Diamond sample shipped out, land scramble goes on

A 200-ton sample collected from the diamondiferous kimberlite near Lac de Gras, N.W.T., is on its way to Dia Met Minerals’ (VSE) diamond recovery plant near Ft. Collins, Colo.

Dia Met and partner BHP-Utah Mines started drilling the bulk sample after discovering 81 small diamonds, some of gem quality, in the 50-acre kimberlite pipe last fall.

Meanwhile, area players Christopher Jennings, Earl Curry, Robert Gannicott and Grenville Thomas plan to buy a 59% interest in Southernera Resources (TSE), a dormant company. After the sale, Southernera will focus on the exploration and development of diamond projects, initially in the Lac de Gras area and in southern Africa.

Jennings, a leader in diamond exploration, will become president and chief executive officer. A 400,000-acre block of claims personally staked by Jennings in the Lac de Gras area will be placed in Southernera’s name. With Dia Met’s sample on board, a convoy of 7-10 trucks has wound its way south along the 360-mile ice road that connects the Lupin gold mine to Yellowknife, N.W.T., and passes within half a mile of the diamond discovery. After completing the final leg of the journey, the sample will be unloaded for processing at the 80-ton-per-day pilot plant. Dia Met President James Eccott points out that although the plant has a recovery rate of 99%, it will require some fine-tuning before the Lac de Gras sample is run through, “We’ve only got one chance,” says Eccott.

Eccott recently replaced Wayne Fipke as president of the Vancouver junior. He has a background in the lumber and brokerage businesses. “We thought it might be easier to have someone else to handle the media.”