Botswana Diamonds Reports Promising Drill Results at Frischgewaagt, S. Africa

Mining and Exploration
14/06/2017 13:46

Botswana Diamonds, a junior diamond exploration company focusing on Botswana and South Africa, has recovered 223 microdiamonds from 160kg of kimberlite drill core from the Frischgewaagt Project, located in South Africa. These results were modelled to an estimated grade range of 20 to 270 carats per hundred tons ("cpht") at a bottom cut off of 0.6 mm, with the largest stone being a white transparent crystal diamond falling in the -1.18+0.85 mm sieve. The project is 2 km along strike from the Marsfontein mine, where a payback of capital was achieved in less than four days. A second drill program is scheduled to begin next month.

John Teeling, Chairman commented, "This is an excellent result and shows the potential of Frischgewaagt. We need more drill samples to refine the grade estimate. This will be done in the coming months. Earlier work indicated diamond values of over US$200/ct. The geophysics work which is almost complete and the drilling to follow is targeted to produce an Inferred Resource by the end of the year."

Mining Weekly relates comments by James Campbell, Managing Director of Botswana Diamonds, on diamond exploration: "The only way that Botswana can have a long and continued proud history of diamond mining is to spend money on diamond exploration." He made this plea for diamond exploration investment in response to the comment of Econsult MD Keith Jefferis that Botswana’s diamond mining industry had gone ex growth, and while the country’s diamond sector would not disappear, it would also not grow. “Unless people spend money on diamond exploration, that will be the case, and the one thing that is in short supply at the moment is expenditure on diamond exploration."

Campbell took the opportunity to urge Botswana Chamber of Mines CEO Charles Siwawa and the government to consider implementing Canada’s flow-through scheme to boost exploration funding.He described the tax incentive scheme pioneered by Canada as important in the light of the high risk involved in investing in exploration by companies like Botswana Diamonds. The flow-through share scheme, which entered the Canadian tax code more than a quarter century ago, has generated billions of dollars for mineral exploration by giving people who invest in exploration companies a tax break. “If individuals are incentivised to actually do that, it will grow the overall exploration industry, which will in turn benefit Botswana,” he said.