Stellar Diamonds (LON:STEL) said the microdiamond analysis of its Droujba kimberlite pipe in Guinea has yielded “encouraging results”.
A total of 304 kilograms of drill core has produce 279 diamonds, the largest measuring 2.6 millimetres by 2 millimetres by 1.1 millimetres. The majority of the stones are described as white and colourless.
Construction of a dense media separation (DMS) plant is nearing completion, which will allow bulk sampling of the Droujba pipe.
In total 1,000 tonnes of material will be sampled in four separate batches which have already been extracted and stockpiled.
The company said it is on target to produce a maiden resource estimate in the first quarter of next year.
Stellar chief executive Karl Smithson said: “Microdiamond recovery from the Droujba kimberlite core continues to yield encouraging results.
“This consignment represented selective samples from the hypabyssal and breccia material and the results confirm our view that the hypabyssal kimberlite is significantly diamondiferous.
“On site construction of the bulk sampling plant is nearing completion with final commissioning expected shortly.
“We have made excellent progress at Droujba with our success, to date, demonstrating the significant potential of this project.
“I look forward to updating shareholders as we progress Droujba towards its maiden resource in the first quarter of 2012.
“This will be a key milestone for Stellar Diamonds as we look to advance Droujba and enhance the value of our diamond portfolio.”