DIAMOND EXPLORATION – Peregrine’s DO-27 pipe averages 0.98 carats/tonne

NORTHWEST TERRITORIES - Vancouver-based PEREGRINE DIAMONDS may be poised to become a major player in Canadian diamond exploration. Bulk samples from its DO-27 kimberlite pipe, only 23 km southwest of the Diavik diamond mine, averaged 0.98 carat/tonne. The samples were collected by reverse circulation drilling.

A total of 1,806 diamonds were recovered using a 1-mm screen. Twenty-one stones larger than one-half carat were recovered, with the largest stones coming from the central volcanic kimberlite facies. The four largest stones were a 2.93-ct light brown, flattened octahedron; a 2.66-ct off-white tetrahexahedron; a 1.85-ct clean, white octahedron; and a 1.62-ct clean, white, complex tetrahexahedron. The diamonds will now be sent to a number of internationally recognized diamond valuators for complete valuations.

The main vent and northeastern subsidiary vent of the DO-27 pipe together have a surface expression of about nine hectares. Technical problems prevented Kennecott Canada Exploration and its partners from collecting an underground bulk sample from the main vent 10 years ago. Peregrine (www.pdiam.com) acquired the property from BHP BILLITON, whose Falcon exploration technology has been used extensively by Peregrine.

Peregrine is operator of the project and holds a 55.5% interest. Other partners are Archon Minerals (13%), Aber Diamond (7%), DHK Diamonds (20%) and SouthernEra Diamonds (5%).