Peregrine Diamonds (TSX:PGD) has announced the positive outcome of an updated independent preliminary economic assessment for the Chidliak phase one diamond development incorporating the 2018 expanded diamond resource at the CH-6 and CH-7 kimberlite pipes on the company’s wholly-owned Chidliak diamond project on Baffin Island, Nunavut, Canada.

As quoted from the press release:

At Chidliak, the Company has discovered 74 kimberlites to date, with eight having been identified as potentially economic through drilling and microdiamond analysis, while other kimberlite pipes require additional work to determine their economic potential. The Company owns all of the diamond marketing and sales rights and there are no non-government royalties or other encumbrances on diamond production.

The updated PEA the company is announcing today utilizes the expanded Chidliak inferred mineral resource that was announced on February 15, 2018. Highlights of this expanded resource include:

• CH-6 Inferred Mineral Resource of 17.96 million carats in 7.46 million tonnes to 525 metres below surface (“mbs”) at an average grade of 2.41 carats per tonne (“cpt”) or 241 carats per hundred tonnes (“cpht”);
• Inferred Mineral Resource tonnage at CH-6 increased 61 percent from 4.64 million to 7.46 million tonnes;
• CH-6 contained carats increased by 58 percent from 11.39 million to 17.96 million carats;
• High-grade KIM-L domain with a grade of 4.49 cpt (449 cpht) now comprises 17 percent by volume of the updated CH-6 resource; and
• Total phase one diamond development inferred mineral resource at CH-6 and CH-7 now exceeds 22 million carats.

“Since the grass roots discovery of the prolific Chidliak diamond field by Peregrine ten years ago, a dedicated and talented team of mineral exploration professionals have worked tirelessly to bring the project to this point, the completion of a very robust, updated PEA. I personally thank them on behalf of all the stakeholders in Peregrine and have confidence that the diamond resource at Chidliak will continue to grow. We are currently assessing various options to advance the project and hope to be in a position to outline a comprehensive way forward to our shareholders very soon.” said Eric Friedland, Peregrine’s founder and executive chairman.

Click here to read the full press release