US $8.3 million, 1 863 ct diamond record sale by LUCAPA DIAMOND COMPANY

The latest sale of Lulo project (Angola) production by Lucapa Diamond Company (ASX:LOM) reached a new record: 1 863 ct were sold for US $8.3 million (at a US$ 4 452 per carat average price) – ASX Announcement of 07 November.

That announcement follows an earlier dated 27 October describing the continued recovery of large diamonds in the company’s alluvial mining operation in the Lulo Project (Angola), including five white type II-A – 172, 104, 77, 72 and 71 ct – and one 39 ct fancy pink (the largest to date at Lulo).

You may obtain the full ASX announcements on LUCAPA DIAMOND COMPANY (ASX:LOM) here: http://www.lucapa.com.au/announcements.

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Two 50+ ct stones recovered at the Lulo project

Figure 1
57.76 ct type ii diamond recovered from Mining Block 8

Lucapa Diamond Company Ltd. (ASX:LOM) announced the recovery of two 50+ ct diamonds in the Lulo diamond project. The press release highlights:

  • Diamonds weighing 57.76 carats and 50.08 carats among 10 more large special diamonds (>10.8 carats each) recovered from Mining Block 8 at Lulo
  • A total of 24 large special diamonds recovered to date from Mining Block 8
  • Large diamonds being recovered from Mining Block 8 at an exceptional rate, with 22 specials recovered since 10 August 2015
  • Extensive pitting and sampling program underway to expand this prolific alluvial diamond field
  • Significant coarse indicator minerals recovered from Mining Block 8 continue to point to a close kimberlite source.

The press release gives no details on recovered grades, diamond price curves or about the smaller diamonds recovered. You may obtain the full press release here.

Figure 2
Type II diamonds (left): 57.76 ct, 17.97 ct and 12.99 ct. Type I diamonds (right): 50.08 ct, 18.83 ct, 13.83 ct and 11.12 ct. All diamonds from Mining Block 8.


Diamonds discovered in Mozambique – Mustang Resources’ Save Project

Diamonds (and rumours of their existence) are not new in Mozambique since colonial times (DIAMANG’s DIAMOC subsidiary had some activity in Mozambique). Later on, kimberlite were discovered/confirmed by soviet teams in the (then already independent) country.

Until now, the country has seen no industrial diamond production (or large scale diamond garimpo activity). That is perhaps about to change. Mustang Resources Limited (an Australian company) has just announced the discovery of alluvial diamonds in the gravels of their concessions along the Save River, in southwestern Mozambique. You may read the full news releases here: Mustang Discovers Diamonds – JORC Table 1 (June 16, 2015), Mustang Discovers Diamonds in Mozambique  (June 15, 2015) and their previous (June 10, 2015) Save River Diamonds Project Update; the company’s October 2014 presentation in OGIGROUPLTD PROJECTS_28Oct. Or, if rather prefer, at ASX website.

Mustang Resources Limited (ASX:MUS), formally called OGI Group Limited, is an ASX listed company focussing on diamond and graphite exploration and mining in Mozambique. You may refer to company’s website for further info on the project:  http://mustangresources.com.au/mozambique-overview/diamond-project/; I also suggest you read the details of the information and comments about sampling and geological models included in Mustang Discovers Diamonds – JORC Table 1 (especially the last pages of the document).

Results and my comments (both very preliminary; the comments, of course, subjective)

16 diamonds (classified as gems) were recovered from 5 pits (9.68 ct with an average stone size of 0,60 ct/stone in a total of 4.732 m3).

It is a very early stage; it is a success to find diamonds in the first tests. Nonetheless, overall grade is small and stone size good (please note, these are preliminary results and they may not be considered representative of the potential  mineralization contained in the gravels).

The company is using a rotary pan as a concentration process. Although extensively used in South African gravel fields, I would rather use a DMS small scale plant (or a jig based system).

Location

The Save River Diamonds Project is located in southern Mozambique, next to the border with Zimbabwe. The area of interest is along the Save River, after the confluence with the Runde River.

The licence areas are located where gravels, conglomerates and grits have been mapped on the surface. The tertiary to quaternary aged sediments are potentially associated with alluvial diamonds.

Metallogenical model (summary)

The geological model for this project is based on the Save and Runde Rivers having drained areas some 200 kms upstream with rich diamondiferous conglomerates and kimberlites (Murowa and Marange diamond fields in Zimbabwe) over millions of years.

The profile of the Save/Runde Rivers from the Marange/Murowa areas in Zimbabwe to the Save River Diamonds Project shows a very steep gradient resulting in a high energy environment which the Save River maintains until it reaches the confluence with the Runde River. The topography then changes to a gentle and almost flat surface at the confluence of the rivers. This has resulted in a massive deposition of gravels on the concession area which is a substantial 40km x 10km in size.

LUCAPA STEPS UP KIMBERLITE DIAMOND PROGRAM AT LULO

Lucapa Diamond Company Limited (ASX: LOM) (“Lucapa” or the “Company”) is preparing to commence the next phase of the the Company’s kimberlite exploration program at the Lulo Diamond Concession in Angola. New program includes extensive further evaluation of four known diamond-bearing Lulo kimberlites as Lucapa steps up its search for the sources of the exceptional alluvial diamonds being mined at Lulo. – March 23, 2015 ASX Announcement.

HIGHLIGHTS

  • More than 80 kimberlite targets to be sampled and/or drilled at Lulo as part of a comprehensive 24-month program which builds on the positive kimberlite exploration results achieved to date.
  • New program to commence in April with extensive further evaluation of four known diamond- bearing pipes at Lulo and laboratory analysis of drill core.
  • First bulk samples also to be excavated from the priority L46 kimberlite, which has been identified as a likely source of the high-grade diamonds recovered from the E46 alluvial area at Lulo.
  • Program includes drilling of 48 priority targets in the western kimberlite province and first testing of 38 targets in the new eastern kimberlite province at Lulo.
  • Kimberlite program will utilise the original 10tph diamond sampling plant at Lulo to enable continuous alluvial diamond mining through main 150tph diamond plant.

You may get the full ASX announcement here: Lucapa-Steps-Up-Kimberlite-Diamond-Program-At-Lulo.

LUCAPA SIGNS 35 YEAR ALLUVIAL DIAMOND MINING LICENCE AGREEMENT IN ANGOLA

Just read the ASX announcement about LUCAPA DIAMOND COMPANY Limited (ASX: LOM) Lulo Project alluvial mining licence agreement. It is another step in the right direction. You can read it here and make your own opinion.

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