TORONTO, Dec. 5 /CNW/ - BRC Diamond Corporation ("BRC" or the "Company")
(TSX.V - "BRC") is pleased to report on the progress of current exploration
activities at its Kwango River, Tshikapa, Lubao and Northern Areas diamond
projects in the Democratic Republic of the Congo (the "DRC").
Kwango River Project
This alluvial project consists of eight exploration permits ("PRs")
covering approximately 160 kilometres of the Kwango River, and representing an
area of 2,398 square kilometres.
During the year, the Company compiled a five meter contour map of the
entire Kwango Valley from a combination of airborne photography and Shuttle
Radar Topography Mission data with the objective of mapping out the alluvial
targets in more detail and identifying additional gravel terraces. Twenty-two
gravel targets, mainly in the form of river terraces and valley flats and
covering a surface area of 150 square kilometres, were identified and mapped
against the Company's PRs. Geological investigation of these targets continued
through 2007, during which 603 pits were dug, totalling 5,008 metres, and
104 holes were drilled to a cumulative depth of 2,283 metres. The 12 most
prospective targets were covered by this first pass prospecting program. The
remaining 10 alluvial targets will be investigated in 2008 by reconnaissance
drilling and pitting.
This work was focused primarily on the northerly PRs where the Kwango
River flows into a narrow channel. The cumulative gravel volume from the 12
targets is estimated to be around 4.1 million cubic metres or approximately
8.6 million tons. The Company has designed a geological sampling plant with a
20 tonne-per-hour (tph) primary grizzly/scrubbing unit, a 5 tph Dense Media
Separation Plant and an X-ray final recovery unit to treat bulk samples from
the 12 targets outlined to date. The plant is expected to be commissioned in
the first quarter of 2008.
The Tshikapa project, covering 8,763 square kilometres in
Kasai-Occidental province, is located within the prospective Kimberlite
Emplacement Corridor which extends northward from Angola. The Company
currently believes that the Tshikapa area holds the most promise for finding
primary diamond sources. This area is well known for its alluvial mines which
have produced well over 60 million carats of mainly gem quality diamonds.
Kimberlites have yet to be found in the region.
During the year, the Company collected 303 prospecting samples and
completed a 32,000 line kilometre airborne geophysical survey. The resulting
data has produced several promising magnetic targets. Artisanal workings close
to some of these targets not only produce alluvial diamonds but also have
abundant garnets and ilmenites with fresh surface textures associated with
them suggesting that these grains are proximal to their source(s).
The Company has generated 44 targets for further follow up. A recently
acquired helicopter portable diamond drill rig will be used to drill and
assess the nature of these targets.
This kimberlite project consists of 20 PRs covering an area of
7,317 square kilometres in Kasai-Orientale province, historically the largest
diamond producing region in the DRC.
In 2007, BRC completed a reconnaissance stream sampling program,
collecting 817 samples, and commissioned a reconnaissance airborne geophysics
survey of 8,792 line kilometres over areas that had produced positive samples.
These programs were followed up by close interval stream sampling (198 follow
up samples) and detailed airborne geophysical surveys (16 blocks; 538 line
kilometres). As a result of this work, 16 targets have so far been identified
for further assessment. The Company believes that the presence of indicator
minerals and alluvial diamonds in the vicinity of the targets, and away from
the main drainage, make these targets of exceptional interest. Drilling is
scheduled to commence in the second quarter of 2008.
Northern Areas Projects
The Company recently began reconnaissance stream sampling of its PRs in
Equateur Province in the north of the DRC. Some 80 stream samples have been
collected to date and it is expected that 1,500 square kilometres will be
covered by year-end. The Company anticipates that this program will continue
through 2008 and into 2009.
Commenting on the Company's exploration progress in 2007, BRC President
and Chief Executive Officer, Dr. Mike de Wit, said: "We are extremely
encouraged by the results achieved at our projects to date and look forward to
following up with aggressive exploration and development programs in 2008. In
addition, the Company continues to identify and assess the exploration
potential of additional properties in the DRC for possible acquisition."
Dr. de Wit 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 is a Canadian-based diamond exploration company active principally in
the DRC. Led by a management team with extensive experience in the DRC, the
Company is active in some of the most prospective diamond regions of the
country. Banro Corporation, the Company's largest shareholder with a 27.5%
interest in BRC, is a mineral exploration company focused exclusively on the
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
exploration results, potential mineralization and the Company's plans with
respect to the exploration of its DRC 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 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.
The TSX Venture Exchange does not accept responsibility for the adequacy
or accuracy of this press release.
For further information:
For further information: Mike de Wit, President and C.E.O., Arnold T.
Kondrat, Executive Vice President, or Martin D. Jones, Vice President,
Corporate Development, at (416) 366-2221 or 1-800-714-7938