TSX.V Symbol (DMI)
OTCQX Symbol (DMIFF)
KELOWNA, BC, March 5, 2012 /PRNewswire/ - Diamcor Mining
Inc. (TSX-V.DMI / OTCQX-DMIFF) (the "Company"), is pleased to
announce the initial recovery of rough diamonds from the company's
Krone-Endora at Venetia project (the "Project"). The rough
diamonds were recovered in conjunction with initial testing and
commissioning work completed on the x-ray flow-sort final recovery
modules being installed at the Project. As part of the tests,
approximately 30%, or 3 tons, of a total 10 tons of unprocessed
concentrate which was acquired by the Company as part of the
Project's acquisition from De Beers were processed, resulting in
the recovery of 1,877 individual rough diamonds with a total weight
of approximately 143.96 carats. Of the diamonds recovered,
six of the individual stones were 1.0 carat or larger in size, with
the two largest being recorded at approximately 3.93 carats and
2.09 carats respectively. The acquired concentrate processed
and used for this testing was a by-product of exploration and bulk
sampling efforts previously completed by De Beers on the Project,
and was recovered from various depths and areas in and around the
K1, K3, and confluence areas of the Project.
The Company views these results as very
encouraging and valuable given the material used was directly
recovered from known areas of the Project which are being targeted
for future mining operations. It should be noted that these
testing recoveries do not form part of the initial NI43-101
Technical report filed by the Company on July 30, 2009, and no grade or quality
determination is intended by the Company due to the nature and
purpose of the processing of this material.
"The initial recovery of rough diamonds from
the Krone-Endora at Venetia project represents yet another key
milestone for our Company," noted Diamcor CEO Dean Taylor. "With this important step now
accomplished, we are focused on completing the remaining
installation, testing, and commissioning work underway on the
Project's processing plant and infrastructure as quickly as
possible, which will allow us to further advance the Project and
move towards our next milestones," added Mr. Taylor.
The Processing plant and infrastructure
development being installed at the Project has been designed in
conjunction with the use of large power-screening equipment to
initially allow for the processing of up to 200 tons of material
per hour. Upon successfully completing installation and
commissioning of the processing plant and related infrastructure,
the Company is targeting staged monthly operational increases
during the near-term trial-mining phase in conjunction with
additional bulk sampling exercises on new areas of the Project not
previously accounted for in its initial NI 43-101 Technical Report.
In addition to securing short-term production, these efforts are
designed to support the filing of a new updated and current NI
43-101 Technical Report for the Project, and to assist the Company
in arriving at final long-term production targets and decisions for
the Project.
Strategic Tiffany & Co. Alliance:
As announced on March 29,
2011, the Company has established a long-term strategic
alliance and first right of refusal with world famous New York based Tiffany & Co. to purchase
up to 100% of the future production of rough diamonds from the
Krone-Endora at Venetia Project at then current prices to be
determined by the parties on an ongoing basis. In conjunction
with this first right of refusal, Tiffany & Co. also provided
the Company with substantial financing to advance the Project as
quickly as possible. Tiffany & Co. is a publically traded
company which is listed on the New York Stock Exchange under the
symbol TIF. Originally founded in 1837, the Tiffany's name is
now globally recognised as one of the premier luxury jewellery and
specialty retailers in the world. Through Tiffany & Co.
and various other subsidiaries, the company is engaged in product
design, manufacturing, and retailing activities on a global
basis. As of December 31, 2011
Tiffany & Co. operated 246 retail stores and boutiques in the
Americas, Japan, Asia-Pacific, and Europe and engages in direct selling through
internet, catalog and business gift operations. For
additional information on Tiffany & Co., please visit their
website at www.tiffany.com.
About Krone-Endora at Venetia:
On February 28,
2011, Diamcor successfully acquired the Krone-Endora at
Venetia Project from De Beers Consolidated Mines Limited. The
Project consists of the prospecting rights over the farms
Krone 104 and Endora 66, which
represent a combined surface area of approximately 5,888 hectares
directly adjacent to De Beers' flagship Venetia Diamond Mine in
South Africa. De Beers
previously completed various exploration efforts on initial areas
of interest comprised of approximately 307 hectares, a summary of
which was reported in an initial Independent NI 43-101 Technical
Report filed by the Company on July 30,
2009. The deposits which occur on the properties of Krone
and Endora have been identified as a rare, higher-grade "Eluvial"
basal deposit which is covered by a lower-grade upper "Alluvial"
deposit. The deposits are proposed to be the result of the
direct-shift (in respect to the "Eluvial" deposit) and erosion (in
respect to the "Alluvial" deposit) of an estimated combined 1,000 m
(1 km) of material from the higher grounds of the adjacent Venetia
Kimberlite areas. The deposits on Krone-Endora occur in two
layers with an average total depth of less than 15.0 metres from
surface to bedrock, allowing for a very low-cost mining operation
to be employed with the potential for near-term diamond production
from a known high-quality source. Krone-Endora also benefits
from the significant development of infrastructure and services
already in place due to its location directly adjacent to the
Venetia Mine.
About Diamcor Mining Inc:
Diamcor Mining Inc. is a fully reporting
publically traded junior diamond mining company which is listed on
the TSX Venture Exchange under the symbol V.DMI, and on the OTC QX
International under the symbol DMIFF. The Company has a
well-established operational and production history in South Africa, and extensive experience
supplying rough diamonds to the world market. Rather than
exposing itself to the high risks and costs associated with
exploration, the Company's focus is on the identification,
acquisition, and operation of unique diamond projects with
near-term production potential such as the Krone-Endora at Venetia
Project. For additional information on Diamcor, please visit
our website at www.diamcormining.com.
Qualified Person Statement:
Mr. James P.
Hawkins (BSc., P.Geo), is Manager of Exploration &
Special Projects for Diamcor Mining Inc., and the Qualified Person
in accordance with National Instrument 43-101 responsible for
overseeing the execution of Diamcor's exploration programmes and a
Member of the Association of Professional Engineers, Geologists,
and Geophysicists of Alberta
("APEGGA"). Mr. Hawkins has reviewed this press release and
approved of its contents.
On behalf of the Board of Directors
Mr. Dean H. Taylor
President & CEO
Diamcor Mining Inc.
DTaylor@diamcormining.com
Phone: (250) 864-3326
Website: www.diamcormining.com
This press release contains certain
forward-looking statements. While these forward-looking
statements represent our best current judgement, they are subject
to a variety of risks and uncertainties that are beyond the
Company's ability to control or predict and which could cause
actual events or results to differ materially from those
anticipated in such forward-looking statements. Further, the
Company expressly disclaims any obligation to update any forward
looking statements. Accordingly, readers should not place
undue reliance on forward-looking statements.
WE SEEK SAFE HARBOUR
Neither TSX Venture Exchange nor its
Regulation Services Provider (as that term is defined in policies
of the TSX Venture Exchange) accepts responsibility for the
adequacy or accuracy of this release.
SOURCE Diamcor Mining Inc.
