Diamonds In Canada's Far North

Feb.2.15

News came out just last week about the opening of the Tibbitt to Contwoyto winter road. This is the world famous winter road that Ice Road Truckers was first filmed on. Each winter thousands of trucks head up this winter road loaded with everything imagineable that a remote mine would need for the year. A year's worth of fuel, parts, and anything else related to maintaining to keep a full fledged mining operation going. The news article says that 9,500 truck loads of stuff will be trucked this year. DeBeers is also building the new Gahcho Kue diamond mine so there is added traffic this season. This new mine located at Kennady Lake, approximately 280 km northeast of Yellowknife and 80 km southeast of DeBeers Snap Lake Mine in the Northwest Territories. The Gahcho Kue mine is a joint venture between De Beers and Mountain Province Diamonds Inc.

Another company that we are going to look at that is active in diamond exploration in the north is Peregrine Diamonds Ltd. PGD. Peregrine Diamonds has five different project in the NWT and Nunavut. In Nunavut the company is exploring on the 860,000 hectare Chidliak Project on Baffin Island, Nunavut. Chidliak is located 120 km northeast of Iqaluit, capital of Nunavut.

At Chidliak, Peregrine has declared a maiden, independent, Canadian National Instrument NI 43-101 compliant Inferred Mineral Resource of 7.47 million carats in 2.9 million tonnes at a grade of 2.58 carats per tonne in the CH-6 kimberlite, to 250 metres depth. In addition, a tonnage estimate of 2.60 to 3.47 million tonnes, classified as a target for further exploration has been identified, to 380 metres depth at CH-6. Tonnage estimates have also been completed at the CH-7 and CH-44 kimberlites. The CH-7 kimberlite tonnage estimate is between 2.75 and 3.97 million tonnes from surface to a depth of 280 metres. The CH-44 tonnage estimate is between 1.16 and 2.05 million tonnes from surface to a depth of 230 metres. CH-6, CH-7 and CH-44 remain open at depth. Peregrine collected a bulk sample weighing 404.2 dry tonnes from the CH-6 kimberlite in 2013. The grade for the sample was 2.78 carats per tonne for commercial-size diamonds larger than the 0.85 mm sieve size and 2.58 carats per tonne for diamonds larger than the 1.18 mm sieve size.

On its Lac de Gras project in the Northwest Territories, Peregrine has established an independent, NI 43-101 qualified, Indicated Mineral Resource of 18.2 million carats in the DO-27 kimberlite. In addition to the Indicated Mineral Resource, 6.5-8.5 million tonnes of material grading in the range of 0.8-1.0 carats per tonne beneath the Indicated Mineral Resource that represents a target for further exploration has been identified.

Peregrine has a little over 200 million shares. With summer coming around soon and summer work continuing, there could be some exciting news coming from this company.

For the readers that come here often to find out about different juniors, you will otice a different style of chart. We will be using the new style of charts from now on to show the stock price and MACD better.

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GAdams