RE: What the NR means...As well the Management Disucssion released by Citation today explains the reason for the drilling to take place this Sept. 2001
In part it states:
* Dia Met - Cantex Mine Development Corp. (Cantex) - Citation (Dia Met JV).
As a result of these changes the area held under licences has been reduced from 2 376 square km to 1 589 square km (see figure).
The percentage distribution of current holdings in the Dia Met JV are:
* 55.46% Dia Met * 33.86% Citation
* 10.68% Cantex
Status of Project
As a result of corporate restructuring of Dia Met during 2000 and their subsequent acquisition by BHP, a very limited exploration program was carried out in 2000 and drilling was put on hold. Kimberlitic rock samples were collected from the north-east part of the tenements and mineral compositions analysed. A number of minerals demonstrated chemistry compatible with derivation from the diamond stability zone. Nineteen of these rock samples were tested for micro-diamonds. These tests revealed the presence of micro-diamonds in five of the samples. All diamonds are white with most showing good to moderate crystal form.
Funds are now available to carry out a drilling program in Greenland in 2001. Of the 22 diamond exploration targets of high interest, those that will be drilled include Areas 9, 10, 11 and 21 (see figure). Further processing of till and rock samples will probably help to identify other drill targets for the 2001 field season. It is planned to diamond drillcore between 10 and 15 holes. Any kimberlitic core material will then be tested for micro-diamond content in order to evaluate their prospectivity for follow-up bulk sampling and testing for macro-diamonds.
The 2001 field program will allow us better definition of diamond targets of high interest. This is an important consideration in that of the 1 589 square km of our tenement holdings, 96 per cent of the area has been held for five years, and exploration obligations double in the next five years. It therefore becomes imperative to excise ground of low interest to avoid onerous financial obligations in 2002.