Kensington recovers 10.5-carat diamond (March 21, 2005)

Vancouver — Mini-bulk sampling on Kensington Resources‘ (KRT-V) Fort la Corne joint venture in central Saskatchewan has yielded a 10.5-carat, clear and colourless diamond.

In addition to the large, high-quality stone, five macrodiamonds were recovered from sampling of kimberlite 140-141, including a 1.3-carat stone.

The extraction of the material was part of an evaluation program under the supervision of project operator and partner De Beers at its diamond lab in Johannesburg, South Africa.

The sampling program consisted of five large-diameter drill holes targeting the upper section of kimberlite breccia beds in the southern, higher-grade portion of pipe 140-141. Recovered stones will be used in grade forecasts and to provide preliminary valuations.

Kimberlite 140-141 is showing indications of a significant population of large stones.

The 225-sq.-km Fort la Corne joint venture is owned 42.2% by Kensington Resources, 42.2% by De Beers Canada, and 5.5% by Cameco (CCO-T), with a 10% carried interest held by UEM, whose North American assets are equally held by Cameco and Cogema.

The project is adjacent to, and northwest of, Shore Gold‘s (SGF-T) Star kimberlite.

The joint venture has budgeted $25.6 million for its exploration and evaluation in 2005.