Diamond News Roundup — GMD prepares to drill Royce Group

Drilling is set to begin testing nine targets at the fully owned Royce Group property of GMD Resource (VSE), 60 miles northwest of Yellowknife.

GMD has selected its targets on the basis of till sampling that resulted in the identification of several indicator mineral dispersion trains containing G10 pyropes and chrome diopsides.

Follow-up aeromagnetic surveys, in conjunction with computer-enhanced air photographs, have identified all targets as deep circular lakes, with concentric and radial fracture patterns.

Elsewhere in the Northwest Territories

* Till sampling on the 2,000-sq.-km MacKay Lake property in the Northwest Territories is complete, and samples have been sent to De Beers Consolidated Mines’ laboratory in South Africa for analysis.

Joint property holders Noble Peak Resources (ASE), SouthernEra Resources (TSE) and Monopros report that magnetic anomalies have been checked and seven more targets have been staked.

* Analysis of material extracted from the newly discovered Ursa kimberlite on the Cross property indicates the structure is diamondiferous but unlikely to be of economic significance.

The pipe lies in the southwestern region of the Slave province.

Ashton Mining of Canada (TSE), which can earn a 51% interest in the property, recovered 1 macrodiamond from 2 tonnes of material processed through its dense media separation plant. The gem measures 0.6 mm in diameter.

In addition, 150 kg of treated material yielded 4 microdiamonds.

The Ursa is the third kimberlite to be discovered on the Cross property. After Ashton vests its interest, Tenajon Resources (VSE) will hold a 25% stake and Pure Gold Resources (TSE), 24%.

Further work by Ashton is budgeted at $400,000.

* America Mineral Fields (VSE) has withdrawn from negotiations concerning the AK-CJ diamond properties, 150 km south of Lac de Gras.

The properties are held 50% by Mountain Province Mining (VSE), 40% by Glenmore Highlands (ASE) and 10% by Camphor Ventures (VSE).

The AK hosts the 5034 kimberlite, which has yielded 1,404 macrodiamonds and 4,705 micros from 1,702.88 kg of core material processed to date.

Mountain Province and Camphor had granted America Mineral a 90-day exclusive right to examine technical data from the properties.

Saskatchewan

* With ground geophysics, linecutting and the establishment of targets now complete, White Swan Resources (ASE) has begun drilling its diamond property in Saskatchewan.

Drill sites have been located using control lines and ground magnetics. White Swan intends to drill 32 targets on its 270 mineral claims. However, some of the higher-priority targets are in low-lying areas, and thus will be put off until after freeze-up in mid-January.

United States

* The first hole drilled on Diadem Resources’ (ME) property in Leek Springs, Calif., has revealed diamond indicator minerals occurring in unconsolidated material.

The material appears to be the product of an explosive eruption, possibly lamproite or other diamond-bearing rock. The drill hole is still in progress at a depth of 110 ft.

Diadem plans to continue the drill program, testing seven magnetic targets in the area.

* Vancouver-listed Guardian Enterprises has discovered 10 kimberlitic diatremes and several dykes along a 4-mile-long trend in southwestern Wyoming. The company reports that the chemistry of the kimberlites suggests that they have diamond potential.

The Wyoming Geological Survey has identified several areas in the state that have high potential for diamonds. The area of the Colorado-Wyoming state line in southeastern Wyoming and northern Colorado leads the U.S. in diamond production, with more than 120,000 diamonds recovered.

* A program of rotary and diamond drilling is under way in the Great Lakes region.

Participating in the work is Pathfinder Resources (VSE), which recently entered a joint venture with Ashton Mining of Canada (TSE) by acquiring Colorado-based Crystal Exploration.

Crystal holds a 32.9% interest in the Lake Superior project and Ashton holds the remainder.

An olivine-rich tuffaceous unit, believed to be a lamproite, was intersected in one hole, while the two other holes intersected serpentinized, intrusive bodies. Up to eight additional geophysical signature targets are to be drilled.