Hello Will, good to chat with you again.
I took the MPV share total number off my Internet ticker so based on your suggestion, it doesn’t appear to be too accurate. I also took MPV’s 40% figure off the DB’s SnapShot news letter on the assumption they got their data correct.
Regardless, I think we agree on the basic issue, market exuberance is out there to be tapped into on diamond plays given a little effort by management, and one would presume that release of DB’s FS would be the catalyst to allow MPV management to do their job in that regard, assuming that it is so inclined… That of course is another question?
On a separate matter, while the market certainly took notice of Monday’s MTX/CD NR, this thread appeared to give little to no attention except on the subject of the short term opportunity to cash out for the few who were that nimble and confident no additional news would catch them napping.
Those of us who speculate in the Canadian diamond patch rarely have much real or substantive data to rely on and more often than not it seems that we are almost forced to flip our chips onto the table in the hope they’ll land on the one number in thirty eight that comes up.
In that regard, I think there is data and information in that MTX/CD NR that provides better than average reason not to get caught napping looking for the bottom, and of course that ignores the other terrific plays both companies have elsewhere producing what I strongly suspect will be exciting news throughout the year.
I’ve highlighted a few items in Monday’s NR that give me reason for the first time to get excited about a Greenland diamond play, and while it is of course very little information to go on, that is the nature of the speculative game. In that regard, for me, the critical factor is the reputation of the individual attributed as the source of the information and in this case that very much tips the scales towards taking and maintaining a large position.
Chuck knows what he’s talking about, isn’t inclined to blow his horn and has proven how to focus on ground producing high quality data and of course how to find homeruns.
***
News release via Canada NewsWire, Vancouver 604 604-669-7764
Attention Business Editors:
Metalex discovers outstanding diamond indicator minerals in Greenland Metalex Ventures Ltd ("MTX" TSX.V")
KELOWNA, BC, March 14 /CNW/ - Metalex Ventures Ltd ("Metalex" or the "Company") is pleased to report it has two samples, collected 430 metres apart, that contain exceptional concentrations of fresh diamond indicator minerals in glacial till at its West Greenland Project.
The numbers of diamond and kimberlite indicator minerals recovered from the samples are summarized below:
Sample 1 Sample 2
Weight (kg) 7.4 11.0
G10 garnets 83 342
Group 1 eclogitic garnets 1 1
Titanium chromite 9 6
Chrome diopside 83 4
Diamond inclusion olivine 12 4
Picrolimenite 276 341
The G10 garnets from both samples plot in the same part of the Cr(2)O(3) - CaO diamond stability field as some G10 garnets that occur as inclusions within diamonds at the Finsch, Bultfontein, Roberts Victor, Dokolowayo, Koffiefontein, Mwadui, New Elands, Premier and Orapa mines in Africa as well as from G10 garnets from commercial diamond deposits in Russia, Venezuela, Namibia and Sable (Ekati) Canada. Most of the G10 garnets are enclosed, or partially enclosed, in friable kelyphite alteration rims or have angular broken near-source textures.
About 110 picroilmenite microprobe analyses from each sample indicate that the two samples are likely derived from the same kimberlite source and that conditions within this source allowed good preservation of any contained diamonds.
The near source surface textures and distribution of anomalous kimberlite indicator count samples, along with low indicator samples up ice, suggest that the source of the diamond indicator minerals lies within, or at the edge, of a large ice covered lake on a Metalex claim.
Fieldwork, aimed at discovering the kimberlite source of these diamond indicator minerals will start next week by drilling and ground geophysical (magnetics, electromagnetics, gravity) surveys. This work will be managed by geologist Chad Ulansky and it is expected that the work will be completed before the ice melts in May, 2005.
Metalex has a 100% interest in the Greenland claims but Cantex Mine Development Corp has the right to acquire a 25% contributing interest in the claims by payment of $120,000 to Metalex between January 1, 2008 and January 20, 2008. Metalex has granted Kel-Ex Development Ltd, a private company owned by Dr Charles Fipke, a 10% net carried interest in return for operating the project and providing technical expertise.
Metalex is most encouraged by the results of the Greenland samples. In fact geologist Charles Fipke observes that no previous exploration sample seen by him, including more than nine thousand from the Ekati claim block, has produced as many high quality (Cr(2)O(3)/CaO ratio) G10 garnets as either of the two Greenland samples.
Charles Fipke
Chairman, Geologist and Director
***
So from a speculative standpoint, I thought it potentially significant that CF put the NR out and not PG as is usual. Source integrity and expertise is extremely high as compared to almost every other play out there. Secondly, I don’t have to worry about the kimberlite source of those IM’s being anything but exceptional in its potential. Thirdly, the source appears to be the “large” lake, which means we have a potentially “large” kimberlite, which is very much the exception in the NWT. Fourthly, we know kimberlites occur in clusters so there are probably more like that on the property.
Loose ends? Firstly, a) how large is the lake (bigger than 430m), and b) how far from the lake were the samples taken (is the source 430m wide or narrower), and c) do we have another Greenland dike… or a pipe?
Obviously, Snap Lake aside, if the kimberlite is in the lake, there is a significantly higher likelihood that the source is a pipe, which if in the 300m to 400m diameter range, would be the basis for a very attractive play given that IM chemistry.
Finally, the MC’s on MTX and CD are still quite low in comparison to their pier group and as we’ve seen this week, it takes very little to move these two plays to reflect significant percentage gains.
Will, as grass roots speculations go, these two are amongst the best out there and while I don’t expect you to make anything other than your usual arms length observations, you must admit, the quality of MTX/CD data is miles above what is usually available from the field out there.
Best regards
Vaughn |
