BRC Diamondcore open tender sale achieves diamond values at Paardeberg East Kimberlite and Silverstreams alluvial bulk sampling sites at US$200 and US$1,446 per carat respectively



    TORONTO, Canada and JOHANNESBURG, South Africa, March 4 /CNW/ - BRC
DiamondCore Ltd. (the "Company") (TSX - "BCD"; JSE - "BCD") is pleased to
announce the results of tender sales conducted on February 29, 2008 to confirm
valuations of the diamond product derived from its Paardeberg East kimberlite
and Silverstreams alluvial bulk sampling project sites in South Africa.

    
    The highlights of the tender sales included the following:

    -   the Silverstreams "run of mine" production is valued at US$1,446 per
        carat. The "special stones" (+10.8 carats in size) totalled 50.46
        carats (comprising 7% by weight) and achieved a total value of
        US$457,707 (comprising 46% by value);

    -   the special stones at Silverstreams constituted a 12.26 Carat stone -
        D Colour Cleavage, which sold for US$15,175 per carat; a 13.53 Carat
        stone - White Cleavage, which sold for US$7,960 per carat and a 24.67
        Carat stone - Light Yellow Dodecahedron, which sold for US$6,405 per
        carat;

    -   the Paardeberg PK1-East average value was US$204 per carat, which has
        a high level of confidence due to the sample size; and

    -   in total, 4,050.43 carats were sold for approximately US$1.667
        million.

    SILVERSTREAMS TENDER SALES - MIDDLE ORANGE RIVER ALLUVIAL PROJECT AREA

    -------------------------------------------------------------------------
                                                   AVG                  AVG
                               TOTAL               SIZE      TOTAL     VALUE
                              WEIGHT    STONES  (CTS PER     VALUE  (US$ PER
    SITE                     (CARATS)  (NUMBER)    STN)      (US$)     CARAT)
    -------------------------------------------------------------------------
    SILVERSTREAMS             688.26       455     1.51    995,150     1,446
    -------------------------------------------------------------------------
    

    The diamond analysis of the product from various trenches on the
Silverstreams bulk sampling site was undertaken by independent consultants on
an ongoing basis during the final quarter of 2007. The sample size comprised
455 stones and the size frequency distribution of the diamond population
recovered from the various sampling trenches indicated a plot typical of a
Middle Orange River deposit which is characteristic of the recovery of large
diamonds.
    The analysis by the independent consultants of the cumulative number of
stones in the sample versus the lower critical size plot of the +2 carat (plus
two carat) diamonds indicated that the recovery of a stone within the deposit
of +40 carats is likely. If a special stone of +40 carats is recovered, the
average value of the diamond population recovered at Silverstreams is expected
to increase significantly to the US$2,000 per carat range.
    As reported previously by the Company's subsidiary, Diamond Core
Resources Limited, diamonds recovered at Silverstreams over a three month
period by a contractor during 2003 included a 65.8, 50.1, 28.8, 13.17 and
12.13 carat stones, with an average stone size of 3.5 carats, and which sold
for an average price in the order of US$2,500 per carat. The above five stones
correspond with the size frequency distribution plot of the diamond population
which is being independently constructed by the Company.
    Using the prices achieved for the Silverstreams product on the open
tender, the Silverstreams "run of mine" production is valued at US$1,446 per
carat. The "special stones" (+10.8 carats in size) totalled 50.46 carats
(comprising 7% by weight) and achieved a total value of US$457,707 (comprising
45% by value).

    
    The special stones constituted a:

    -   12.26 Carat stone - D Colour Cleavage, which sold for US$15,175 per
        carat.
    -   13.53 Carat stone - White Cleavage, which sold for US$7,960 per
        carat.
    -   24.67 Carat stone - Light Yellow Dodecahedron, which sold for
        US$6,405 per carat.
    

    The Silverstreams sampling plant comprises a primary 670 tph trommel
screen, magnetic separations to remove banded ironstone, and four 16 foot
rotary pan plants. Concentrate from the rotary pans is delivered to a 50 tph
Bateman Dense Media Separation ("DMS") unit. The final recovery unit consists
of four Flow Sort x-ray machines, three Bateman GB 1000 automatic grease
belts, and a "hands-off" final recovery. The +2mm to -32mm fraction is treated
through the rotary pan plant and the DMS section; the +32mm to -50mm fraction
is delivered separately to an attritioner followed by GB 1000 grease belts.

