Firestone Diamonds (AIM: FDI) jumped 12% in early deals after the company released an update on exploration activities at its Tsabong kimberlite field in Botswana, which hosts 85 kimberlites, making it one of the largest known fields in the world.
Firestone Diamonds has been drilling Tsabong with a large diameter drill rig (‘LDD’) since 2008, testing its highest priority targets. Today’s update related to the analysis of six samples recovered with the LDD. Results were encouraging, with five of the six samples returning macrodiamonds (Diamonds that are greater than 0.5mm in the longest axial dimension). Potentially more enticing for investors, Firestone Diamonds reported that additional LDD holes drilled into the 180 hectare MK1 kimberlite yielded 21 clear, white macrodiamonds.
“With eight more high interest kimberlites awaiting bulk sampling, a further 71 kimberlites to evaluate and the likelihood of new discoveries being made with over 80 known geophysical drill targets, the Company continues to believe that the Tsabong kimberlite field has significant economic potential,” the company said.
Firestone Diamonds is hoping to announce a joint venture at Tsabong to help share the burden of future exploration and evaluation work.
Philip Kenny, CEO of Firestone Diamonds, commented: 'We consider Tsabong to be one of the most attractive large scale diamond exploration and evaluation projects in the market. The results of the work that we have carried out are encouraging and we believe that the project has the potential to contain significant economic deposits. The project has attracted substantial interest from potential joint venture partners despite the recent downturn in the rough diamond market, and we look forward to continuing work on Tsabong with a new partner later in 2009.'