Peregrine Diamonds Completes Subscription Agreement With De Beers Canada

Peregrine Diamonds Ltd. (TSX:PGD) announced it has completed an option and subscription agreement with De Beers Canada Inc. to enter into an earn-in and joint venture agreement for the Chidliak diamond project.

As quoted in the press release:

Under the Joint Venture, De Beers will be the project operator and will undertake mineral exploration and development work potentially leading to the completion of a National Instrument (“NI”) 43-101 compliant, Bankable Feasibility Study (“BFS”) and, if warranted, the construction of a diamond mine.

As consideration for the Option, De Beers will complete a $2.5 million private placement unit offering in Peregrine priced at $0.75 per unit. Each unit consists of one common share and one-half share purchase warrant with each whole warrant entitling De Beers to buy a common share in Peregine for $2.00 per share for a period of 24 months.

Click here to read the Peregrine Diamonds Ltd. (TSX:PGD) press release.