    
    PAARDEBERG EAST TENDER SALES - KIMBERLITE BULK SAMPLING
    PROJECT AREAS PK1 AND PK3 KIMBERLITE BODIES

    -------------------------------------------------------------------------
                                                   AVG                  AVG
                               TOTAL               SIZE      TOTAL     VALUE
                              WEIGHT    STONES  (CTS PER     VALUE  (US$ PER
    SITE                     (CARATS)  (NUMBER)    STN)      (US$)     CARAT)
    -------------------------------------------------------------------------
    PAARDEBERG EAST -
     PK3                      276.69     1,330     0.21     42,783       155
    -------------------------------------------------------------------------
    PAARDEBERG EAST -
     PK1 WEST                 121.69       550     0.22     26,482       218
    -------------------------------------------------------------------------
    PAARDEBERG EAST -
     PK1 EAST               2,963.94     8,546     0.35    603,559       204
    -------------------------------------------------------------------------
    TOTAL                   3,362.32    10,426     0.32    672,824    200.11
    -------------------------------------------------------------------------
    

    The diamond analysis of the product from various sampling positions on
the 2.2ha PK1 kimberlite pipe, representing distinct kimberlite facies, as
well as the ongoing sampling operations at PK3, was undertaken by independent
consultants on an ongoing basis during the final quarter of 2007.
    The PK1 East and PK1 West areas represent two distinct and adjacent lobes
within the PK1 kimberlite body. PK3, where sampling operations are continuing,
is a separate kimberlite pipe 3.3 ha in size and some five kilometres to the
South East of the PK1 pipe.
    Although the diamond sample sizes of PK3 and PK1-West were smaller than
the PK1-East sample, size frequency distribution curves for the diamond
samples and populations on all three sampling areas were plotted. PK3 and
PK1-East plotted curves parallel to each other, with PK3 plotting to the left
of PK1-East, indicating a deposit containing a diamond population of smaller
average stone size.
    The size frequency distribution for PK1-West plotted closer to the
smaller size fraction of PK3 and to the coarser size fraction present in
PK1-East. A detailed analysis of shape, colour, stress and fluorescence of the
diamonds present in these kimberlites is being undertaken.
    The cumulative number of stones versus lower critical size plot of the +2
carat diamonds of the Paardeberg East deposits suggests that the prospects for
recovering the complete fraction of larger diamonds during the bulk sampling
process is good.
    The PK1-East average value of US$204 per carat has a high level of
confidence due to the sample size. The diamond sample size of 121.69 carats
for PK1-West was smaller as a result of the lower grades prevalent and some
additional stones may be recovered from this area to supplement and confirm
the data generated to date. Sampling operations at PK3 are continuing. The
independent consultants continue to develop a diamond value model for
Paardeberg East and will update the database as additional data becomes
available from sales and valuations.
    The Paardeberg East geological sampling plant comprises a 50 tph Bateman
DMS Module. The front end, with primary crushing (to -55mm), secondary
re-crush (to -18mm) and tertiary re-crush (to-13mm) circuits, has a 37 tph
capacity. DMS feed is screened at 25 mm. The final recovery consists of two
Flow Sort X-Ray Machines, an attritioner, two Bateman GB 800 grease belts and
a "hands-off" final recovery.
    The diamond analysis data, independent diamond valuations and prices
received on the open tender conducted by the Company will be used to underpin
the economic metrics for the conceptual study on the PK1 kimberlite pipe at
Paardeberg East.
    Both the Paardeberg East and Silverstreams bulk sampling plants have been
configured for exploration purposes but can be utilized in a production
capacity should a decision be taken to do so. Both sampling plants have been
equipped with weightometers in order to make accurate measurements of tonnages
treated. Both plants have been configured to optimize recoveries from the
unique size frequency curves of each deposit.
    The services of an independent diamond consultant, Mr. Ramon Ferraris of
QTS-Kristal Dinamika of Kimberley, South Africa were retained to audit the
bulk sampling plants, bulk sampling process and diamond analysis on the
Paardeberg East and Silverstreams sites. The tender was overseen by Mr.
Ferraris and an additional independent diamond consultant to the Company, Mr.
Maurice Barker.
    Commenting on the process, Company President Dr. Mike de Wit said: "The
ability of the Company to conduct its own bulk sampling programs to determine
grade, size frequency distribution and diamond value is critical to the
ongoing exploration process of identifying economically viable diamond
deposits. The Paardeberg East plant will be used to sample potentially
diamondiferous kimberlite targets of interest to the Company in the region.
The Silverstreams bulk sampling/trial mining facility will be applied in
identifying promising alluvial opportunities along the Middle Orange River
area."
    Commenting on the prices received on the tender, Theo Botoulas, Company
CEO, said: "The prices achieved at both Paardeberg East and Silverstreams are
very encouraging and much higher than expected. These valuations will be used
in the conceptual study at the PK1 pipe at Paardeberg East and the evaluation
of the Silverstreams project. Our goal is to achieve sustainable sales from
economically viable deposits by creating a foundation of sound technical and
economic data."
    Additional information with respect to the Paardeburg East and
Silverstreams projects is contained in the technical report prepared by Venmyn
Rand (Pty) Limited, dated July 31, 2007 and entitled "National Instrument
43-101 Technical Report Prepared on the Mineral Assets of Diamond Core
Resources Limited in the Northern Cape and Free State Provinces, South
Africa." A copy of this report can be obtained from SEDAR at www.sedar.com.

