Diamonds North and Majescor identify targets on Banks Island

Highly compelling kimberlite indicator mineral chemistry and a newly completed airborne geophysical survey over a portion of the Banks Island diamond project in Canada’s high Arctic has provided Diamonds North Resources (DDN-V, DNORF-O) and joint-venture partner Majescor Resources (MAJ-V) with a number of priority drill targets.

The Banks Island project covers 4,749 sq. km of prospecting permits on the northeastern side of Banks Island in the Northwest Territories. Banks Island was targeted in 2003 as a 50-50 joint venture between Diamonds North and Majescor on the basis of regional heavy mineral sampling results.

The joint venture initially filed permit applications for 2,428 sq. km and completed a stream-sediment sampling campaign across the project area in 2004. Several samples contained kimberlite indicator minerals, including G10 pyrope garnets. Primary textures on some of the indicator minerals indicate they haven’t travelled far and may have a nearby source.

Based on these results, the joint venture doubled its holdings on Banks Island in early 2005 and carried out detailed sampling across four drainage ditches. Indicator mineral grains were recovered in 47 of the 130 stream-sediment samples collected in 2005. They comprise garnet, chromite, picroilmenite, chrome diopsides.

Encouraged by the presence of “highly prospective” kimberlite indicator minerals, including eclogitic and pyrope garnets with “compelling” G10 mineral chemistry, the partners completed 4,800 line-km of airborne geophysics in 2006.

This work has identified 65 magnetic anomalies, seven of which have been designated moderate-to-high priority. One of the best targets is an isolated circular feature that measures 400 by 300 metres (12 hectares) and exhibits a weak magnetic signature.

Future exploration plans will involve additional geophysical surveys and drilling. As it stands, only 10% of the project has been surveyed.

In related news, Diamonds North expects to start receiving the first results by month-end from the microdiamond testing of five new kimberlite bodies discovered on its 100%-owned Amaruk project in the Pelly Bay area of Nunavut. It’s expected that the diamond results for all 5 kimberlites (Umingmak, Qavvik, Walrus, Beluga and Char) will be received periodically throughout the first quarter, starting with Umingmak.

In addition, about 1,000 kg of samples from eight new and separate kimberlite float occurrence have also been submitted to SGS Lakefield for microdiamond analysis.

Cashed up with over $11 million in its kitty, Diamonds North is planning an additional airborne program of 50,000 line-km to complete the geophysical coverage across the Amaruk project this spring, to be followed by an aggressive drilling campaign on some 60 targets.