Kennecott drilling confirms Legend kimberlite

Kennecott Canada has confirmed that the Phoenix discovery on the Legend property in northeastern Alberta is indeed kimberlite.

Kennecott, a division of London-based Rio Tinto (RTP-N), made the find while drill-testing the Phoenix target, the first of three geophysical magnetic targets slated for drilling. The kimberlite was intercepted at a depth of 102.7 metres. It was initially described as a green ultramafic rock with a fine-grained serpentine ground mass containing 2-to-4-mm, rounded, olivine crystals and country rock fragments.

Kennecott can earn a 60% interest in the 1.5-million-acre property from owners Montello Resources (MEO-A) and Redwood Resources (RDW-A) by either advancing it to a production decision or spending $30 million on exploration over a 7-year period.

Ownership is currently divided 70-30 between Montello and Redwood.

Drilling has resumed on the Roc target and drill sites have been prepared for the Pegasus and Xena geophysical targets. In addition, Kennecott has begun geophysical surveys to define additional anomalies.