Owner
Post by Franko10 ™ on Jan 31, 2005 14:50:22 GMT -5
Kensington Resources Ltd.: Aggressive Evaluation Program Planned for 2004/2005
VICTORIA, British Columbia -- Kensington Resources Ltd. (TSX VENTURE:KRT)(the "Company") announces details of the Forward Work Program for 2004/2005 presented at a meeting of the Joint Venture partners of the Fort a la Corne Diamond Project in Saskatchewan on June 16, 2004. This program, budgeted at CDN $6.0 million, has been approved by the management and Board of Directors of the Company and will cover the period from the present until March 31, 2005.
Past programs have focused on assessing the resource potential for an individual kimberlite body or for a unit or units within a particular body. This approach has resulted in better geological definition of sub-units within the kimberlites and recognition that some of these sub-units have relatively higher grades. The project strategy has now been revised to focus on the higher grade units within proximally-located priority kimberlite bodies and to consider them in combination. This approach has the advantage of considerably increasing the size of the potential resource and may permit significant economy of scale to be achieved for a large scale mining operation.
Robert A. McCallum, President, stated, "This is a logical shift in strategy by the operator. The emphasis now is clearly on moving the project towards a decision regarding pre-feasibility as quickly as possible. We fully support the new approach and will work closely with our Joint Venture partners during this crucial stage of development. Given the present shortfall in the world supply of rough stones, Fort a la Corne could well become a large, long-term low cost producer."
At the Joint Venture meeting, the Company received from the operator a draft report prepared by De Beers Mineral Resource Management Department ("MRM") presenting the geological modeling and grade estimates for kimberlite bodies 140/141, 148 and 122. Grades have been estimated from microdiamonds and assume a bottom cutoff of 1.5 mm. Preliminary results indicate that the higher grade units of kimberlite bodies 140/141, 148 and 122 defined in the 2003/2004 work program range from 29 million tonnes to 156 million tonnes with average grades of 7 carats per hundred tonnes to 16 carats per hundred tonnes. The microdiamond interpretation used to estimate grade can also be used to estimate a diamond size distribution. The combination of this size distribution and value information from macrostones can be used to estimate an average diamond value. This was done for the different units in 140/141 and for body 122. The reader is cautioned that the number of macro stones used to obtain value data is very small and amounts to 155 carats for 140/141 (all units) and 17 carats for body 122. As a result, the confidence in the average diamond values per unit is low. The combined units of higher interest contain an estimated 369 million tonnes at an average modelled grade of 10 carats per hundred tonnes. Please see a more detailed technical summary of this information, as well as a copy of the latest technical report, which can be viewed on the Company's website at www.kensington-resources.com.
The reader is cautioned that the grade and value estimates are conceptual in nature and the volumes for each of the high interest zones are early estimates derived from computer-generated 3-dimensional models of kimberlite units within areas defined by drillhole intersections. Volume to tonnage estimates were calculated using a specific gravity 2.4 g/cm3 for all kimberlite units. The tonnage estimates require further delineation drilling to better ascertain lateral and vertical extents of the geological units. The Company will release a more complete summary of the MRM report as soon as the results for kimberlite 150 are completed and the report is finalized.
While these higher grade units of higher interest are physically separated by distances of 2 to 3 kilometres, there are several larger kimberlite bodies in the southern portion of the property which require further evaluation for higher grade zones. The potential of the higher grade zones within these kimberlites might then be considered in combination with the units already defined.
In order to define a potential resource as rapidly as possible, the Joint Venture partners have endorsed a substantial program for the 2004/2005 season. It is anticipated that drilling will commence in August and a second phase of drilling may be implemented as early as the second quarter of 2005.
The main initiatives of the 2004/2005 program include:
- A program of large diameter (36-inch or 914 mm) mini-bulk sampling holes distributed over bodies 140/141, 148 and 122 to increase confidence levels in grade and revenue estimates. Additional HQ coreholes may be required as pilot holes for these large diameter drillholes (LDDH).
- A core drilling program on three of the next most prospective kimberlite bodies in the southern portion of the claims specifically to test for higher-grade zones.
- A drilling program to explore newly-defined kimberlite targets in the southern claim area from airborne magnetic and electromagnetic surveys including the large gravity anomaly to the east of body 150.