    Kimberley Process: Chain of Custody and Diamond Control

    Mr. Ferraris, working in conjunction with the Company's security
officials, was mandated to design a Chain of Custody process for Company
diamond production and develop an effective diamond control process. This
process has been constructed to comply with international best practice and
the requirements of the Kimberley Process. Mr. Ferraris is responsible for
auditing this process and providing technical expertise with regards to the
diamond product. He has 30 years experience in the rough diamond industry,
including working for both De Beers and RTZ.
    Dr. Mike de Wit, President of the Company, is the "qualified person" (as
such term is defined in National Instrument 43-101) who supervised the
preparation of and is responsible for the technical information in this press
release.

    BRC DiamondCore Ltd. is an African-focused diamond explorer active in
South Africa and the Democratic Republic of the Congo (the "DRC"). Led by a
management team with extensive experience in diamond exploration and mine
development, the Company has a broad spectrum of projects ranging from
advanced stage trial mining operations through grass-roots exploration. The
Company's projects comprise both prospective alluvial gravels and primary
kimberlite targets. The Company works in a systematic and responsible manner
to discover, assess and develop diamond resources for the benefit of its
shareholders and local stakeholders.

    This press release contains forward-looking statements. All statements,
other than statements of historical fact, that address activities, events or
developments that the Company believes, expects or anticipates will or may
occur in the future (including, without limitation, statements relating to
diamond prices, future diamond sales, future production, exploration results,
potential mineralization and the Company's plans with respect to the
exploration and development of its properties) are forward-looking statements.
These forward-looking statements reflect the current expectations or beliefs
of the Company based on information currently available to the Company.
Forward-looking statements are subject to a number of risks and uncertainties
that may cause the actual results of the Company to differ materially from
those discussed in the forward-looking statements, and even if such actual
results are realized or substantially realized, there can be no assurance that
they will have the expected consequences to, or effects on the Company.
Factors that could cause actual results or events to differ materially from
current expectations include, among other things, the possibility that future
exploration results will not be consistent with the Company's expectations,
changes in equity markets, changes in diamond markets, foreign currency
fluctuations, political developments in South Africa or the DRC, changes to
regulations affecting the Company's activities, uncertainties relating to the
availability and costs of financing needed in the future, delays in obtaining
or failure to obtain required project approvals, the uncertainties involved in
interpreting geological data and the other risks involved in the diamond
exploration business. Any forward-looking statement speaks only as of the date
on which it is made and, except as may be required by applicable securities
laws, the Company disclaims any intent or obligation to update any
forward-looking statement, whether as a result of new information, future
events or results or otherwise. Although the Company believes that the
assumptions inherent in the forward-looking statements are reasonable,
forward-looking statements are not guarantees of future performance and
accordingly undue reliance should not be put on such statements due to the
inherent uncertainty therein.




For further information:

For further information: please visit our website,
www.brc-diamondcore.com, or contact: In Toronto: Martin D. Jones, Vice
President, Corporate Development, at (416) 366-2221 or 1-800-714-7938; In
Johannesburg: James Duncan, Russell & Associates, at 27 11 880-3924.

Organization Profile

BRC DiamondCore Ltd.

More on this organization


Custom Packages

Browse our custom packages or build your own to meet your unique communications needs.

Start today.

CNW Membership

Fill out a CNW membership form or contact us at 1 (877) 269-7890

Learn about CNW services

Request more information about CNW products and services or call us at 1 (877) 269-7890