Peregrine Reports New Microdiamond Results For CH-7 Kimberlite At Chidliak

February 27, 2012 PDF version
Peregrine Diamonds Ltd. (“Peregrine” or “the Company”) (TSX:PGD) is pleased to report new microdiamond results from samples of drill core from the CH-7 kimberlite that continue to demonstrate coarse diamond size distributions. CH-7 is located on the 8,580 square kilometre Chidliak project (“Chidliak” or “the Project”) on Baffin Island, Nunavut, Canada. These sample results are from previously untested zones in the south lobe and northwest portion of CH-7.

The following table summarizes caustic fusion diamond results from the CH-7 kimberlite. The analyses were performed at the Saskatchewan Research Council Geoanalytical Laboratories (“the SRC”).

SUMMARY OF CAUSTIC FUSION DIAMOND RESULTS FOR SAMPLES FROM THE CH-7 KIMBERLITE
Drill Hole
# (Unit)
Sample
Weight
(kg)
Numbers of Diamonds According to Sieve Size Fraction (mm) Total
Diamonds
Carats
(+0.850
mm
size)
+0.106
-0.150
+0.150
-0.212
+0.212
-0.300
+0.300
-0.425
+0.425
-0.600
+0.600
-0.850
+0.850
-1.180
+1.180
-1.700
+1.700
-2.360
+2.360
-3.350
+3.350
-4.750
South Lobe
#8, 13
(KIM-E)
203.8 86 67 51 25 16 8 3 1 1 0 0 258 0.174
#14
(KIM-F)
202.1 66 45 50 23 19 6 3 0 1 1 0 214 0.332
Northwest portion of kimberlite
#7
(Marginal
Units)
175.4 242 132 74 51 25 10 8 3 0 0 1 546 0.668

Of special note is a 175.4 kg sample from the bottom of drill hole #7 in the northwest portion of CH-7 that returned 546 diamonds larger than the 0.106 mm sieve size including 12 diamonds larger than the 0.85 mm sieve size weighing a total of 0.668 carats. The largest diamond in the sample was described by SRC as a 0.51 carat, off-white octahedron.

Mr. Brooke Clements, President of Peregrine, said “Today’s results from almost 600 kilograms of drill core reflect the consistently strong diamond content and coarse diamond size distribution we are seeing in samples from all across CH-7. All of the diamond results to date show that this kimberlite could have a grade of at least one carat per tonne, which reinforces our belief that Chidliak will be Baffin Island’s first diamond mine.”

Discovered in 2009 by prospecting, CH-7 is one of the six kimberlites considered to have economic potential within the Southern Focus Area of Chidliak, an area with a radius of only