Exploration camps open
Drilling to commence week of February 23, 2014
59 additional leases and claims acquired
Shares Issued and Outstanding: 22,857,675
TORONTO, Feb. 17, 2014 /CNW/ - Kennady Diamonds Inc. ("Kennady
Diamonds", the "Company") (TSX-V: KDI) today announced that the two
exploration camps at Kennady North (Bob Camp and Kelvin Camp) opened on
February 7, 2014, with geophysics crews mobilized to site shortly
afterwards. A range of geophysics programs, including
ground-penetrating radar and Ohmmapper, are currently underway at both
the Kelvin and Faraday kimberlites aimed at better defining the extent
of the kimberlite emplacement prior to the start of the 2014 drill
program. The geophysics crews will move to new kimberlite targets as
soon as the Kelvin/Faraday geophysics program is completed. All the
planned geophysics is expected to be completed by mid-March.
Mobilization of drill rigs, fuel and equipment on the seasonal ice road
is underway and expected to be completed before the end of February.
The planned plus 10,000 meter drill program is expected to commence
next week and will focus initially on delineating the outer limits of
the main Kelvin kimberlite, following which larger diameter drilling to
recover the planned 25 to 30 tonne Kelvin mini-bulk sample will
commence. Delineation and infill drilling is also planned for the
Faraday kimberlite. New kimberlite targets within and outside the
Kelvin - Faraday kimberlite corridor will also be drill-tested. Regular
updates on the drilling will be provided as soon as the results become
Kennady Diamonds is also pleased to announce that the Company has
acquired 100-percent control over an additional 59 leases and claims to
the west and south of the Kennady North project, thereby increasing the
Company's diamond exploration land position in the Kennady district to
approximately 61,000 hectares. Two diamond-bearing kimberlites, the
Doyle kimberlite and MZ kimberlite, are located within the newly
acquired exploration ground, which also hosts numerous untested
The Doyle kimberlite, located to the south-west of both the Kelvin -
Faraday kimberlite corridor and the Gahcho Kué diamond mine (currently
under development by De Beers and Mountain Province Diamonds) was first
discovered in 1996. Past drilling defined an approx. 2 meter wide
kimberlite striking at least 2 kilometers from south-west to north-east
and down dip between 5 to 17 degrees to the north-west over a distance
of approx. 1 kilometer. Initial testing of the Doyle kimberlite in only
one location returned a modest sample grade, however the opportunity
exists for more comprehensive exploration using techniques that aided
in the discovery of the northwest lobe of the Kelvin kimberlite.
The MZ kimberlite is located to the west of the Kelvin - Faraday
kimberlite corridor and was discovered in 2001. Past drilling has
defined a kimberlite system trending over 1 kilometer and ranging in
widths up to 3.2 meters. Previous wide-spaced drilling of the MZ
kimberlite returned a high frequency of microdiamonds; in one case 28
microdiamonds from a 5 kilogram sample, and in the second case 9
microdiamonds from a 4 kilogram sample.
A comprehensive review of past exploration in the vicinity of the Doyle
and MZ kimberlites is nearing completion and will aid in planning for
the 2014 exploration program, which will start with the same geophysics
being conducted at the Kelvin - Faraday kimberlite corridor. Depending
on the results of the geophysics program, drilling of new targets at
the Doyle and MZ kimberlites may commence this year.
Commenting, Kennady Diamonds CEO, Patrick Evans, said: "Our priority
remains to define a diamond resource at the Kelvin - Faraday kimberlite
corridor of between 5 and 8 million tonnes grading at least 2 carats
per tonne. Advancements in diamond exploration techniques over the past
decade open the potential for further kimberlite discoveries. To secure
the Company's position we have acquired control over 59 additional
leases and claims in the prolific Kennady diamond district, which will
be the focus of an expanded exploration program this year".
A map detailing the Company's expanded exploration position in the
Kennady district will be posted on the Company's website.
About Kennady Diamonds
Kennady Diamonds Inc. controls 100 percent of the Kennady North diamond
project located immediately to the north, west and south of the Gahcho
Kué diamond mine currently under development by De Beers and Mountain
Kennady Diamonds aims to identify a resource along the Kelvin - Faraday
kimberlite corridor of between a 5 and 8 million tonnes and also to
identify new kimberlites outside of the corridor. This tonnage estimate
is based on the drilling completed to date. The potential quantity is
conceptual in nature as there has been insufficient drilling to define
a mineral resource and it is uncertain if further exploration will
result in the target being delineated as a mineral resource.
An 8,500 meter drill program conducted in 2013 returned exceptional
sample grades. A 4.3 tonne sample from the Kelvin kimberlite retuned a
grade of 5.38 carats per tonne. A smaller 116 kg sample from the
Faraday kimberlite returned a sample grade of 11.23 carats per tonne.
The three largest diamonds recovered from the Kelvin kimberlite were a
2.48 carat off-white transparent octahedral, 1.06 carat off-white
broken aggregate and a 0.90 carat off-white transparent irregular. The
recovery of diamonds of this size and quality from a 4.3 tonne sample
is very encouraging.
This news release has been prepared under the supervision of Carl G.
Verley, P.Geo., who serves as the qualified person under National
Neither the TSX Venture Exchange nor its Regulation Services Provider
(as that term is defined in the policies of the TSX Venture Exchange)
has reviewed or accepts responsibility for the adequacy or accuracy of
FORWARD LOOKING INFORMATION
This news release includes certain information that may constitute
"forward-looking information" under applicable Canadian securities
legislation. Forward-looking information includes, but is not limited
to, the Company's strategic plans, future operations, future work
programs and objectives. Forward-looking information is necessarily
based upon a number of estimates and assumptions that, while considered
reasonable, are subject to known and unknown risks, uncertainties, and
other factors which may cause the actual results and future events to
differ materially from those expressed or implied by such
forward-looking information. There can be no assurance that such
information will prove to be accurate, as actual results and future
events could differ materially from those anticipated in such
information. Accordingly, readers should not place undue reliance on
forward-looking information. All forward-looking information contained
in this press release is given as of the date hereof and is based upon
the opinions and estimates of management and information available to
management as at the date hereof. The Company disclaims any intention
or obligation to update or revise any forward-looking information,
whether as a result of new information, future events or otherwise,
except as required by law.
SOURCE: Kennady Diamonds Inc.
For further information:
Kennady Diamonds Inc.
Patrick Evans, President and CEO