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Gold/Mining/Energy : Mountain Lake Resources Ltd ( MOA) VSE -- Ignore unavailable to you. Want to Upgrade?

To: Peter Bourgeois who wrote (228)	4/14/1998 1:45:00 PM
From: Peter H.	Read Replies (1) \| Respond to of 598

Expert likes MOA's diamonds.... POSITIVE REVIEW COMPLETED ON NOBLE PEAK'S SOUTH AFRICAN DIAMOND PROPERTIES TORONTO, April 14 /CNW/ - Noble Peak Resources Ltd. has received an independent report completed by Dr. T.R. Marshall of Explorations Unlimited, Johannesburg, Republic of South Africa. This independent review covers the Nooitgedacht Diamond Project, which is one of two groups of properties that were optioned from Mountain Lake Resources Inc. (''Mountain''). Dr. Marshall is recognized as one of the leading experts in alluvial diamond exploration in South Africa. She possesses over 15 years of industry experience, and has authored several technical papers on alluvial diamond deposits in the North West Province. The Nooitgedacht project is situated in the Ventersdorp Diamond District, North West Province, R.S.A. Through an agreement with Mountain, Noble Peak has the option to acquire a 50 percent equity interest in two groups of diamond properties held by Mountain by completing a drilling and bulk sampling program on the Nooitgedacht property. Total cost of the program is estimated at CDN $ 1.0 million. Dr. Marshall has indicated that the ''Ventersdorp alluvial diamond field (North West Province) is one of the more unexplored and unexploited areas in South Africa. Almost all of the historical mining has been done on either an artisanal scale (pre-1950's) or by small-scale independent diggers. In the past, large-scale exploitation of the diamondiferous gravel deposits has been made almost impossible due to the complicated mineral rights policies. Changes in these policies (both current and future) have forced many of the local landowners to negotiate more realistically with mining companies, which will have a significant impact on mining in these areas.'' Dr. Marshall's review of the Nooitgedacht project included a detailed review of the past exploration work completed on the property by Newmont Mining (SA) Ltd., Southern Cross Ventures Limited, Mountain, and Ashton Mining Ltd. ''The properties that Noble Peak Resources has access to (via a Joint Venture with Mountain Lake) are well situated within the Ventersdorp alluvial field. Recent, reliable exploration by Mountain Ash (Mountain Lake - Ashton Mining Joint Venture) has indicated a gravel resource in excess of 14 million tonnes. At an average expected recovery grade of 1.6 carats per 100 tonnes (cpht), the three properties that comprise the Nooitgedacht project are estimated to contain some 235,000 carats of diamonds. A mini bulk-sample of 6,000 tonnes completed in 1994 recovered 99.71 carats (1.66 cpht) at an average value of US$ 493/ct, thus confirming the potential of the gravels on these properties to be mined economically.'' Dr. Marshall presented the following conclusions: ''1. From an investigation comprising a visit to the project properties and an evaluation of the existing Mountain data, it is apparent that the project is a viable one. There are sufficient reasons for expecting that a bulk-sampling exercise will indicate that the project will be economic. 2. The Mountain Ash drilling programme shows an indicated gravel resource of 14.6 million tonnes plus the 20 million tonnes (on Nooitgedacht) of gravel inferred by Southern Cross Ventures Limited. At 1,200,000 tonnes per annum a minimum life-of-mine of 12 years is indicated by the 14.6 million tonne resource. Alternatively, the tonnage throughput could be increased once sufficient prospecting has proved the gravel resource on Nooitgedacht. The net effect of this would be to decrease the operational life of the mine but would increase the on-mine profit substantially. 3. At an anticipated average grade of 1.61 cpht and diamond value of US$ 425/ct. the 14.6 million tonnes already drilled represents an in-situ value of almost US$ 100 million. The additional tonnage on Nooitgedacht could be expected to double this figure.'' Noble Peak has proposed a drilling and bulk sampling program which is expected to commence in early May 1998. This program should be completed within a five-month period. From this work, a feasibility study could be completed prior to the end of 1998, which could lead to a production decision in the first quarter of 1999. The Alberta Stock Exchange neither approves nor disapproves of the information contained herein.