January 23, 2007
Vancouver, British Columbia — Tuesday, January 23, 2007 - Peregrine
Diamonds Ltd. (“Peregrine”) (TSX:PGD) today announced that it has
awarded the contract to complete an internal Preliminary Technical
Assessment (“PTA”) on its WO Diamond Project, NWT, Canada to AMEC.
AMEC is an international project management and services company that
employs more than 20,000 people worldwide. From managing exploration and
testwork through to providing comprehensive EPCM services, AMEC has
played integral roles in most of the diamond projects under development
in Canada, including BHP Billiton’s EkatiTM Diamond Mine as well as De
Beers’ Snap Lake and Victor diamond projects.
The Preliminary Technical Assessment will include a conceptual model of a
potential diamond mine and will examine several operating scenarios and
development concepts, focusing on kimberlite processing, waste rock
disposal, water management and overall project footprint. The PTA is
scheduled to be completed during the summer of 2007 and will be used by
Peregrine for internal planning purposes and for assistance with any
future environmental studies.
WO Diamond Project Activity Update
The large diameter bulk sample drilling program currently underway on
the DO-27 kimberlite has, to date, completed five large diameter holes,
totaling approximately 601 meters, on the land-based portion of the
North East Lobe. Using an average specific gravity of 2.0 g/cm3, this
equates to a total of approximately 322 wet tonnes of kimberlite. A
second large diameter drill rig has been set up on its first drill hole
location and is expected to begin drilling on January 26th, 2007.
It is currently unknown whether this pace of production will be maintained during the upcoming ice-based drilling phase.
Ice building activities on the DO-27 lake have been successful in
creating approximately 70 inches of ice, with a minimum of 80 inches
required to safely support the weight of all the drilling equipment.
With the continued cold weather, it is anticipated that this minimum
will be reached in early February, 2007.
Peregrine has been advised that BHP Billiton will process this year’s
bulk sample at the Bulk Sample Test Facility at BHP Billiton’s EkatiTM
Diamond Mine. This is important as the proximity of EkatiTM should allow
Peregrine to drill and ship samples later in the season than if the
samples had to be transported via the main Tibbitt to Contwoyto ice road
to Yellowknife, and onwards for processing.
The WO Diamond Project is Peregrine’s most advanced exploration project
to date and consists of the plus 9 hectare DO-27 and plus 3 hectare
DO-18 diamondiferous kimberlite pipes, among others.
Peregrine is a well funded Canadian diamond exploration/development
company that is managed by experienced geoscientists. In addition to
moving forward with the above mentioned work, the company is actively
exploring for other diamondiferous kimberlites on its extensive land
holdings across Canada. The company trades on the Toronto Stock Exchange
under the symbol “PGD”.
For further information, please contact Jim Crawford, Manager — Investor Relations, at 604-408-8880 or at firstname.lastname@example.org
Forward-Looking Statements: This document includes forward-looking
statements. Forward-looking statements include, but are not limited to
statements concerning Peregrine’s projects, pre-feasibility studies, and
other statements that are not historical facts. When used in this
document, the words such as “could,” “confident,” “plan,” “estimate,”
“expect,” “anticipated,” “intend,” “likely,” “may,” “potential,”
“should,” “scheduled,” “significant,” and similar expressions are
forward-looking statements. Although Peregrine Diamonds Ltd. believes
that its expectations reflected in these forward-looking statements are
reasonable, such statements involve risk and uncertainties and no
assurance can be given that actual results will be consistent with these
forward-looking statements. Important factors that could cause actual
results to differ from these forward-looking statements are disclose