Star Diamond Corp.: Geotechnical Drilling Program Underway on Orion North Kimberlite to Assess Future Open Pit Design
SASKATOON, Saskatchewan, January 19, 2021 – Star Diamond Corporation (“Star Diamond” or the “Corporation”) today announced that Rio Tinto Exploration Canada Inc. (“Rio Tinto Canada”) commenced an eight hole geotechnical drilling program on and in proximity to the Orion North Kimberlite in early January 2021.
Star Diamond understands that Earth Drilling Co. Ltd of Regina Saskatchewan was contracted to drill an eight-hole program at four locations, with two holes at each location. The drill rigs being utilized are capable of sonic drilling to obtain representative samples of the glacial overburden and core drilling for the underlying kimberlite or host rock sediments. These rigs can sample to a depth of 220 metres below surface. Two of the drilling locations are situated over the Orion North kimberlite and two drilling locations are just to the south of the Orion North kimberlite. Star Diamond has been advised that the aim of this drilling is to investigate the geotechnical properties of the overburden, kimberlite and host rock sediments., with this information to be used for future open pit design. Parts of the Orion North Kimberlite have shallower overburden (of approximately 95 metres) than both the Star and Orion South Kimberlite.
About Star Diamond Corporation
Star Diamond Corporation is a Canadian based corporation engaged in the acquisition, exploration and development of mineral properties. Shares of the Corporation trade on the Toronto Stock Exchange under the trading symbol “DIAM”. The Corporation’s Fort à la Corne kimberlites (including the Star – Orion South Diamond Project) are located in central Saskatchewan in close proximity to established infrastructure, including paved highways and the electrical power grid, which provide significant advantages for future mine development. During 2018, the Corporation announced the positive results of an independent Preliminary Economic Analysis (the “PEA”) on the Project. The PEA estimated that 66 million carats of diamonds could be recovered in a surface mine over a 38-year Project life, with a Net Present Value (“NPV”) (7%) of $2.0 billion after tax, an Internal Rate of Return (“IRR”) of 19% and an after-tax payback period of 3.4 years after the commencement of diamond production (see news release dated April 16, 2018).
All technical information in this press release has been prepared under the supervision of George Read, Senior Technical Advisor, a registered Professional Geoscientist in the Provinces of Saskatchewan and British Columbia and Mark Shimell, Project Manager, a registered Professional Geoscientist in the Province of Saskatchewan, who are the Corporation’s “Qualified Persons” under the definition of NI 43-101.
For further information: [email protected] or (306) 664-2202