Northern DRC (Rio Tinto Joint-Venture)
Northern DRC (Equateur and Oriental Provinces) and the Central African Republic (the "CAR") are known for their high quality alluvial diamonds. Geological studies suggest that the diamonds in the CAR have been derived from the northern DRC and since there are no known kimberlites in the northern DRC, it makes this area one of the last highly prospective regions in the world for diamond exploration. The Company took out an area of almost 28,000 km² either through its own applications or through option contracts with several partners. This land package forms part of a joint venture with Rio Tinto which is funding the exploration program in order to earn into any discoveries both for diamonds over all the licences and for iron ore over selected licences.
Since this part of the Congo Basin is covered by tropical forests, the region has never been subjected to modern exploration. Hence the strategy of turning ground over fast and retaining the best pieces applies. Work in the form of regional stream sampling for heavy minerals started in November 2007 and to date some 15,000 km² have been covered. It is planned to have the remaining 13,000 km² completed by April 2009. Simultaneously, applications for other prospecting licences have been made.
The first results, all from the Equateur Province, have identified several diffused diamond/chromite anomalies that have been earmarked for further work.
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