FDI Firestone Diamonds Plc

 

TIDMFDI 
 
RNS Number : 2433G 
Firestone Diamonds PLC 
28 January 2010 
 

Firestone Diamonds plc 
Orapa joint venture update 
 
 
LONDON: 28 January, 2010 
 
 
Firestone Diamonds plc, ("Firestone" or "the Company"), the AIM-quoted diamond 
mining and exploration company (ticker: AIM:FDI), is pleased to announce that it 
has completed its planned review of historical data from the eight kimberlites 
in the Orapa kimberlite field in Botswana covered by the joint venture announced 
with Tawana Resources NL ("Tawana") in December 2009. Under the terms of this 
joint venture Firestone can earn up to an 85% interest in these kimberlites. 
 
 
HIGHLIGHTS 
 
 
+---+----+---+----------------------------------------------------------+ 
| - | BK24                                                              | 
+---+-------------------------------------------------------------------+ 
|   |    | - | In excess of 3 hectares in area                          | 
+---+----+---+----------------------------------------------------------+ 
|   |    | - | Grades of up to 5 carats per hundred tonnes from limited | 
|   |    |   | sampling                                                 | 
+---+----+---+----------------------------------------------------------+ 
| - | BK19-22 & BK25-26                                                 | 
+---+-------------------------------------------------------------------+ 
|   |    | - | All proven to contain diamonds                           | 
+---+----+---+----------------------------------------------------------+ 
|   |    | - | Limited sampling and delineation work carried out        | 
+---+----+---+----------------------------------------------------------+ 
| - | Planned evaluation programme                                      | 
+---+-------------------------------------------------------------------+ 
|   |    | - | Large diameter drill sampling on BK24                    | 
+---+----+---+----------------------------------------------------------+ 
|   |    | - | Geophysical surveys and core drilling on remaining       | 
|   |    |   | kimberlites                                              | 
+---+----+---+----------------------------------------------------------+ 
|   |    | - | Work to be carried out after commencement of production  | 
|   |    |   | from BK11 in Q2 2010                                     | 
+---+----+---+----------------------------------------------------------+ 
 
 
Philip Kenny, CEO of Firestone Diamonds, commented:  "We are encouraged by the 
results of our review of Tawana's kimberlites in the Orapa area. Firestone's 
portfolio in the Orapa area now contains 18 kimberlites, 12 of which are proven 
to contain diamonds. With our ability to use the infrastructure at BK11 to 
develop and exploit the economic potential of these kimberlites, we are 
optimistic about the potential for significantly expanding our operations in the 
Orapa area." 
 
 
 
 
The review carried out by Firestone covered historical work carried out by De 
Beers, Tawana and others on kimberlites BK19 to BK26, and identified a number of 
high interest kimberlites on which Firestone intends to carry out further 
evaluation work. 
 
 
BK24 
BK24 is located 12 kilometres from Debswana's Damtshaa Mine and 40 kilometres 
from Firestone's BK11 kimberlite, which is due to commence commercial production 
in Q2 2010. BK24 is the largest of the Tawana kimberlites, with an estimated 
area in excess of 3 hectares. Macrodiamonds have been recovered from pitting to 
a depth of 30 metres. As the top 25 to 30 metres of BK24 is comprised 
predominantly of basalt breccia and contains very little kimberlitic material, 
this result is considered significant, and further evaluation work is warranted 
on the undiluted kimberlite below the basalt breccia. Grades reported from the 
limited sampling carried out by De Beers were up to 5 carats per hundred tonnes. 
 
 
 
BK19-22 & BK25-26 
These kimberlites were also proven by De Beers to contain diamonds, but limited 
work was carried out to determine the sizes of the kimberlites or macrodiamond 
grade. 
 
 
Evaluation Programme 
Firestone intends to carry out large diameter drill ("LDD") sampling on BK24 and 
to carry out geophysical surveys and core drilling on the remaining kimberlites 
to determine whether any of them warrant LDD sampling. The Company intends to 
carry this work out after the commencement of production at BK11 in Q2 2010 and 
it is anticipated that the work will be funded through operating cash flows from 
BK11. 
 
 
 
 
For further information, visit the Company's web site or contact: 
 
 
+----------------------------------------+-------------------------------+ 
| Philip Kenny, Firestone Diamonds       | +44 20 8834 1028/+44 7831 324 | 
|                                        | 645                           | 
|                                        |                               | 
+----------------------------------------+-------------------------------+ 
| Simon Edwards / Tim Redfern, Evolution | +44 20 7071 4330 / 4312       | 
| Securities (Joint Broker)              |                               | 
|                                        |                               | 
+----------------------------------------+-------------------------------+ 
| Rory Scott, Mirabaud Securities (Joint | +44 20 7878 3360              | 
| Broker)                                |                               | 
|                                        |                               | 
+----------------------------------------+-------------------------------+ 
| Alexander Dewar, Brewin Dolphin        | +44 131 529 0276              | 
| (Nominated Adviser)                    |                               | 
|                                        |                               | 
+----------------------------------------+-------------------------------+ 
| Jos Simson / Leesa Peters, Conduit PR  | +44 20 7429 6603/+44 7899 870 | 
|                                        | 450                           | 
+----------------------------------------+-------------------------------+ 
 
 
 
 
Background information on Firestone Diamonds: 
Firestone Diamonds plc ("FDI.L") is an international diamond mining and 
exploration company with operations in Botswana and South Africa.  Botswana is 
the world's largest and lowest cost producer of diamonds, with annual production 
worth over $2.5 billion, and is considered to be one of the most prospective 
countries in the world to explore for diamonds. 
 
 
Firestone is the largest holder of mineral rights in Botswana's diamondiferous 
kimberlite fields, controlling over 25,000 square kilometres around the major 
Orapa and Jwaneng mines and the entire Tsabong kimberlite field. Firestone has 
103 kimberlites in its portfolio, of which 30 have been proven to be 
diamondiferous. Fifteen of Firestone's kimberlites are at the bulk sampling 
stage. 
 
 
Notes: 
1. The information in this statement has been reviewed by Mr. Tim Wilkes, BSc, 
Pr Sci Nat, who is a qualified person for the purposes of the AIM Guidance Note 
for Mining, Oil and Gas Companies. Mr. Wilkes is Chief Operating Officer of 
Firestone Diamonds plc and has over 27 years' experience in diamond exploration, 
mineral resource management and mining. Mr. Wilkes is a member of the 
sub-committee for diamonds of the South African Mineral Resource Committee 
(SAMREC). 
 
 
 
 
 
This information is provided by RNS 
            The company news service from the London Stock Exchange 
   END 
 
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