Afri-Can estimates 154,000 carats in 1.72 square km

AFRI-CAN MARINE MINERALS ESTABLISHES DIAMOND RESOURCE AND POTENTIAL ON THE BLOCK J MARINE CONCESSION IN NAMIBIA

Afri-Can Marine Minerals Corp. has completed a report compliant with the National Instrument 43-101 covering the 2010 sampling program on Afri-Can’s 70-per-cent-owned Block J marine-diamond concession in Namibia. The report includes a resources estimate completed by the independent consultants Zstar Mineral Resource Consultants (Pty.) Ltd. Zstar has estimated an inferred resource of 154,000 carats in a 1.72-square-kilometre portion of the 12.4 square kilometres covered by sampling. The Zstar report is entitled “EPL 2499 Mineral Resource Estimate” and is attached to Afri-Can’s National Instrument 43-101 report entitled “Phase 3 Sampling in EPL 2499 (“Block J”) Offshore, Republic of Namibia and Establishment of Inferred Diamond Resources,” which is available at the company’s website and on SEDAR.

Highlights are as follows:

The objective of the sampling program was to establish inferred resources over a part of the previous areas of potential mineralization and to revise the potential mineralization of the remainder. A total of 314 samples were taken, yielding 398 diamonds weighing 48.3 carats. All the diamonds were individually weighed and ranged in size from 0.01 carat to 0.64 carat. No independent valuation of the diamonds has been done. The Zstar report analyses sampling results from features 6, 8 and 17. In a portion of Feature 8, the sampling density of 100 metres by 200 metres was sufficient for the estimation of inferred resources into 100-metre-by-100-metre blocks.

The total estimated inferred diamond resource in Feature 8 is 154,000 carats in 1.72 million square metres (m2), at an average grade of 0.09 carat/m2. Within the blocked-out area, there is a 78,000-carat higher-grade zone measuring about 400,000 m2, with an average block grade of 0.20 carat/m2. Geophysical survey data indicate that areas similar to the high-grade strip in Feature 8 extend to the northern end of Block J for over 20 kilometres. Furthermore, the high-grade strip seems to connect with Feature 6.

The highest block-grade estimate is 0.25 carat/m2, which, when compared with individual samples that intersected grades up to 0.75 carat/m2, illustrates the smoothing effect of making estimates in blocks, whereby higher grade areas are diluted by lower-grade areas within that block.

Application of the sampling results to the revised geological models outside the area of inferred resource indicates a potential for a further 1.2 million carats at a grade of 0.03 carats/m2 to 1.5 million carats at a grade of 0.04 carat/m2 in Block J.

Conclusions include the following:

The present sampling program used a fully efficient vessel and equipment, and therefore the current estimates should be regarded as far more reliable than previous estimates. It should be noted that the higher-grade portions of the inferred resource exceed the grades cited previously. Therefore, there is a strong likelihood that higher-grade areas will be discovered within the overall envelope suggested for further development work, especially in the thicker terrestrial-colluvial-sediment areas along the edge of the Basement outcrop and possibly in Feature 6.

In general, it is likely that smaller areas with much higher grades than those quoted above will be discovered by further work, and those areas will increase the inferred resource and/or increase the estimated mineralization potential.

Recommendations include the following:

Results of the 2010 sampling program justify stage-four sampling and trial mining work in Block J to develop the inferred resources into indicated resources and possibly to probable reserves.

The sample spacing within and in the vicinity of the inferred resources should be reduced to samples 50 metres apart on lines 100 metres apart to upgrade the resources to indicated status. The area to westward of the inferred resources should be resampled using the extended sampling tool with a penetration capability of 12 metres to determine the mineralization at the bottom of the TC basin and make additions to the inferred resources.

The area to the northwest of the inferred resources should be sampled at a spacing of 100 metres on lines 200 metres apart to determine the boundaries of the higher-grade areas. Where justified by the results, the spacing should be reduced to 100 metres on lines 100 metres apart to generate indicated resources.

Richard Foster, author of the report, stated: “Block J still offers good development potential and certainly warrants further exploration and development. The newly discovered high-grade strip in Feature 8 is of crucial importance and, in my view, has the potential to become a mining project. The revised geological model enables us to understand better where to find the higher-grade areas as we go forward. An important point about the sampling program is that each sample of five square metres represented an area of 80,000 square metres, which is a sampling coverage of only 0.00625 per cent. Even so, high-grade zones have been found, which improves our understanding of the potential of Block J. Furthermore, it is important to understand that the grades and resource size are directly related to the average diamond size. Trial mining in the higher-grade area can be expected to recover some larger diamonds, which might increase the average diamond size and therefore increase the grades and resource.”

Mr. Foster is responsible for the technical part of this press release and is the designated qualified person under the terms of National Instrument 43-101.

Sean Duggan is responsible for the Zstar resource-estimation report and is the designated qualified person under the terms of National Instrument 43-101 for that report.