Post by Franko10 ™ on Sept 16, 2004 7:56:16 GMT -5
David Cohen, President of Diagem and with a lifetime of diamond experience, provides the following discussion on diamonds recovered from the Company's properties in the Juina Diamond Province, Mato Grosso State Brazil:
During the Due Diligence process conducted by Emerging Africa Gold ("EAG") Inc, Dr. Mousseau Tremblay, President of EAG, now a director of Diagem, participated in a small one-off test on the alluvial gravels, designed solely to demonstrate the presence and nature of the diamonds in the area. We conducted this experiment last September, with the follow up cutting and polishing work completed early in March.
The test was performed on our 108 Property close to where the moveable plant has now been sited. The work was conducted by a small team of local artisan miners, using their rudimentary equipment, under the supervision of Diagem's Paulo Andreazza and Jose Aldo Ferraz. A small pit was excavated, a small quantity of gravel processed, and diamonds were extracted, either by way of panning or using an x-ray diamond sorting machine. The following describes the nature of the diamonds recovered and provides a practical demonstration of how value can be added to maximize the value of a diamond.
Total diamonds recovered, by these hand methods, was 96 stones, with a total carat weight of 62.72cts. The recovery by diamond type showed a low 10% recovery of industrial diamonds, a further 10% recovery of gem quality stones, with the balance of the stones, a surprising 80%, of near gem quality. Size distribution was also encouraging, with a single stone range of 6.88 carats, down to .05 carats at the small end. Colour distribution ranged from white through light to dark brown, with almost no yellow showing.
The stones produced had an average weight of 0.65 carats, and an average value of US$25.00 per carat. These results tend to confirm data previously obtained from local Brazilian sources, and from our own previous experience of alluvial production.
After evaluating these diamonds, we removed a 4.14 carat stone, and sent it for cutting and polishing. It returned a 1.08Ct. round brilliant cut solitaire of gem quality J/I, with pleasing proportions and good fire and brilliance. Because of the included nature of this diamond, we estimate its value at approximately US$ 1,800. Therefore by polishing this one stone, we increased the value of these recovered diamonds by over 100% or US$52 per rough carat.
In conclusion, this test parcel showed a good average size recovery and a good average colour/quality for the Juina district. With 57% of the stones recovered above 1.0 carat in weight, we expect that stones in excess of 10 carats will be recovered during an ongoing operation. Such stones, particularly ones of gem quality will make a proportionally higher contribution, resulting in an even higher average price per carat.
The size of the test was far from adequate for any kind of predictions, yet it provides an interesting insight into the type and nature of the diamonds that can be recovered. The larger volumes of materials to be processed by the Moveable plant will begin to add more valuable information to this picture.
For and on behalf of
DIAGEM International Resource Corp.
"David Cohen"
President
During the Due Diligence process conducted by Emerging Africa Gold ("EAG") Inc, Dr. Mousseau Tremblay, President of EAG, now a director of Diagem, participated in a small one-off test on the alluvial gravels, designed solely to demonstrate the presence and nature of the diamonds in the area. We conducted this experiment last September, with the follow up cutting and polishing work completed early in March.
The test was performed on our 108 Property close to where the moveable plant has now been sited. The work was conducted by a small team of local artisan miners, using their rudimentary equipment, under the supervision of Diagem's Paulo Andreazza and Jose Aldo Ferraz. A small pit was excavated, a small quantity of gravel processed, and diamonds were extracted, either by way of panning or using an x-ray diamond sorting machine. The following describes the nature of the diamonds recovered and provides a practical demonstration of how value can be added to maximize the value of a diamond.
Total diamonds recovered, by these hand methods, was 96 stones, with a total carat weight of 62.72cts. The recovery by diamond type showed a low 10% recovery of industrial diamonds, a further 10% recovery of gem quality stones, with the balance of the stones, a surprising 80%, of near gem quality. Size distribution was also encouraging, with a single stone range of 6.88 carats, down to .05 carats at the small end. Colour distribution ranged from white through light to dark brown, with almost no yellow showing.
The stones produced had an average weight of 0.65 carats, and an average value of US$25.00 per carat. These results tend to confirm data previously obtained from local Brazilian sources, and from our own previous experience of alluvial production.
After evaluating these diamonds, we removed a 4.14 carat stone, and sent it for cutting and polishing. It returned a 1.08Ct. round brilliant cut solitaire of gem quality J/I, with pleasing proportions and good fire and brilliance. Because of the included nature of this diamond, we estimate its value at approximately US$ 1,800. Therefore by polishing this one stone, we increased the value of these recovered diamonds by over 100% or US$52 per rough carat.
In conclusion, this test parcel showed a good average size recovery and a good average colour/quality for the Juina district. With 57% of the stones recovered above 1.0 carat in weight, we expect that stones in excess of 10 carats will be recovered during an ongoing operation. Such stones, particularly ones of gem quality will make a proportionally higher contribution, resulting in an even higher average price per carat.
The size of the test was far from adequate for any kind of predictions, yet it provides an interesting insight into the type and nature of the diamonds that can be recovered. The larger volumes of materials to be processed by the Moveable plant will begin to add more valuable information to this picture.
For and on behalf of
DIAGEM International Resource Corp.
"David Cohen"
President