Peregrine Diamonds Ltd. PGDIF

Victor vs CH-6

[oiltar]

The CH-6 has Victor like diamod quality with 12 times the grade.It blows Debeers $1.5 billion investment out of the water in Victor.

How would any one in their right mind think Debeers can afford to let Chidliak go to the rival DDC/RIO stable.It would be the biggest mistake Debeers has made on Canada to date to let the Friedlands tender this mine to DDC/RIO.

If Debeers lets the brothers prove up a $5 to $10 billion deposit in the next 6 months,then they may as well pack up their bags and get out of Canadian diamond production.Victor is nearly out of ore and if Debeers wants those high value stones they will need Chidliak as GK has half the quality diamonds to the CH-6.Debeers could move the Victor plant to Chidliak right about the same time Victor closes and Chidliak gets permits

The Victor open-pit mine, Ontario's first diamond mine, began development in January 2006 and came into production in the spring of 2008. The Victor pipe has mineable reserves estimated at 27.4 averaging 0.23 . While this ore grade is low, the value of the diamonds extracted is one of the highest in the world. At full capacity, the mine is expected to produce about 700 000 over a 12-year open-pit mine life

[oiltar]

Victor  700,000cts per yr @ $400 per ct = $280 million cashflow. Mining costs per ton $70 EBIDA  $30 per ton CH-5 1.5m cts pr yr @ $236 per ct = $354 million cashflow Mining costs $70 per ton EBIDA  $543 per ton. How long before the market will keep selling these numbers for 25 cents? I can not answer that but not for long I would think.All $ figures US.