THE DIAMOND PAGE — Lac de Gras dominates exploration

Yellowknife, N.W.T., is abuzz with talk that at least two major mining companies, BHP Minerals Canada and Kennecott, are at the decision-making stage of what their respective next steps will be. Both companies are involved in joint-venture diamond exploration projects in the Lac de Gras region of the Northwest Territories and both are mulling various options for large (5,000-tonne) bulk samples this winter.

Northwest Territories * Elsewhere in the North, Teck (TSE) and Cominco (TSE) carried out exploration this summer on properties under option from Gerle Gold (VSE) in the Slave Province. The work included helicopter aeromagnetic surveys over 52 of 133 magnetic anomalies staked in the Clinton Golden area. Heavy mineral-sampling programs were also carried out, with concentrates shipped to Cominco’s research lab in Vancouver for further concentration and analysis. Results are expected in early September.

Gerle crews will now examine and sample the highest-priority targets, some of which may be drilled this year. The junior has interests in other diamond exploration ventures in the Territories.

* Golden Unicorn Mining (VSE) entered an agreement with R.T. Heard & Associates which might prove valuable should a mine ever be developed on any portion of 96,750 hectares in the Lac de Gras camp. Terry Heard’s company agreed to assign Golden Unicorn its right to receive one percentage point of the gross overriding royalty it is entitled to receive under agreements with certain companies.

Included are 37,312 hectares held by Horseshoe Gold Mining, as well as some acreage held by Kalahari Resources, Anvil Resources, Super Twin Resources, and Super Twin’s partner, Braiden Resources.

* Lytton Minerals (TSE) recently acquired 48% of Glenmore Highlands (ASE), soon to be in the diamond exploration business. Lytton President Desmond Alexander reports that Glenmore is negotiating an acquisition, details of which have yet to be made available.

Lytton also concluded an agreement allowing it to acquire a 51% interest in certain properties held by Ella Resources (VSE) near Lac de Gras. To earn the interest, Lytton must spend $3 million on exploration by April 1, 1995. * An airborne electromagnetic survey is planned by Noront Resources (VSE) for the Camsell Lake property in the Lac de Gras area, says Rusty Lake Resources (CDN), which has a 25% interest in the project.

* Caledonia Mining (TSE) has completed a placement of 1.6 million units at $1 per unit. Each unit consists of one Caledonia share and one warrant; two warrants entitle the holder to buy a share at $1.25 before June 16, 1995. The funds will be used to explore properties in the Territories. British Columbia

Proceeds of a private placement will be used by Consolidated Venturex Holdings (VSE) to fund initial exploration of the Jack claims near Golden. The company can earn half of the project. The focus will be on a lamproitic diatreme, previously explored by Dia Met Minerals (TSE), which yielded two micro-diamonds and one macro-diamond.

Alberta and Saskatchewan

* A numbered Alberta company has negotiated the sale of a 50% interest in a 46,000-hectare diamond exploration property to Societe Miniere Mimiska (ME). The Grassy Lake Parcel property is 80 km southeast of Grand Prairie. The purchase agreement, yet to be approved by regulators, calls for Mimiska to issue 600,000 shares to 557138 Alberta for a half interest in the property. * Stream sediments were recently sampled by Ecstall Mining (VSE) from the Crowsnest, Oldman, Castle and Highwood rivers within the company’s 508,000-hectare permit area in southwestern Alberta. The work returned abundant chromite, as well as eclogitic G-5 garnets indicative of a lamproitic source rather than kimberlite.

Quebec

* At the Le Tac Twp. play, Rusty Lake Resources (CDN) is planning a ground exploration program on its 50%-owned property. Rusty’s partner there is Noront Resources (VSE).

* Societe Miniere Ecudor (ME) is to start exploration work on the Lac Castignon property northwest of Schefferville and the Bryson-Lynch property in the Maniwaki area.

United States

* A wholly owned subsidiary of Blain, Wash.-based United Compass Resources has acquired two exploration properties, one in the George Creek area in Larime Cty., Colo., and the other in Sweetwater Cty., Wyo. The subsidiary, Oakmont Resources, intends to seek partners.

Overseas

* Triad Minerals, which manages Cliff Resources’ (TSE) Phillips Range joint venture in Australia, has recommissioned and modified the heavy media-sortex diamond treatment plant. A total of 1,700 tonnes of “overburden reject material” from a previous test program yielded 69 diamonds with a total weight of 26.7 carats. Five diamonds exceeded one carat in size, the largest weighing 1.37 carats.

While the plant is scheduled to process another 50,000 tonnes of surface gravels from the central lobe of the Aries kimberlite pipe, diamond drilling will test individual lobes to depths of 300 metres.

* An agreement has been reached whereby a private Ontario company can earn a 45% interest in the Mangwe East project of Southern Arizona Mining & Smelting (CDN).

The property, in southwestern Zimbabwe, contains a large structure which is known to host kimberlites across the border in Botswana.

To earn its interest, the private company must fund an airborne geophysical survey and follow-up diamond drilling, both estimated to cost $275,000.