Peregrine Identifies New Zone with High Diamond Counts at Chidliak CH-7 Kimberlite Pipe

March 10, 2015 PDF version
Peregrine Diamonds Ltd. (“Peregrine” or “the Company”) (TSX:PGD) is pleased to report the final caustic fusion diamond results from the 2014 Diamond Resource Development Program at Peregrine’s 100% owned Chidliak diamond project (“Chidliak”) in Nunavut, Canada. Caustic fusion analyses were performed on representative drill core from the CH-6, CH-7, CH-44 and CH-46 kimberlite pipes by the Saskatchewan Research Council Geoanalytical Laboratories. These four pipes lie within the Southern Priority Area, an area approximately eight kilometres in diameter that contains seven of the eight kimberlite pipes that Peregrine has been focused on since 2012.

Results have identified a new geologic domain within CH-7 that contains some of the highest total diamond counts defined to date at Chidliak. In addition, new results from CH-6 have further confirmed that the previously known coarse diamond distribution extends to depth in the expanded Inferred Mineral Resource. Finally, the latest results from CH-44 have extended the known coarse diamond distribution to 210 metres vertical depth.

Mr. Tom Peregoodoff, Peregrine’s President and CEO said, “The new results from our 2014 Diamond Resource Development Program show that there is tremendous potential to add significant carats to Chidliak. Our work in 2014 added over one million carats to our Inferred Resource at CH-6, an increase of 15%. The new results from CH-7 define a previously unknown geological domain that has the potential to exceed the resource grade of 2.58 carats per tonne (“cpt”) established at CH-6. The 2015 Diamond Resource Development Program has now commenced and is designed to confirm the grade estimates and provide diamond parcels to enable valuations for the key kimberlite pipes that will be included in a planned 2016 Preliminary Economic Assessment on a potential Phase 1 diamond mine development at Chidliak.”

The 2014 Diamond Resource Development Program drilling at CH-6 was comprised of 1,183 metres in five core holes focused on expanding the CH-6 Inferred Resource. Caustic fusion results from samples of CH-6 are stated in Table 1.

Geological Domain Sample Weight (dry kg) Numbers of Diamonds According to Sieve Size Fraction (mm) Total Diamonds Carats
81.50a 55 36 31 23 8 7 2 1 0 0 0 163 0.04
81.48a 67 34 23 12 8