The joint venture partners have also agreed to carry out the following work immediately with unexpended funds remaining from the 2003/2004 program:
- Sample existing core from Kimberlite 122 for further microdiamond recovery and grade forecasting.
- Implement a broad program of sampling and analytical work providing whole rock geochemical data that will compliment detailed core logging and petrographic studies used in identification of kimberlite phases.
- Conduct a trial survey of comprehensive indicator mineral chemistry and heavy mineral abundances on Kimberlite 140/141 with the objective of validating the methodology as a potential exploration/evaluation tool for selection of priority FalC kimberlites.
- Integration and modeling of geophysical data for kimberlites 122, 148, 150, and 140/141.
- Conduct an expanded electro-magnetic survey (TAMT) over the 140/141 kimberlite designed to pinpoint the underlying feeder vent(s) for the body.
Brent C. Jellicoe, P.Geo. is the Qualified Person for the Company and has reviewed the technical information herein. All aspects of quality assurance, quality control and sample chain of custody for the Fort a la Corne Joint Venture are managed by De Beers Canada Exploration Inc., the project operator.
The Fort a la Corne Diamond Project is a joint venture among Kensington Resources Ltd. (42.25%), De Beers Canada Exploration Inc., a wholly owned subsidiary of De Beers (42.25%), Cameco Corporation (5.5%) and UEM Inc. (carried 10%). The 71+ kimberlite bodies of the Fort a la Corne Field form one of the largest diamondiferous clusters in the world.
ON BEHALF OF THE BOARD OF DIRECTORS
OF KENSINGTON RESOURCES LTD.
Robert A. McCallum, President
Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995: This news release contains forward-looking information within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, including statements that include the words "believes," "expects," "anticipates" or similar expressions. Such forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause the actual results, performance or achievements of the Company to differ materially from those expressed or implied by such forward-looking statements. Such factors include, among others, the risk factors contained in the Company's documents filed from time to time with the B.C. Securities Commission and the U.S. Securities and Exchange Commission.
FORM 20-F FILE #0-24980
LISTED IN STANDARD & POOR'S
The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this news release.
COPYRIGHT 2004 Business Wire
COPYRIGHT 2004 Gale Group
VICTORIA, British Columbia -- Kensington Resources Ltd. (TSX VENTURE:KRT)(the "Company") announces details of the Forward Work Program for 2004/2005 presented at a meeting of the Joint Venture partners of the Fort a la Corne Diamond Project in Saskatchewan on June 16, 2004. This program, budgeted at CDN $6.0 million, has been approved by the management and Board of Directors of the Company and will cover the period from the present until March 31, 2005.
Past programs have focused on assessing the resource potential for an individual kimberlite body or for a unit or units within a particular body. This approach has resulted in better geological definition of sub-units within the kimberlites and recognition that some of these sub-units have relatively higher grades. The project strategy has now been revised to focus on the higher grade units within proximally-located priority kimberlite bodies and to consider them in combination. This approach has the advantage of considerably increasing the size of the potential resource and may permit significant economy of scale to be achieved for a large scale mining operation.
Robert A. McCallum, President, stated, "This is a logical shift in strategy by the operator. The emphasis now is clearly on moving the project towards a decision regarding pre-feasibility as quickly as possible. We fully support the new approach and will work closely with our Joint Venture partners during this crucial stage of development. Given the present shortfall in the world supply of rough stones, Fort a la Corne could well become a large, long-term low cost producer."
At the Joint Venture meeting, the Company received from the operator a draft report prepared by De Beers Mineral Resource Management Department ("MRM") presenting the geological modeling and grade estimates for kimberlite bodies 140/141, 148 and 122. Grades have been estimated from microdiamonds and assume a bottom cutoff of 1.5 mm. Preliminary results indicate that the higher grade units of kimberlite bodies 140/141, 148 and 122 defined in the 2003/2004 work program range from 29 million tonnes to 156 million tonnes with average grades of 7 carats per hundred tonnes to 16 carats per hundred tonnes. The microdiamond interpretation used to estimate grade can also be used to estimate a diamond size distribution. The combination of this size distribution and value information from macrostones can be used to estimate an average diamond value. This was done for the different units in 140/141 and for body 122. The reader is cautioned that the number of macro stones used to obtain value data is very small and amounts to 155 carats for 140/141 (all units) and 17 carats for body 122. As a result, the confidence in the average diamond values per unit is low. The combined units of higher interest contain an estimated 369 million tonnes at an average modelled grade of 10 carats per hundred tonnes. Please see a more detailed technical summary of this information, as well as a copy of the latest technical report, which can be viewed on the Company's website at www.kensington-resources.com.
