Grant,
Here's another article from Mining Magazine on DFI regarding deep-water mining in Namibia. Once again proof of the massive amounts of gem quality diamonds lying on the bottom of the ocean.
Regards,
John
DFI rides diamond wave into millennium
Geologists estimate that up to 3,000 Mct of diamonds lie scattered on ancient, submerged beaches along the southwest African coastline, representing the largest known resource of gem-quality diamonds in the world. With its sights firmly focused on these shores of the Atlantic, Canadian-based Diamond Fields International (DFI) is confident in the potential of its Namibian properties.
Company president and CEO, Daniel Johnson is predicting that the Luderitz concessions, five of eight marine concessions held by the company, will support an operation producing in excess of 500,000 ct/y, recent samples from the Marshall Fork feature identified in the Luderitz concessions yielded an average sample grade of 1,30 ct/m2 – a five fold increase from the previously estimated grade for the entire feature.
We are encouraged by the results that we obtained. They further support DFI's belief that the resource will evolve into an economic mining operation, says an enthusiastic Johnson, who recently sold a parcel of 4,450 carats of diamonds for an average value of US $ 164/carat.
The rich, high-quality diamond deposits contained in the Luderitz concessions are the result of unique geophysical and geological factors. Over the past 100 millions years, water and wind eroded diamond-bearing Kimberlites pipes in southern Africa, releasing billions of carats of diamonds. Streams and rivers, particularly the Orange River, inexorably washed the diamonds from the interior out to sea, where wind, wave action and ocean currents swept them northwards up the coast of what today is Namibian. Only the high-quality gemstones survived the journey.
Marine diamond mining is the fastest growing segment in diamond mining. While more than 70 Mct have been recovered from Namibian beaches during the past 90 years, the retrieval of diamonds from the seafloor has only recently developed into a profitable, specialized $200 million a year industry. Production levels of marine diamonds have increased annually and now surpass 750,000 cy/y – exceeding Namibia's diamond production from land resources.
DFI has compiled production information on properties surrounding its concessions dating back to 1908, when diamonds were first discovered in the sand near the town of Luderitz. In a seven-year period during the ensuing diamond rush, more than 5 Mct of diamonds were produced in the area adjacent to DFI's Luderitz concessions. During a four-month period in the 1960's, Marine Diamond Corp. (acquired by De Beers in 1970) recovered 340,000ct from Hottentots Bay, which lies on the northern boundary of the Luderitz concessions.
Three companies, Namdeb (jointly owned by the Namibian government and De Beers), Namibian Minerals Corp. (Namco) and Ocean Diamond Mining (ODM) currently mine diamonds on a significant scale in Namibian waters. DeBeers Marine under contract to Namdeb, produces close to 500,000 ct/y. Namco, now in its first year of production, is expected to recover approximately 200,000 ct from the western boundary of the DFI property (MM, December 1997, p.337-340). ODM, operating adjacent to DFI's southern boundary since 1996, is increasing its production from 60,000 to 100,000 ct/y.
Sampling results, historical and current production surrounding the concessions – it all supports our belief that the DFI property is the most potentially profitable sea diamond deposit known, says Mr. Johnson. With excellent results achieved in phase 1 of the company's advanced sampling Program, DFI is proceeding with the US$2 million, phase 2, scheduled to start mid –1999.
The company plans to sample the entire Marshall Fork feature to generate a measured resource estimate and gather data for the feasibility study, The De Beers Marine Coral Sea marine vessel, successfully used in phase 1 of the program, will conduct the sampling. The Coral Sea is undergoing modifications so it can work the balance of the Marshall Fork feature, conducting sampling in shallow waters (40-45 m in depth) in addition to the deeper waters (120-180m) in which it normally operates.
In the phase 3 sampling program, DFI will resample features adjacent to ODM's active mining area. The Company anticipates that, similar to the Marshall Fork sampling results, the selected features will yield significantly higher grades than previously estimated. Two other identified, high-potential features are targeted for systematic sampling.
MINING Magazine – May 1999 |
