More details today, rec'd via email (sans the notorious Stockwatch editing):
MONTELLO RESOURCES LTD.*Suite 1473, Three Bentall Centre*595 Burrard
Street*Vancouver, British Columbia V7X 1C4 Tel: (604) 689-1799 Toll Free:
1-800-268-2636*Fax: (604) 689-8199*Website: www.montello.com*E-mail:
ppower@montello.com ASE SYMBOL: MEO.Y*U.S. 12g # 82-1812
REDWOOD RESOURCES LTD.*36 4701 Pleasant Valley Road*Vernon, British
Columbia*V1T 4M7 Tel: (250) 545-9186*Fax: (250) 545-9187 ASE SYMBOL: RDW.Y
November 12, 1998
PHOENIX KIMBERLITE DIAMONDIFEROUS.
TWO NEW KIMBERLITE PIPES DISCOVERED.
Montello Resources Ltd. (“Montello”) and Redwood Resources Ltd. (“Redwood”)
are pleased to announce that they have received the following report from
Kennecott
Canada Exploration Inc. (“Kennecott”) today. The following is a verbatim copy
of that report made by Mr. Buddy Doyle, Exploration Manager North American
Diamonds:
“Kennecott is pleased to deliver the following update of the work in progress
on the Legend property in NE Alberta. Results have been received from the
caustic fusion of the Phoenix kimberlite. The caustic fusion process recovers
diamonds greater than 0.15mm (150 microns). Five diamonds were recovered from
380kg of drill core. Two of the diamonds were macros with at least one
dimension greater than 0.5mm, however none remain in a 0.5mm square sieve.
These results are encouraging as they demonstrate that diamonds are present in
the lithosphere beneath the Legend kimberlite field. For comparison, consider
the Ashton/AEC/Pure Gold Buffalo Hills kimberlite field some 70km to the South
West (information based on news releases). There, 23 kimberlites have been
discovered. Diamonds are reported from 70% of these, 40% have fewer diamonds
than Phoenix. Generally less than 10% of the kimberlites in a diamondiferous
field have enough diamonds to deserve further study. Phoenix has proven that
this new kimberlite field is mineralised. No further work is planned at Phoenix
at present. The current plan is to identify through drilling as many separate
kimberlites as possible. This will enhance our chances of intercepting an
economic kimberlite.
Since the last report, two new kimberlites have been discovered, Valkyrie and
Pegasus. Table 1 below summarises the discoveries to date.
Table 1
1=Target 2=Depth to Kimberlite (metres) 3=End of Hole -- All terminated while
still in kimberlite (metres) 4=Chemistry 5=Diamonds
1=Phoenix 2=102.5 3=225.9 4=Olivine, Ilmenite 5=Yes 5/380kg
1=Roc 2=120.42 3=177.1 4=" " 5=Results Awaited (1998)
1=Dragon 2=121.9 3=193.9 4=" " plus Cpx 5=Results Awaited (1998)
1=Wyvern 2=NA 3=NA 4=NA 5=NA
1=Valkyrie 2=129.2 3=201 4=Results awaited 5=Results Awaited (1999)
1=Pegasus 2=83.0 3=In Progress 4=As above 5=As Above
1=Xena 2=To Be Drilled 4=NA 5=NA
1=Legend 2=To Be Drilled 4=NA 5=NA
Table 1 also shows the remaining targets to be drilled in 1998 (Legend and
Xena). The onset of winter conditions, and the reduced daylight hours have
added up to a decision to drill fewer targets in 1998. Drilling will recommence
in early 1999 with ground support instead of helicopter support. This will be
less expensive and safer. The Wyvern target was the only miss so far in the
current drilling program. This anomaly is probably explained by magnetite in
the overburden.
Other exploration activities have been ongoing. Highsense was contracted to
complete 745 line km of airborne magnetics over 14 anomalies. In total 63.9
line km of ground magnetics were completed.”
ON BEHALF OF THE BOARD OF DIRECTORS
MONTELLO RESOURCES LTD.
Per: PATRICK POWER, President
REDWOOD RESOURCES LTD.
Per: GARY KORZENOWSKI, President
The Alberta Stock Exchange has neither approved nor disapproved the
information contained herein.
MONTELLO RESOURCES LTD.
Suite 1473 - 595 Burrard Street
P.O. Box 49057 - Three Bentall Centre
Vancouver, B.C. Canada
V7X 1C4
Tel: (604) 689-1799
Fax: (604) 689-8199
Toll Free: 1-800-268-2636
E-mail: ppower@montello.com
Website: montello.com |