The reader is cautioned that the grade and value estimates are conceptual in nature and the volumes for each of the high interest zones are early estimates derived from computer-generated 3-dimensional models of kimberlite units within areas defined by drillhole intersections. Volume to tonnage estimates were calculated using a specific gravity 2.4 g/cm3 for all kimberlite units. The tonnage estimates require further delineation drilling to better ascertain lateral and vertical extents of the geological units. The Company will release a more complete summary of the MRM report as soon as the results for kimberlite 150 are completed and the report is finalized.
While these higher grade units of higher interest are physically separated by distances of 2 to 3 kilometres, there are several larger kimberlite bodies in the southern portion of the property which require further evaluation for higher grade zones. The potential of the higher grade zones within these kimberlites might then be considered in combination with the units already defined.
In order to define a potential resource as rapidly as possible, the Joint Venture partners have endorsed a substantial program for the 2004/2005 season. It is anticipated that drilling will commence in August and a second phase of drilling may be implemented as early as the second quarter of 2005.
The main initiatives of the 2004/2005 program include:
- A program of large diameter (36-inch or 914 mm) mini-bulk sampling holes distributed over bodies 140/141, 148 and 122 to increase confidence levels in grade and revenue estimates. Additional HQ coreholes may be required as pilot holes for these large diameter drillholes (LDDH).
- A core drilling program on three of the next most prospective kimberlite bodies in the southern portion of the claims specifically to test for higher-grade zones.
- A drilling program to explore newly-defined kimberlite targets in the southern claim area from airborne magnetic and electromagnetic surveys including the large gravity anomaly to the east of body 150.
The joint venture partners have also agreed to carry out the following work immediately with unexpended funds remaining from the 2003/2004 program:
- Sample existing core from Kimberlite 122 for further microdiamond recovery and grade forecasting.
- Implement a broad program of sampling and analytical work providing whole rock geochemical data that will compliment detailed core logging and petrographic studies used in identification of kimberlite phases.
- Conduct a trial survey of comprehensive indicator mineral chemistry and heavy mineral abundances on Kimberlite 140/141 with the objective of validating the methodology as a potential exploration/evaluation tool for selection of priority FalC kimberlites.
- Integration and modeling of geophysical data for kimberlites 122, 148, 150, and 140/141.
- Conduct an expanded electro-magnetic survey (TAMT) over the 140/141 kimberlite designed to pinpoint the underlying feeder vent(s) for the body.
Brent C. Jellicoe, P.Geo. is the Qualified Person for the Company and has reviewed the technical information herein. All aspects of quality assurance, quality control and sample chain of custody for the Fort a la Corne Joint Venture are managed by De Beers Canada Exploration Inc., the project operator.
The Fort a la Corne Diamond Project is a joint venture among Kensington Resources Ltd. (42.25%), De Beers Canada Exploration Inc., a wholly owned subsidiary of De Beers (42.25%), Cameco Corporation (5.5%) and UEM Inc. (carried 10%). The 71+ kimberlite bodies of the Fort a la Corne Field form one of the largest diamondiferous clusters in the world.
ON BEHALF OF THE BOARD OF DIRECTORS
OF KENSINGTON RESOURCES LTD.
Robert A. McCallum, President
Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995: This news release contains forward-looking information within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, including statements that include the words "believes," "expects," "anticipates" or similar expressions. Such forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause the actual results, performance or achievements of the Company to differ materially from those expressed or implied by such forward-looking statements. Such factors include, among others, the risk factors contained in the Company's documents filed from time to time with the B.C. Securities Commission and the U.S. Securities and Exchange Commission.
FORM 20-F FILE #0-24980
LISTED IN STANDARD & POOR'S
The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this news release.
COPYRIGHT 2004 Business Wire
COPYRIGHT 2004 Gale Group
