THE DIAMOND PAGE — Exall forms alliance with Guyanese

Toronto-listed Exall Resources has joined forces with one of Guyana’s foremost gold and diamond mining companies.

MC Correia Holdings, which has been in continuous operation since 1935, operates several diamond and gold recovery dredges. It also controls major land holdings in the country, including claims contiguous to Exall’s concession on the Mazaruni River.

Initially, the joint venture will concentrate on expanding Exall’s base in the Mazaruni area, where Correia is operating a dredge to recover gold and diamonds. Exall’s Mazaruni property consists of 14.5 km of riverbed and 500 metres of floodplain on each bank.

Exall plans to use its technological expertise to improve recoveries and throughput on the Correia ground.

Elsewhere Overseas

– Harry Oppenheimer will retire, effective Dec. 27, from the boards of directors of De Beers Consolidated Mines and De Beers Centenary AG. The date marks the 60th anniversary of his appointment as a director. Oppenheimer succeeded his father, Sir Ernest, as chairman of De Beers in 1957 and held the position for 27 years. In 1990, he was appointed to the board of newly formed De Beers Centenary AG.

– The government of Namibia and De Beers Centenary AG have signed an accord to restructure De Beer’s diamond operations in Namibia.

The principal features of the accord, which will apply for the next 25 years, are:

— CDM, hitherto De Beer’s wholly owned Namibian diamond mining company, will be reconstituted as Namdeb Diamond. It will be owned equally by the the Namibian government and De Beers.

— All of the De Beers group’s existing mining licenses and related rights will be replaced by a consolidated mineral agreement. Certain onshore and offshore areas deemed not to merit retention will be dropped. The remainder will be held by Namdeb under new licences.

— De Beers and the government will investigate the possibility of establishing a diamond-cutting and polishing factory in Namibia. — Namdeb will continue CDM’s longstanding policy of selling the whole of its diamond production through the Central Selling Organization. n United Reef (TSE) reports that exploration of its Bamingui diamond property is progressing.

Sampling along the Bangoran River began in early November and, to date, 96 sample sites have been excavated. Testing has occurred on both banks of the river over a distance of 2.6 km. The sampling indicates that the elevated gravel terraces reach widths of up to 600 metres, with the gravel horizon averaging 0.4 metre in thickness. Sample material is being collected from these sites and sent to the company’s pilot plant for processing. Sample excavation has also started within the low-lying alluvial flats of the Bamingui River. Two large samples have already been processed in the pilot plant. One of these, measuring 67.2 bcm (bank cubic metres), yielded 81 diamonds with a total weight of 28.6 carats. A second, weighing 61.4 bcm, contained 52 diamonds with a combined weight of 17.65 carats, as well as 0.5 gram gold.

In Antwerp, later this month, the company will try to sell its initial exploration parcel of 420 carats. Previous evaluations of these stones have indicated an average value per carat of more than US$150.

– Carlin Resources (VSE) has optioned its 90% interest in two alluvial diamond concessions in Ghana, West Africa, to PBX Resources (VSE). In return, Carlin will receive $110,000 cash and 150,000 shares of PBX. Carlin is focusing on the properties’ potential for hosting gold mineralization. To maintain the option, PBX is required to complete Carlin’s original exploration program.

– Also in Ghana, St. Jude Resources (VSE) is about to begin bulk-sampling at its Birim River alluvial diamond prospect.

– In Brazil, South Atlantic Diamonds (VSE) has identified two additional diamond-bearing kimberlites on its Cristais and Coromandel projects. In the Coromandel area, the Elza Nunes pipe returned 5 microdiamonds from a 200-kg sample, whereas the Serrote 1 pipe, in the Cristais area, returned 4 micros from a similar-sized sample.

British Columbia

– Consolidated Ramrod Gold (TSE) has identified six kimberlite pipes on the Ice property near Elkford in southeastern British Columbia.

Small bulk samples from each of the pipes are being analyzed by Saskatchewan Research Council Lab for micro/macrodiamond testing and by Colorado State University for indicator mineral chemistry and diamond identification. Mapping and trenching indicate that the Cross kimberlite pipe measures about 30 by 300 metres and that G9 and G10 pyrope garnets are present. Hand-pitting indicates the Ram 5 pipe measures 200 by 500 metres. An 800-lb. sample taken near the centre of the pipe returned one diamond of near-gem quality, measuring about 2 mm. A sample taken along the western edge of the pipe did not return any diamonds greater than 0.25 mm.

Surface samples of Ram 6, Ram 6.5 and Bonus are pending, although a gem-quality fragment measuring 0.65 mm was found in Ram 6.5. Ramrod is earning a 60% interest in part of the property, leaving White Knight Resources (VSE) and Brimstone Gold (VSE) to hold 20% each. Northwest Territories

– Drilling will begin in mid-December on the 49,200-hectare North Aylmer property of Sanfred Resources (VSE).

Several kimberlite targets are outlined from earlier ground work. Denver-based Rocky Mountain Energy (VSE) holds a half interest in the property, which is 80 km east of Lac de Gras.

Saskatchewan

– Geophysical and prospecting work continues on the jointly held properties of New Nadina Explorations (VSE) and Kettle River Resources (VSE). Till samples obtained through drilling on the Garrick property, near Fort a la Corne, are being concentrated for heavy minerals and, if warranted, will be analyzed at Lakefield Research. Drill-testing of the Crossroads anomaly, to a depth of 152 metres, failed to find the source, and further drilling is planned.

United States

– Three holes drilled by Golconda Resources (ASE) at its Idaho diamond prospect have intersected micaceous lamproitic tuff containing purple garnets and green chrome diopsides.

BHP Minerals International Exploration is supervising the drilling and can, until Dec. 31, enter a joint venture to earn a 51% interest. – Royalstar Resources (VSE) confirms that gem-quality stones were found among 9,000 rough diamonds recovered from an underground bulk sample at its Sloan property near Fort Collins, Colo.

A random selection of stones from the area have yielded cut gem-quality stones weighing 0.1-2.17 carats.

A second phase of bulk sampling is scheduled for next spring.