Up 206% on news2007-12-07 10:07 ET - News Release
Mr. Peter Miles reports
SANATANA'S NEWLY DISCOVERED DHARMA KIMBERLITE IS DIAMOND BEARING
Sanatana Diamonds Inc. has received the first batch of caustic fusion diamond results from the company's newly discovered Dharma kimberlite pipe. These results were generated by Thunder Bay Diamond Services, which is operated by Kennecott Canada Exploration Inc.
This first batch weighed 339.18 kilograms and is from 21 separate samples of split NQ2-size drill core from the discovery drill hole. Approximately one tonne of kimberlite has been sent for microdiamond recovery, and the results from the two remaining batches will be reported as they come to hand.
In total, 180 diamonds greater than 0.106 millimetre have been recovered, which equates to 531 stones recovered per tonne. The table on the diamond distribution in CIM sieves shows the stone size distribution for this group of samples.
DIAMOND DISTRIBUTION IN CIM SIEVES (MM)
Combined 0.106 0.15 0.212 0.3 0.425 0.6 0.85 1.18 1.7
weight (kg) sieve sieve sieve sieve sieve sieve sieve sieve sieve Total
339.18 77 45 29 12 7 7 2 0 1(2) 180
(1) Kennecott Canada Exploration Inc. operates Thunder Bay Diamond Services,
which is assessed and registered by Intertek Testing Services NA Ltd. as
conforming to the requirements of ISO 9001-2000.
(2) This diamond measured 3.2 by 2.7 by 0.95 mm and weighed 0.06 carat.
The diamonds are described as being 60-per-cent white in colour and 23 per cent have octahedral crystal habits. The largest stone weighed 0.06 carat and measured 3.2 mm across, falling on a 1.7 mm sieve.
The management of Sanatana is highly encouraged by these initial results.
The company initially acquired, in June, 2004, approximately 20 million acres of permits that comprise its Mackenzie project. The acquisition was based on the premise that a deep, cool, potentially diamondiferous craton existed under the project area. Management believes that this new discovery, on what the company now calls the Mackenzie craton, confirms this premise.
The company has, after four years and about $20-million in exploration, consolidated its original 20 million acres of permits into about 5.9 million acres that have at least six discrete regions with anomalous geochemical indicator mineral concentrations. These regions are the Greenhorn, Simpson, Yeltea, Colville, Horton and Estabrook projects.
Management believes that the company's exploration strategy of controlling a large land area and using geochemical indicator mineral analysis to define probable kimberlite fields within that area, coupled with geophysics to define individual kimberlites, have now been proven.
The Dharma discovery, which occurs in the Greenhorn project area, is a prominent geophysical anomaly at the head of a kimberlite indicator mineral anomaly. Kimberlites generally occur in fields of 30 or more, and the company has several drill-ready targets in close proximity to Dharma. The likelihood of additional kimberlite in the Greenhorn project area is supported by till sampling which shows a regional cloud of indicator minerals in the area. Geophysical surveys will begin in February, 2008, to define additional drill targets with drill testing of targets commencing in early March, 2008.
Results coming in from the 2007 summer sampling program have produced several new indicator mineral trains which are coupled with magnetic anomalies. The indicator mineral chemistry of these new targets is positive for diamonds. The new targets, some of which are already drill permitted, are from projects other than the Greenhorn. The company plans to drill test these targets over the next 24 months.
Qualified person
The Sanatana exploration programs are carried out under the supervision of Sanatana's director and vice-president of exploration, Buddy Doyle. Mr. Doyle meets the qualified person requirements (as defined by National Instrument 43-101) with 26 years of exploration experience, 16 years of which are in diamond exploration.
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