Star Diamond Project: Final phase 3 diamond results - 9.14, 8.58, 8.47 and 7.45 carat diamonds in 350.10 carat parcel

    Stock Symbol: SGF: TSX

    SASKATOON, Oct. 4 /CNW/ - George H. Read, P. Geo., Senior Vice President
Exploration and Development, is pleased to announce the eighth and final set
of diamond results from Phase 3 of the underground bulk sampling of the Star
Kimberlite (Phase 1 being the original 25,000 tonne bulk sample and Phase 2
being the 18,000 tonne bulk sample). The diamond recoveries total
350.10 carats from 2,862 dry tonnes of kimberlite processed. Included in this
release are results for 12 kimberlite batches of a total of 87 kimberlite
batches that were processed as part of the Phase 3 bulk sampling program. A
total of 2,078 commercial sized diamonds (greater than 1.18 millimetre square
mesh screen), collectively weighing 349.07 carats, has been recovered from
these 12 batches. Fifty-two diamonds greater than one carat have been
recovered and the four largest stones are: 9.14, 8.58, 8.47 and 7.45 carats,
respectively. In addition, 77 diamonds totaling 1.03 carats were recovered
down to 0.85 millimetre square mesh. The colour of 56.2 percent of the
diamonds has been classified as white, with a further 21.2 percent classified
as off-white.
    These batches were recovered from the Early Joli Fou (EJF) (Batches 179B,
180 and 184) and Cantuar (Batches 179A, 233A, 233B, 234A, 234B, 235 and 236)
Kimberlites, as well as some Clean up samples (Batches 226 and 237). The EJF
and three Cantuar batches were recovered from underground bulk sampling within
Shore's 100 percent owned Star Diamond Project while the remaining three
Cantuar batches were recovered to the southwest of the shaft within Star West,
which forms part of the Fort a la Corne Joint Venture (Shore 60%, Newmont
40%). The low grade (2.81 cpht) of Cantuar Batch 179A results from significant
localized (80 percent) mudstone dilution. The Clean up samples were collected
from surface kimberlite stockpile areas. Kimberlite processed and diamond
results for the 12 sample batches are listed in the tables below. Grades are
expressed in carats per hundred tonnes (cpht).

    TABLE 1. EJF Kimberlite

    Batch     Location         Dry    Number of    Total    Grade    Largest
    No.                      Tonnes     Stones   (carats)   (cpht)    Stone
    179B   SOUTH 9D           159.82       174     29.25     18.30      2.61
    180    NORTH 6C            30.17        30      4.63     15.35      1.21
    184    NORTH 4 SLASH       60.32        40      4.27      7.08      0.55
    TOTAL                     250.31       244     38.15     15.24

    TABLE 2. Cantuar Kimberlite

    Batch     Location         Dry    Number of    Total    Grade    Largest
    No.                      Tonnes     Stones   (carats)   (cpht)    Stone
    179A   SOUTH 9D            94.93        35      2.67      2.81      0.52
    233B   SOUTH 9I            99.49        64      7.28      7.32      1.80
    234B   SOUTH 9G            59.28        29      7.94     13.39      3.40
    233A   SOUTH 9I
          (Star West FALC-JV) 215.96       222     31.28     14.48      3.47
    234A   SOUTH 9G
          (Star West FALC-JV) 303.37       150     26.95      8.88      3.40
    235    SOUTH 9J
          (Star West FALC-JV) 344.83       288     49.01     14.21      3.57
    236    SOUTH 9H
          (Star West FALC-JV) 356.36       282     81.74     22.94      9.14
    TOTAL                   1,474.22     1,070    206.87     14.03

    TABLE 3. Clean Up Batches

    Batch     Location         Dry    Number of    Total    Grade    Largest
    No.                      Tonnes     Stones   (carats)   (cpht)    Stone
    226    Clean Up           343.25       184     21.41      6.24      2.49
    237    Clean Up           794.24       657     83.67     10.53      4.68
    TOTAL                   1,137.49       841    105.08      9.24

