23 Jun 2011 07:00
23 June 2011 Drilling resumed at Seitaper¤ * Drilling programme at Seitaper¤ resumed * Extent of diamondiferous kimberlite at Seitaper¤ to be further tested * Further exploration in Finland based on Karelian and Rio Tinto data
Karelian Diamond Resources plc ("Karelian") (AIM: KDR, ESM: KDRI), is pleased to announce that it has resumed drilling on its Seitaper¤ diamondiferous kimberlite pipe, in the Kuhmo region of Finland.
The drilling at Seitaper¤ will consist of five or more drill holes. The objective is to further test the extent of the diamond-bearing kimberlite facies and the shape of the Seitaper¤ kimberlite pipe to a depth of approximately 100 metres.
The Seitaper¤ pipe, at 6.9 hectares, is the largest known kimberlite pipe in Finland. Previous drilling by the Company resulted in the recovery of 67 diamonds from 100kg including six macrodiamonds and 61 microdiamonds, some of which may be fragments of a larger diamond or diamonds which were present in the mantle xenoliths and broke apart during processing. These earlier findings suggest that there is potential for larger diamonds in Seitaper¤ with the majority of the kimberlite remaining untested.
The Company is also conducting exploration in other parts of Finland, based on the results of the first review and integration of the extensive database, including the results from over 53,000 till samples, which Rio Tinto has made available to the Company under the terms of the Confidentiality Agreement entered into with Karelian in July 2010.
Professor Richard Conroy, Chairman commented:
"I am delighted to see the resumption of drilling at Seitaper¤. Having already delineated the largest diamondiferous kimberlite discovered in Finland, we look forward to achieving further success both in Seitaper¤ and in the Kuhmo region in general and elsewhere in Finland."
Further Information:
Professor Richard Conroy, Chairman, Karelian Tel: +353-1-661-8958 Diamond Resources plc
Simon Clements/Virginia Bull, Merchant Securities Tel: +44-20-7628-2200 Limited (Nomad)
Brian Farrell, IBI Corporate Finance Limited (ESM Tel +353-1-637-7800 Adviser)
John Grant/Karen Kelly/David Lawman , XCAP Tel: +44-20-7101-7070 Securities PLC (Broker)
Michael Padley/Michael Spriggs, Lothbury Financial Tel: +44-20-7868-2010 Services Limited
Don Hall, Hall Communications Tel: +353-1-660-9377
http://www.kareliandiamondresources.com
XLON
Karelian (KDR)