ADD / DIA Info Arctic Star Exploration Corp. (“Arctic Star” or the “Company”) (TSXV: ADD) (Frankfurt: 82A2) (WKN: A2DFY5) (OTC: ASDZF) is pleased to announce drilling has commenced on the Diagras diamond project located in the diamond corridor of the prolific Lac de Gras kimberlite field, 22km NNE of the Diavik diamond mine & 36km east of the Ekati diamond mine in NWT Canada. Arctic Star’s Diagras project contains 23 kimberlites previously discovered by DeBeers.
Highlights
- $2 Million Financing Completed for Drilling
- Arctic Assumes Operator of JV
- Diamond Drilling 10-15 Targets
Project Management
The Diagras diamond project, originally a 60/40 joint venture between Margaret Lake Resources Inc. (TSXV: DIA) and Arctic Star (TSXV: ADD) respectfully. Margaret Lake has recently undergone management changes and has shifted its focus elsewhere. In 2019 Margaret Lake informed Arctic Star that it had no exploration plans for Diagras.
The joint venture agreement allows for Arctic Star to take over management in such a situation by proposing and excuting a plan and budget. Arctic Star proposed a $2,100,000 budget for the Diagras project 2021. Margaret Lake has informed Arctic Star that it will not to participate. In such a case the JV agreement has a dilution formula. At the time Arctic Star expends the proposed 2021 budget the ownership will change to approximately 77% Arctic Star and 23% Margaret Lake. Arctic Star will continue as the operator. If Margaret Lake dilutes below 10% in the future, the company’s interest converts to a 1.5% GOR.