Nyota Minerals Regulatory News (NYO)

6 Feb 2006 07:00

Dwyka Diamonds Limited06 February 2006 Dwyka Diamonds Limited Discovery at Bosele Project • Macro diamonds recovered from two bulk samples of volcanoclatics • 48 diamonds recovered from 420 tonnes of material Dwyka Diamonds Limited ("Dwyka" or "the Company") (AIM, ASX: DWY), the AIM andASX listed diamond producer and developer, today announces that it has recoveredmacro diamonds from two bulk samples taken from its 70% owned Bosele project,located 90 km north west of Kimberley in South Africa. The find is of majorexploration significance as the diamonds were recovered on the property from anewly discovered volcanoclastic body that has a surface expression with a lengthof approximately 3km and breadth of 1.5km. Two bulk samples have been taken with both of them recovering diamonds. Thefirst, taken by Dwyka personnel, recovered 40 diamonds from approximately 150tonnes of material. The second sample was taken by an independent consultinggeologist and is being processed at De Beers' Evaluation Sampling Department inKimberley. To date 8 diamonds have been recovered from a sample of 270 tonnes,but processing is not yet complete. Dwyka has drilled the body in three areas and each drill hole was separated byover one kilometre. Each drilling campaign intersected crater facies sedimentsfrom a resedimented volcanoclastic body. The bulk testing proves this body to bediamondiferous and apart from diamond recovery, fragments of Group IIkimberlite, peridotite nodules and a whole suite of kimberlitic indicatorminerals have been found. Dwyka is in the process of finalising a strategy forthe continued exploration of the Bosele Project. Chairman of Dwyka, Melissa Sturgess, said "The recovery of macro diamonds fromthis body is a significant step forward for Dwyka. At a very low cost of ZAR2mwe have discovered a new diamondiferous body. We will ensure that we pursue itsfurther exploration and development at low cost to Dwyka, whilst maintaining theCompany's full exposure to its future production potential." The Bosele Project covers some 1,100 hectares in the Bellsbank area, north westof Kimberley in South Africa, which is known for a series of parallel Group IIkimberlite dykes or fissures. The Bellsbank area is known to produce diamonds ofexceptional quality, in the order of US$250+ per carat, making it one of thehighest dollar per carat producing areas in the world. For further information please contact:In Australia: In United Kingdom:Adrian Griffin, Melissa Sturgess Laurence Read/ Leesa PetersDwyka Diamonds Limited Conduit PR+61 (0) 8 9324 2955 +44 (0) 20 7429 6605/ +44 (0) 7812 159 885 Or visit: http://www.dwykadiamonds.com This information is provided by RNS The company news service from the London Stock Exchange