Post by Franko10 ™ on Sept 16, 2004 9:43:43 GMT -5
Diagem announces that, it has delineated its first ever diamond resource (indicated) on the Chicoria Creek Area, Property 213, Juina Diamond Province, Brazil. A technical and financial feasibility study has been made of the mining plan. The Company is now in a position to start the initial experimental mining stage of commercial operations. The Pilot Plant is being moved into its new location. A second auxiliary production plant has now been built to supplement that of the Pilot Plant. Production will start at both plants as soon as the Pilot Plant is reassembled.
The present Chicoria Creek ore body occupies a minimum volume of 135,000 cu.m. containing 40,000 carats. Completion of exploration work being carried out at present is sufficiently encouraging to believe that the volume of economic diamondiferous gravels in this one area will increase well above the 135,000 cu.m, perhaps to 200,000 cu.m. This diamond resource occupies an area of 40 hectares out of the total permit area of some 130,000 hectares.
The study has concluded that given a throughput of approximately 20 cu.m / hour for the Pilot Plant and 15 cu.m / hour for the auxiliary plant, a resource grade of 0.3 ct/m3, and a price of US$35, that Brazilian costs, both operational and overheads will be covered. It is also likely that Vancouver costs may be covered possibly generating also a small profit.
The Company intends to explore for and delineate additional payable gravel resources, to gradually increase production well beyond these anticipated initial levels and to make up for the depletion of resources.
After initial positive cash flow is established, the exploration team will begin a systematic evaluation of the various known kimberlite occurrences and pursue the discovery of new occurrences. Large areas of very special, secondary deposits, if not 'exotic'varieties of secondary deposits; generally issued from the erosion of diamondiferous basal conglomerates of cover rocks, mostly horizontal formations, remain to be explored and developed.
This advancement signifies a major step forward in Diagem's activities in Brazil. Diagem will need to overcome various challenges that will inevitably present themselves during implementation; however the vision of a good economic future appears clearer and very encouraging.
The aforementioned study, and the bulk sampling program underlying the study, were planned and carried out under the supervision of Dr. Mousseau Tremblay, of Williamstown, Ontario, a Qualified Person, President and CEO also a director of Diagem International Resource Corp, who has also approved the technical content of this news release. Others contributing to the evaluation process include Mr. Jonathon Taylor, Qualified Mining Engineer (UK), Mr. Jose Aldo Ferraz, Qualified Mining Engineer (Brazil) and Paulo Andreazza, Member of the Institute of Geologists (Brazil).
For and on behalf of
DIAGEM International Resource Corp.
"Dr. Mousseau Tremblay"
President
The present Chicoria Creek ore body occupies a minimum volume of 135,000 cu.m. containing 40,000 carats. Completion of exploration work being carried out at present is sufficiently encouraging to believe that the volume of economic diamondiferous gravels in this one area will increase well above the 135,000 cu.m, perhaps to 200,000 cu.m. This diamond resource occupies an area of 40 hectares out of the total permit area of some 130,000 hectares.
The study has concluded that given a throughput of approximately 20 cu.m / hour for the Pilot Plant and 15 cu.m / hour for the auxiliary plant, a resource grade of 0.3 ct/m3, and a price of US$35, that Brazilian costs, both operational and overheads will be covered. It is also likely that Vancouver costs may be covered possibly generating also a small profit.
The Company intends to explore for and delineate additional payable gravel resources, to gradually increase production well beyond these anticipated initial levels and to make up for the depletion of resources.
After initial positive cash flow is established, the exploration team will begin a systematic evaluation of the various known kimberlite occurrences and pursue the discovery of new occurrences. Large areas of very special, secondary deposits, if not 'exotic'varieties of secondary deposits; generally issued from the erosion of diamondiferous basal conglomerates of cover rocks, mostly horizontal formations, remain to be explored and developed.
This advancement signifies a major step forward in Diagem's activities in Brazil. Diagem will need to overcome various challenges that will inevitably present themselves during implementation; however the vision of a good economic future appears clearer and very encouraging.
The aforementioned study, and the bulk sampling program underlying the study, were planned and carried out under the supervision of Dr. Mousseau Tremblay, of Williamstown, Ontario, a Qualified Person, President and CEO also a director of Diagem International Resource Corp, who has also approved the technical content of this news release. Others contributing to the evaluation process include Mr. Jonathon Taylor, Qualified Mining Engineer (UK), Mr. Jose Aldo Ferraz, Qualified Mining Engineer (Brazil) and Paulo Andreazza, Member of the Institute of Geologists (Brazil).
For and on behalf of
DIAGEM International Resource Corp.
"Dr. Mousseau Tremblay"
President