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The Gahcho Kué project is the largest new diamond mine under development globally, and has the potential to become one of Canada's major high grade and long-life diamond mines.
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The Gahcho Kué diamond project is located on federal land in Canada's Northwest Territories and is held by the Gahcho Kué Joint Venture under renewable 21 year leases. The project is on a 74,128 acre site located at Kennady Lake, approximately 300 kilometres northeast of Yellowknife and 90 kilometres east of De Beers' Snap Lake diamond project.
Visuals - Map of Site
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Gahcho Kué falls under the AK group of renewable 21-year mining leases and mineral claims. This is currently the best mining contract in the industry. Most other mineral claim contracts are now being converted into 21-year mining leases.
In the early 1990's Gahcho Kué, previously known as the Kennady Lake project, was staked by Mountain Province Diamonds. Canamera Geological Ltd. was contracted to conduct the original exploration which led to the discovery of the 5034 kimberlite pipe in January 1995.
| 1997 |
Letter agreement entered into with Monopros Limited (now De Beers Canada) in terms of which they could earn a 51% interest in the project. Hearne, Tuzo and Telsa pipes discovered in mid-1997. |
| 1998 |
Mini bulk sampling of 5034, Hearne, Tuzo and Telsa by Monopros. Preliminary scoping study by MRDI (now AMEC). |
| 1999 |
Bulk sampling by large diameter drilling of Hearne, Tuzo and Telsa by Monopros. |
| 2000 |
De Beers Canada conducts Desktop Study. |
| 2001 |
Further resource drilling of 5034, Hearne and Tuzo by De Beers Canada. |
| 2002 |
Joint Venture agreement entered into between Mountain Province (44.1%), De Beers Canada (51%) and Camphor Ventures (4.9%). |
| 2003 |
Technical (pre-feasibility) Study commences. |
| 2004/5 |
Further hydrological, geotechnical design and resource drilling. Engineering and environmental baseline studies completed. |
| 2005 |
Completion of the C$25 million Technical Study. Commencement of the C$38.5 million advanced Exploration Program and filing of applications for construction and operating permits. |
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| Resources |
Indicated 23.6 million carats |
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Inferred 22.9 million carats |
| Full production rate |
3 million carats per year over 15 years |
| Average grade >1.5mm, to the plant |
1.64 carats per tonne (indicated category) |
| Production scheduled to commence |
2012 |
| Project Life |
24 years |
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* Total Project Basis
Gahcho Kué has estimated indicated resources of 23.6 million carats and inferred resources of 22.9 million carats. The mine is expected to produce more than three million carats a year.
The project will have a lifespan of more than 24 years. Gahcho Kué is scheduled to begin production in 2012.
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(Based on De Beers 2003 Technical Study).
| Pipe |
Category |
Tonnes |
Carats |
Grade
(cpht) (1) |
| 5034 |
Indicated
Inferred |
8,715,000
4,921,000 |
13,943,000
8,366,000 |
160
170 |
| Hearne |
Indicated
Inferred |
5,678,000
1,546,000 |
9,676,000
2,373,000 |
170
153 |
| Tuzo |
Inferred |
10,550,000 |
12,152,000 |
115 |
| SUMMARY |
Indicated
Inferred |
14,392,000
17,017,000 |
23,619,000
22,890,000 |
164
135 |
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The Gahcho Kué kimberlite cluster is in the southeast slave craton. The area was glaciated repeatedly during the Pleistocene, most recently by the Laurentide ice sheet. The Laurentide ice sheet began to recede about 18,000 years ago and the ice retreated past the Gahcho Kué project area between 9,000 and 9,500 years ago.
Four main pipes comprise the Gahcho Kué kimberlite cluster - 5034, Hearne, Tuzo and Telsa. The 5034 kimberlite is an irregular hypabyssal root zone. Hearne and Tesla are transitional diatremes and root zones. Tuzo is the deeper part of a diatremes zone. At present, Telsa is not included in the Gahcho Kué mineable resource because of its smaller size (0.4 ha) and lower grade. However, it may be exploited towards the end of the project life.
The shapes and internal geology of each of the kimberlite pipes has been based on the logging of the available drill core. The external shapes and internal geology of each body was modelled in three dimensions using GEMCOM. Both internal and external models were updated after each subsequent drilling program in 2001, 2002, 2004 and 2005.
Hearne, 5034 and Tuzo have contrasting pipe shapes.
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- Located near the centre site under and adjacent to Kennady Lake.
- The first kimberlite discovered at Gahcho Kué, abundant with HK (hypabyssal kimberlite).
- Surface dimension of approximately 120 by 180 metres.
- Total surface area of approximately 1.95 hectares.
- Subdivided on the basis of internal geology into four lobes.
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- Consists of a northern and southern lobe.
- Total surface area of approximately 1.5 hectares.
- Includes Hearne South, a roughly circular pipe abundant with TKB (tuffisitic kimberlite breccia).
- Includes Hearne North, a narrow elongate pipe abundant with HK and TKB.
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- Total surface area of approximately 1.4 hectares.
- Abundant with TKB.
- Consists of Zone A and B kimberlite, which is 20 to 100 metres in depth and has inferred resources of 2.6 million tonnes.
- Consists of Zone Bg kimberlite with some Zone B and C kimberlite, which is 100 to 200 metres in depth and has inferred resources of 3.5 million tonnes.
- Consists of Zone C kimberlite with some Zone B and Bg kimberlite, which is 200 to 300 metres in depth and has inferred resources of 4.1 million tonnes.
- Additional 4.7 million tonnes of kimberlite on the western side of the pipe which is 300 to 360 metres in depth.
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