TSX: DIAM
SASKATOON, SK, Oct. 21,
2022 /CNW/ - Star Diamond Corporation ("Star
Diamond") announces that Rio Tinto Exploration Canada Inc. ("Rio
Tinto Canada") recently provided a community update to stakeholders
of the Fort à la Corne joint venture (the "Project"). In this
communication, Rio Tinto Canada stated that, "The site continues to
be in care and maintenance as we explore our commercial options for
the project, however, we are actively looking to minimize our
costs." Rio Tinto Canada also stated that it intends to fully
de-mobilize the leased on-site camp in early 2023, and that it
continues with site care and maintenance activities to fulfill its
existing obligations, including certain progressive site cleanup
and remediation programs.
As previously disclosed by Star
Diamond, Rio Tinto Canada exercised its voting power in
June 2022 to place the Project on
care and maintenance through December 31,
2022. At that time, Rio Tinto Canada also advised that,
subject to fulfilling its existing obligations, it did not intend
to commit additional capital to the Project during 2022 beyond what
is necessary for care and maintenance. As well, Rio Tinto Canada
advised that it intended to conduct a near-term review of its
alternatives regarding the Project, including its potential
exit.
Star Diamond continues to work
with Rio Tinto Canada in assessing alternatives regarding the
Project. These discussions remain at an early stage and there is no
certainty that any agreement will be reached between Star Diamond and Rio Tinto Canada regarding any
such potential arrangements.
About Star Diamond Corporation
Star Diamond is a Canadian-based corporation
engaged in the acquisition, exploration and development of mineral
properties. Shares of Star Diamond
trade on the Toronto Stock Exchange under the trading symbol
"DIAM". Star Diamond's most
significant asset is its interest in the Fort à la Corne property
in central Saskatchewan. These
kimberlites are located in close proximity to established
infrastructure, including paved highways and the electrical power
grid, which provide significant advantages for future mine
development.
Caution Regarding Forward-looking Statements
This press release contains "forward-looking statements" and/or
"forward-looking information" (collectively, "forward-looking
statements") within the meaning of applicable securities
legislation. All statements, other than statements of historical
fact, are forward-looking statements. Forward-looking statements in
this press release include, but are not limited to, statements with
respect to Rio Tinto Canada's intentions with respect to funding
the Project, Rio Tinto Canada's review of alternatives with respect
to the Project and the terms of any possible future agreement that
may be reached between Star Diamond
and Rio Tinto Canada regarding the Project.
These forward-looking statements are based on Star Diamond's current beliefs as well as
assumptions made by and information currently available to
Star Diamond and involve inherent
risks and uncertainties, both general and specific. Risks exist
that forward-looking statements will not be achieved due to a
number of factors including, but not limited to, developments in
world diamond markets, changes in diamond prices, risks relating to
fluctuations in the Canadian dollar and other currencies relative
to the US dollar, changes in exploration, development or mining
plans due to exploration results and changing budget priorities of
Rio Tinto Canada or Star
Diamond, the impact of changes in the laws and regulations
regulating mining exploration, development, closure, judicial or
regulatory judgments and legal proceedings, operational and
infrastructure risks and the additional risks described in
Star Diamond's most recently filed
Annual Information Form, annual and interim MD&A.
SOURCE Star Diamond Corporation