Delrand Updates DRC Diamond Exploration Activity
February 14, 2013 - TORONTO, ONTARIO
Delrand Resources Limited ("Delrand" or the "Company") (TSX: DRN)(JSE: DRN) provides an update on its diamond exploration activities in the Democratic Republic of the Congo (the "DRC").
The northern DRC has a long history of good quality alluvial diamonds. To date, no primary sources, or kimberlites, for these diamonds have been found. Delrand, with its partner Rio Tinto, has prospected large areas in the provinces of Equateur and Orientale, and in more recent years this work focussed on the Coexco and Bomili exploration projects in the latter province.
Delrand's first-phase exploration program over the Coexco ground in the northern DRC was completed in 2009. The 44 Coexco exploration permit areas were covered by an initial reconnaissance program when stream samples were collected at a density of roughly one sample for every 20 to 25km2. Samples were screened to plus 0.4mm and minus 0.7mm. As previously reported, 12 of the 255 samples produced 15 diamonds and in addition, five ilmenites, 27 chromites (including nine from the diamond inclusion field) and one eclogitic garnet were also found in the samples. These positive results were restricted to 22 of the 44 Coexco permit areas.
A follow-up stream sampling program was conducted in 2011 over parts of these 22 exploration permit areas. Samples were collected on an approximate density of one sample every 5km2. As previously reported, this program produced 48 diamonds, 12 ilmenites, 21 chromites and 7 garnets. These results are highly anomalous for two reasons. Firstly, these positive samples are located in the same streams as the samples which produced positive results from the initial reconnaissance work and therefore confirm the existence of these anomalies. Secondly, the area of interest is covered by a thick laterite crust, up to at least 10 metres in thickness, masking the underlying geology, including kimberlites, but at the same time chemically etching and hence destroying the kimberlitic minerals otherwise trapped in these soils. The presence of kimberlitic minerals in stream or soils samples in these areas is therefore highly depressed. Interpretation of the reconnaissance and follow-up sampling results has identified six targets for further detailed follow-up work on the Coexco permit areas and three targets on the Bomili permit areas just north of the Coexco ground.
A detailed stream sampling program covering these nine targets with some close spaced sampling was conducted in the second half of 2012. Results are only available for the first two targets, but Rio Tinto has decided to withdraw from the Coexco and Bomili projects. Delrand will continue with these highly prospective targets on the Coexco and Bomili properties until all results are available, and the next steps are dependent upon the results of this phase of sampling and could include geophysics and drilling. The six remaining targets on the Coexco ground have further reduced the number of permits from 22 to eight.
Some other high-interest targets have also been identified in Province Orientale by Delrand and will be pursued in partnership with Rio Tinto once the Department of Mines (CAMI) in Kinshasa, DRC opens for new applications.
In the Kasai region of the southern DRC, Delrand has signed an agreement with Rio Tinto to interpret a large diamond exploration dataset that covers areas well in excess of 100,000km2 (the "First Agreement Areas") which were explored between 2004 and 2008 by a number of companies using modern exploration techniques. These data in conjunction with Delrand's own large database, which it has built up since 2004 from its own program of stream and soil sampling and airborne and ground geophysical surveys, provides Delrand with the largest exploration database for diamonds over one of the most prospective and least explored area in the world - the Kasai Craton. Through this arrangement, the Company will earn into any discoveries that result from this work over the First Agreement Areas. In addition, a second agreement is being finalised with Rio Tinto that will cover the areas outside the First Agreement Areas over the same cratonic area and for which Delrand will complement the above information with its own database.
Also in the southern DRC, detailed stream sampling results over the two Caspian permit areas have highlighted a distinct garnet population over one of the permit areas that will require more work. Mineral chemistry analysis will provide the chemical signature required to prioritise this work. The other Caspian permit has been relinquished.
Dr. Mike de Wit, President of the Company and a "qualified person" (as such term is defined in National Instrument 43-101), has reviewed and approved the technical information in this press release.
Delrand Resources Limited is an African-focused mineral explorer with projects in the Democratic Republic of the Congo. Current activities include diamond exploration projects and an iron ore exploration project. Other mineral projects are under consideration. Led by an experienced board and management team with a successful track record of exploration and mine development in Africa, the Company works in a systematic and responsible manner to discover, assess and develop mineral resources for the benefit of its shareholders and local stakeholders.
Cautionary Note Concerning Forward-Looking Statements
This press release contains forward-looking statements. All statements, other than statements of historical fact, that address activities, events or developments that the Company believes, expects or anticipates will or may occur in the future (including, without limitation, statements relating to exploration results, potential mineralization and plans and objectives with respect to mineral exploration) are forward-looking statements. These forward-looking statements reflect the current expectations or beliefs of the Company based on information currently available to the Company. Forward-looking statements are subject to a number of risks and uncertainties that may cause the actual results of the Company to differ materially from those discussed in the forward-looking statements, and even if such actual results are realized or substantially realized, there can be no assurance that they will have the expected consequences to, or effects on the Company. Factors that could cause actual results or events to differ materially from current expectations include, among other things, the possibility that future exploration results will not be consistent with expectations, changes in equity markets, uncertainties relating to the availability and costs of financing needed in the future, changes in commodity markets, foreign currency fluctuations, political developments in the DRC, changes to regulations affecting exploration or development activities, delays in obtaining or failure to obtain required project approvals, the uncertainties involved in interpreting geological data and the other risks involved in the mineral exploration business. Any forward-looking statement speaks only as of the date on which it is made and, except as may be required by applicable securities laws, the Company disclaims any intent or obligation to update any forward-looking statement, whether as a result of new information, future events or results or otherwise. Although the Company believes that the assumptions inherent in the forward-looking statements are reasonable, forward-looking statements are not guarantees of future performance and accordingly undue reliance should not be put on such statements due to the inherent uncertainty therein.
For further information, please visit our website, www.delrand.com.
Delrand Resources Limited
(416) 366-2221 or 1-800-714-7938
In Johannesburg and the DRC:
Delrand Resources Limited
Brian P. Scallan
Vice President, Finance
+27 82 902 6273 or +243 991772978