Ellendale 9 Lights Resource
Ellendale Diamond Project, Western Australia: JORC Resource, Main Lights Stockpile.
GIB 100%
GIB has announced the maiden JORC Inferred Diamond Resource for the E9 Main Lights Stockpile at the Ellendale Diamond Project in the Kimberley Region of Western Australia as follows:
*cpht is carats per hundred tonnes
- The Company considers this resource to be very attractive in its potential to provide a significant new source for Fancy Yellow diamonds
- Ellendale 9 diamonds were previously the subject of an offtake deal with Tiffany & Co who paid a premium for the Fancy Yellow component of the E9 diamonds
- The diamond valuations and Fancy Yellow component of the Main Lights Stockpile is very similar to the main Ellendale 9 run of mine results from previous mining7
- Permitting to mine the E9 Lights stockpile is being progressed along with the grant of the mining lease
Figure 1: Ellendale 9 Minesite: Lights Stockpile Resource & Proposed Infrastructure
The maiden JORC Inferred Diamond Resource (or Mineral Resource Estimate, or MRE) for the E9 Main Lights Stockpile at the Ellendale Diamond Project is:
Table 1: JORC Inferred Diamond Resource – Ellendale 9 Main Lights Stockpile
| Inferred Resource | Tonnes million | Grade cpht* | Carats | Value US$/carat | US$/tonne |
| Total | 5.2 | 1.26 | 66,277 | 1,200 | 15.3 |
Notes:
- *cpht is carats per hundred tonnes
- Rounding of: tonnage down to the nearest 100,000 tonnes; carats down to the nearest 100 carats; Value US$/carat down to nearest 100 $; Value US$/tonne up to the nearest ten cents. This may result in rounding errors
- Bottom cut-off screen size effective 1.5mm
- US$/tonne assumes the diamond valuation report pricing of May 2023 is realised
Previous operators of the Ellendale mine had a contract to sell the Fancy Yellow component of their production to Laurelton Diamonds (the jeweller Tiffany & Co), this agreement was based on a percentage premium above the diamond market pricing. It is uncertain if similar premium prices can be achieved with any future Fancy Yellow goods. However, there is a potential opportunity to capitalise on the uniqueness of these Fancy Yellow goods to sell at above market prices as demonstrated by KDC’s previous arrangement with Tiffany’s.
Figure 2: Ellendale Project: Prospects and Proposed Infrastructure Locations
E9 Lights Stockpile: Bulk Sample Site LS2
In addition to the Inferred Resource detailed above, there is also a JORC 2012 Exploration Target over the E9 Lights Stockpile as follows:
Table 7 – Exploration Target, E9 Lights Stockpile
Tonnes are rounded to nearest 10,000
Other variables used including bulk density are the same as for the MRE
The potential quantity and grade of the Exploration Target is conceptual in nature and as such there has been insufficient bulk sampling conducted to estimate a mineral resource. At this stage it is uncertain if further bulk sampling will result in the estimation of a mineral resource. The Exploration Target has been prepared in accordance with the JORC Code (2012).
Figure 3: Exploration Target, plan view, looking down.
Recommended Reading:
Further detailed information and references are available on the POZ ASX Release dated 2 October 2015 and 23 December 2019
Blina Diamond Project,Fancy Yellows Value Increases by 131% to US 3,391 per carat; POZ ASX Release dated 6 November 2017
Record 2018/8 Geology, Resources and Exploration Potential of the Ellendale Diamond Project, West Kimberley, Western Australia (Geological Survey of Western Australia); by G. Boxer and G. Rocket. 2018
Blina Diamond Project,Fancy Yellows Value Increases by 131% to US 3,391 per carat; POZ ASX Release dated 6 November 2017
Ellendale 9 East Diamond Values Increase 20% to US$750/carat; GIB ASX Release dated 3 March 2020
Ellendale 9 Diamond Assessment Reports Vivid and Intense Fancy Yellows; GIB ASX Release dated 25 May 2020
Ellendale Project Reports Excellent New Diamond Valuations; GIB ASX Release dated 15 May 2023
Bulletin 132 (Geological Survey of Western Australia); The kimberlites and lamproites of Western Australia by A.L. Jaques, J.D. Lewis and C.B. Smith. 1986.
Lights Sampling Report, Ellendale Diamond Mine; A Kidman, D Jacobs, R Price; Kimberley Diamond Company NL; Internal Report dated 24 September 2013
Grade Investigation Report, Ellendale Diamond Mine; R Price, A Kidman, J Hickling; Kimberley Diamond Company NL; Internal Report dated 22 March 2012
Resource Update at Ellendale Demonstrates Increase in Total Resources; Kimberley Diamonds Ltd; ASX Release dated 13 November 2013
Annual Statement of Mineral Resources and Ore Reserves as at 30 June 2015; Kimberley Diamonds Ltd; ASX Release dated 8 September 2015
The information in this report that relates to previously reported exploration results, new exploration results, Exploration Target and the Mineral Resources is based on information compiled by Mr. Jim Richards who is a Member of The Australasian Institute of Mining and Metallurgy and a Member of the Australian Institute of Geoscientists. Mr. Richards is a Director of Gibb River Diamonds Limited. Mr. Richards has sufficient experience which is relevant to the style of mineralisation and type of deposit under consideration and to the activity which he is undertaking to qualify as Competent Person as defined in the 2012 Edition of the Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves. Mr. Richards consents to the inclusion in the report of the matters based on the information in the form and context in which it appears.
