration over the next four years. Ducor has the right to request $30,000 in lieu of one-half of each annual stock issue, and Diamond Fields has the right to pay $60,000 in lieu of one-half of each annual stock issue. Diamond Fields may withdraw from the project at any time.
These new projects will be rolled into Diamond Field’s continuing exploration effort in Liberia. A field crew has recently completed the first pass of heavy mineral sampling on Diamond Field’s Nimba county concession in north-central Liberia on the border with Guinea, and the crew is currently collecting stream-sediment and soil samples on DFI’s gold property located near the Cestos shear zone in south-central Liberia.
Gregg J. Sedun, president and chief executive officer of Diamond Fields, stated: “This prospective project expands our opportunities for exploration in Liberia. Our agreement with Ducor increases Diamond Fields’ total exploration area in Liberia to over 5,000 square kilometres including the Nimba county and Cestos belt properties the company has already begun exploring. Although all these prospects are in the early stages, I feel we are well positioned in a country with great mineralogical potential.”
WARNING: The company relies upon litigation protection for “forward-looking” statements.
