Tahera funds work at Jericho (January 10, 2000)

A private placement will enable Tahera (TAH-T) to fund exploration and development of its Jericho diamond project in Nunavut, 420 km northeast of Yellowknife, N.W.T.

The deal, which will see 5.6 million flow-through shares issued at 9 per share, is expected to generate $504,000.

An study by SRK Consulting indicates that 2.7 million carats of diamonds can be produced over the project’s 8-year mine life, based on an annual production rate of 300,000 tonnes.

Capital costs for the proposed open-pit operation, including prestripping and infrastructure, are estimated at $40.3 million. At $13.8 million, the process plant is the most costly item.

The study was based on a minable reserve of 2.3 million tonnes grading 1.13 carats per tonne in a total resource of 6.5 million tonnes grading 0.82 carat per tonne. Diamonds from the Jericho pipe have been valued at US$65 per carat.