GIB Executive Chairman Jim Richards at the E4 pit. Note the haul ramp to the water which could provide excellent access for a future dredging operation target
Figure 1:Gibb River Diamond Project Tenure & Location Map
1.0 Ellendale Diamond Project Summary
Gibb River Diamonds Limited (‘GIB’ or the ‘Company’) owns the mining and exploration leases (100%) which cover the Ellendale Diamond Project in the West Kimberley, WA. The Ellendale Project has been one of the world’s foremost diamond producers with past production of approximately 1.3 million carats. This included the annual supply of over 50% of the world’s Fancy Yellow diamonds, which were the subject of a special marketing agreement between the former operator and Tiffany & Co.
The Company’s aim at Ellendale is to progress and permit areas which can be brought into profitable production as quickly as possible. A number of exciting targets at Ellendale include:
GIB believes there is enormous potential for the new Ellendale leases to deliver a profitable diamond mining operation and this potential is currently being assessed by GIB. This magnificent opportunity allows the Company to develop this exciting area and move towards our goal of becoming Australia’s next diamond producer.
With the Blina Alluvial Targets fully permitted for mining and ‘shovel ready’ and assessment of the other Ellendale prospects and former mining operations already underway, the Company is in an excellent position to set up an immediate diamond pipeline of development projects.
2.0 Ellendale Diamond Project Leases Acquisition
GIB acquired the Ellendale Diamond Mine leases in December 2019 under an EOI process run by the State Government. This acquisition delivers leases over the Ellendale Diamond Project through the pegging of standard tenements and brings with it no environmental or other legacy liabilities.
These leases cover the most prospective ground at Ellendale (Figure 1), including the two previous hard rock mines at E4 and E9 and all of the previous extensive alluvial mines, workings and prospects. GIB will ensure that the grant of the key tenements is expedited as swiftly as possible.
3.0 Ellendale Funding
Ellendale Project financing is required to commence the above operations and studies. This includes operational capital to conduct four months of bulk sampling operations and trial mining at the Blina Alluvials Prospect. The capital required is a modest $2.5 million and the Company is currently looking at ways to raise this capital, including through the sale of GIB’s wholly owned Highland Plains phosphate deposit. The Company is debt free.
For further information regarding grades and historical production from the Blina Project alluvials1,2&3, click here, click here and click here
1Further detailed information including the Table 1 (JORC Code, 2012 Edition) and references are available on the GIB ASX Release dated 9 October 2015, click here
2Blina Diamond Project, Gamechanger GPR Survey; GIB ASX Release dated 18 October 2017, click here
3Trenching Discovers New Gravel Targets at Blina; GIB ASX Release dated 6 August 2018, click here
4POZ to Bid for the Ellendale Diamond Mine; GIB ASX Release dated 4 September 2018, click here
GIB Secures Ellendale Diamond Mine Leases; GIB ASX Release dated 23 December 2019, click here
Bulletin 132 (Geological Survey of Western Australia); The kimberlites and lamproites of Western Australia by A.L. Jaques, J.D. Lewis and C.B. Smith.
The information in this report that relates to current and previously reported exploration results and the JORC Exploration Target is based on information compiled by Mr. Jim Richards who is a Member of The Australasian Institute of Mining and Metallurgy and a Member of the Australian Institute of Geoscientists. Mr. Richards is a Director of GIB River Diamonds Limited. Mr. Richards has sufficient experience which is relevant to the style of mineralisation and type of deposit under consideration and to the activity which he is undertaking to qualify as Competent Person as defined in the 2012 Edition of the Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves. Mr. Richards consents to the inclusion in the report of the matters based on the information in the form and context in which it appears.