More about diamonds (March 29, 1993)

Canadian companies searching for diamonds both at home and abroad: N.W.T.

— Consolidated Abitibi Resources (ME) has arranged a private placement of 1.27 million flow-through shares from its treasury. Some of the $450,000 will go toward further exploring its diamond project northwest of Lac de Gras. — Kalahari Resources (VSE) has arranged a brokered private placement of up to one million units at $2 per unit. Each unit will consist of one share and one warrant exercisable at $2.25. Proceeds will finance property acquisitions, exploration, accounts payable and working capital. — Partners Melinga Resources (VSE) and Westwin Ventures (VSE) have acquired a 50% interest in an additional 291,000 acres in the Dubwant Lake-Angikuni River area. The remaining half is held by the Leeward-Skeena-Connecticut (LSC) joint venture.

In early April, LSC will begin drilling the nearby Outlet Bay pipe where a microdiamond was recently recovered from a surface sample.

Ontario and Quebec

— Drilling of geophysical targets on the Le Tac West property in northwestern Quebec intersected a number of kimberlite/ lamproite dykes, reports Explorations Minieres du Nord (ME).

— Lyndex Explorations (CDN) has staked 500 acres in the north shore area of Lake Superior. The ground covers the surface expression of what is thought to be a kimberlite intrusive.

— Trev Corp. (ASE) has been granted an option to acquire the Melba property northwest of Kirkland Lake, Ont., subject to a 1-2% net smelter royalty. The property covers a number of circular, bull’s-eye aeromagnetic anomalies that will be followed up with ground surveys and drilling to test a kimberlite association.

Alberta

Takla Star Resources (ASE) has applied for a mineral permit covering an additional one million acres 70 miles north of Cold Lake.

Overseas

— Angolan diamond production, worth about $600 million last year, has been slowed to a trickle by civil war and rain, Mining Journal reports. — After a requirement to raise $5 million was waived, Redaurum Red Lake Mines (TSE) exercised an option to earn a 50% interest in Cornerstone Investments, a private Australian company which owns half of the River Ranch mine in Zimbabwe. Redaurum says it is making progress raising funds to further increase production at the mine.

River Ranch will acquire a fully operational heavy media separation plant to be funded and operated from existing working capital. The plant will boost monthly production to 130,000 carats per year.