Thickest intersection yet at Eastern Deeps

The thickest massive sulphide intersection yet encountered at the Eastern Deeps area of the Voisey’s Bay nickel-copper-cobalt deposit in Labrador has prompted Diamond Fields Resources (TSE) to project higher-than-anticipated production levels.

A recent drill hole hit 54.2 metres of massive sulphides at the Eastern Deeps, which is just east of, and 600-odd metres below, the original, near-surface Ovoid zone deposit.

Assays have yet to be received, but because the grade is expected to be similar to the grades of nearby holes (over 3% nickel), the estimated size of the Voisey’s Bay project has been pushed up considerably. Diamond Fields now estimates the total resource of the project (including the Ovoid Zone, Western Extension and Eastern Deeps) at 100 million tonnes.

The known strike length of the Eastern Deeps basal sulphide zone is now 700 metres; the width, 300 metres.

Before the zone was drilled, Diamond Fields had projected production for the Voisey’s Bay project at 133 million lb. nickel per year over a 20-year mine life. With the addition of Eastern Deeps, production could rise by as much as 100%, says President Cliff Carson.

“We can now look at expanding production significantly,” he says, adding that, although Inco officials would be consulted about any production increase, the ultimate decision will be Diamond Fields.

“In June, we should have sufficient data to make that decision.” Meanwhile, work continues on the Western Extension and Voisey’s Bay West target areas.

Drilling on the former continues to extend the ore-bearing troctolite along strike and at depth. One drill rig will be dedicated to this area in the first quarter.

Two distinct geophysical anomalies have been defined in the Voisey’s Bay West area, prompting Diamond Fields to dedicate one drill rig to this area.

Phase I of the Voisey’s Bay engineering feasibility study was completed at year’s end, including the surveying of potential sites for the dock, port, camp, borrow pits, airstrip and processing facilities. A 35-tonne sample from the Ovoid zone is being put through a continuous circuit processing test by Lakefield Research.

Phase II of the study, which is part of the feasibility work being carried out by Teck (TSE), will take place over the next three months.

Two additional rigs will be mobilized to the project early next month, to begin a regional exploration program.