Karelian Diamond Resources PLC (LON:KDR) said it has narrowed down the exploration area at the Lahtojoki South diamond prospect in Finland.
The junior, which previously discovered kimberlite boulders to the south of the Lahtojoki diamond deposit, added it has also recovered additional kimberlite boulder material from the original site.
Kimberlites tend to occur in clusters and the findings suggest the possibility of an additional, potentially diamondiferous, source in the vicinity to the southwest of the Lahtojoki deposit, said the statement.
Richard Conroy, chairman, added: “We are encouraged by the steps made towards potentially locating a new kimberlite source in the vicinity of the Lahtojoki diamond deposit.
“We have applied for an exploration permit over the area and look forward to receiving the results on the kimberlite material from the boulder site.
“We are also looking forward to progress being made on the finalising of the Land Valuation Authority proceedings and in turn the granting of a full Mining Permit, which will allow the development of the Lahtojoki diamond deposit”.