    The four largest stones are: 9.14, 8.58, 8.47 and 7.45 carats
respectively. Twenty-five diamonds exceed two carats and 52 diamonds exceed
one carat, of which 22 are white, 17 are off-white, 10 are grey, 2 are brown,
and one is yellow. A total of 127 diamonds exceed 0.5 carats.
Fifty-six percent of this diamond parcel is classified white in colour, with a
further 21.2 percent classified as off-white. 99.7 percent of the carat weight
of this parcel occurs in diamonds greater than 1.18 millimetre square mesh.
    Senior Vice President Exploration and Development, George Read, states:
"These results are the final batches of kimberlite to be processed for the
Star underground bulk sample. A total of 68,810 tonnes of kimberlite has been
recovered and processed as the underground bulk sample of the Star Kimberlite.
This processed kimberlite has produced 80,639 diamonds (+0.85 millimetre)
weighing a total of 10,586 carats. The underground bulk sampling of Star has
proved to be a most successful exercise that has provided the Company with
representative diamond grade and price statistics for the various kimberlite
lithologies that make up the Star Kimberlite. The diamond valuation of the
total underground bulk sample from Star is currently underway and the results
will be reported as soon as they become available. All large diameter drilling
(LDD) in the Star Kimberlite is expected to be complete by the end of the year
and will be incorporated with the underground bulk sample and core drilling
information into a NI 43-101 Mineral Resource estimate expected to be released
by the end of the first quarter 2008."
    The diamond recovery procedure includes on-site processing of kimberlite
through the modular Dense Media Separator (DMS), after which DMS concentrates
are batch fed through an X-ray Flow-sort. In order to ensure the recovery of
low luminosity diamonds, the Flow-sort tailings are processed over a grease
table. Flow-sort and grease table concentrates are transported by a secure
carrier to SGS Lakefield Research for final diamond recovery. The SGS
Lakefield Research process includes drying, screening, magnetic separation,
manual sorting and diamond weighing and description. SGS Lakefield Research is
accredited to the ISO/IEC 17025 standard by the Standards Council of Canada as
a testing laboratory for specific tests.
    Senior Vice President Exploration and Development, George Read,
Professional Geoscientist in the Provinces of Saskatchewan and British
Columbia, is the Qualified Person responsible for the verification and quality
assurance of analytical results. Shore is a Canadian based corporation engaged
in the acquisition, exploration and development of mineral properties. Shares
of the Company trade on the TSX Exchange under the trading symbol "SGF".

    Caution Regarding Forward-Looking Statements

    From time to time, Shore makes written or oral forward-looking statements
within the meaning of certain securities laws, including the "safe harbour"
provisions of the Ontario Securities Act and the United States Private
Securities Litigation Reform Act of 1995. Shore may make such statements in
this press release, in other filings with Canadian regulators or the United
States Securities and Exchange Commission, in reports to shareholders or in
other communications. These forward-looking statements include, among others,
statements with respect to Shore's objectives for the ensuing year, our medium
and long-term goals, and strategies to achieve those objectives and goals, as
well as statements with respect to our beliefs, plans, objectives,
expectations, anticipations, estimates and intentions. The words "may,"
"could," "should," "would," "suspect," "outlook," "believe," "plan,"
"anticipate," "estimate," "expect," "intend," and words and expressions of
similar import are intended to identify forward-looking statements. In
particular, statements regarding Shore's future operations, future exploration
and development activities or other development plans contain forward-looking
    All forward-looking statements and information are based on Shore's
current beliefs as well as assumptions made by and information currently
available to Shore concerning anticipated financial performance, business
prospects, strategies, regulatory developments, development plans,
exploration, development and mining activities and commitments. Although
management considers these assumptions to be reasonable based on information
currently available to it, they may prove to be incorrect.
    By their very nature, forward-looking statements involve inherent risks
and uncertainties, both general and specific, and risks exist that
predictions, forecasts, projections and other forward-looking statements will
not be achieved. We caution readers not to place undue reliance on these
statements as a number of important factors could cause the actual results to
differ materially from the beliefs, plans, objectives, expectations,
anticipations, estimates and intentions expressed in such forward-looking
statements. These factors include, but are not limited to, developments in
world diamond markets, changes in diamond valuations, risks relating to
fluctuations in the Canadian dollar and other currencies relative to the US
dollar, changes in exploration, development or mining plans due to exploration
results and changing budget priorities of Shore or its joint venture partners;
the effects of competition in the markets in which Shore operates; the impact
of changes in the laws and regulations regulating mining exploration and
development; judicial or regulatory judgments and legal proceedings;
operational and infrastructure risks and the additional risks described in
Shore's most recently filed Annual Information Form, annual and interim MD&A
and short form prospectus, and Shore's anticipation of and success in managing
the foregoing risks.
    Shore cautions that the foregoing list of factors that may affect future
results is not exhaustive. When relying on our forward-looking statements to
make decisions with respect to Shore, investors and others should carefully
consider the foregoing factors and other uncertainties and potential events.
Shore does not undertake to update any forward-looking statement, whether
written or oral, that may be made from time to time by Shore or on our behalf.

For further information:

For further information: Adam Buchanan, Manager, Investor and Community
Relations at (306) 667-3503

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