Diamond

TSX and OTCQX: MPVD

 Mountain Province Diamonds Inc. ("Mountain Province", the "Company") (TSX: MPVD) (OTC: MPVD) today announces positive exploration results for its 100%-held Kennady North Project. The Kennady North Project includes over 113,000 hectares of claims and leases that completely surround the Gahcho Kué Diamond Mine. The 2022 exploration program focused on new discoveries through a detailed analysis of both new and historic geophysical, geological, and kimberlite indicator mineral ('KIM') data. Interim results for the winter program that focused on geophysical surveys and drilling of lake-based anomalies were reported previously ( see news release May 17, 2022 ). The summer program focused on drilling land-accessible geophysical targets and on follow-up till sampling over KIM anomalies generated from the 2021 till sampling program. The combined exploration results for 2022 are summarized in this news release including the new discovery of the Hearn Northwest Extension at the Gahcho Kué joint venture as previously announced.

Highlights of the 2022 Kennady North Exploration Program

  • The new KE kimberlite area discovered
    • New and distinct occurrence that is located roughly 450 meters east of the Kelvin kimberlite
    • Defined by three drillholes that have confirmed a series of hypabyssal kimberlite sheets ('HK') with a maximum HK intersect of 2.13 meters, that appear to be new and distinct from the nearby Kelvin deposit
    • Further drilling of the KE kimberlite is currently planned for the 2023 exploration program
  • Over 5,000m of Exploration Drilling
    • 25 of 35 exploration drillholes intersected kimberlite
    • Eight volcaniclastic kimberlite intersections on the North Anomaly
  • Geophysical Surveys
    • 1,291 line-km of airborne magnetics and electromagnetics
    • 189 line-km of high-resolution resistivity (ARRT) data
    • 30 line-km of ground magnetics
    • 3,139 ground gravity and 161 bathymetry measurements
    • Historic HLEM and magnetics identified the KE kimberlite
  • Kimberlite indicator Minerals
    • Over 600 strategic till samples processed and assessed from 2021
    • Over 300 follow-up till samples in 2022 confirming the 2021 sampling strategies
    • Positive KIM dispersals identified new areas for geophysics and drilling
  • Metals Exploration
    • Intersection of a hydrothermal breccia with quartz veining and sulfides, which remains under review
    • Glacial sediment geochemistry identified areas of interest
    • A new claim block was added after a detailed review of historical drill logs was conducted and determined that a drill hole was logged in the early 1990's as an intersection from 108 to 176 meters of granite/quartz syenite with magnetite veinlets throughout the interval and 2% molybdenite based on visual estimations

Exploration Drilling

A total of 5,355.9 meters of exploration drilling was completed over the 2022 programs with 25 of 35 drillholes intersecting kimberlite.

The KE kimberlite is a new and distinct occurrence that is located roughly 450 meters east of the Kelvin kimberlite. The KE discovery resulted from a review of historical horizontal loop electromagnetic ('HLEM') and magnetic geophysical data and was drilled at the end of the summer program. The KE kimberlite is defined by three drillholes that have confirmed a series of hypabyssal kimberlite sheets ('HK') with a maximum HK intersect of 2.13 meters. Further drilling of the KE kimberlite is planned for the 2023 exploration program.

Drilling on the North, South, KS, G6, A003 and P1 anomalies was guided by results from the winter ARRT and ground gravity surveys. Kimberlite was intersected at all but the G6, A003 and P1 areas, see the map on the following page.

Thirteen of fifteen drillholes completed at the North Anomaly have identified depth-extensive zones of HK mixed with highly altered country rock up to 6.93m in thickness. VK intersects mixed with HK up to 7.05m in thickness have been intersected in eight drillholes, with 3D modeling of the drilling indicating lateral continuity for the VK. At the Kelvin and Faraday kimberlites, VK comprises the greatest volume and its presence at the North Anomaly is considered a good indication for volume potential to be discovered with further drilling.

At the South Anomaly all five drillholes have HK present with thicknesses up to 6.96 meters. Country rock breccia consisting of highly comminuted gneiss mixed with kimberlite has also been observed, and is considered indicative of volume potential for the South Anomaly. Five of seven drillholes at the KS anomaly intersected HK kimberlite up to 3.52m in thickness.

Locations for the drill-tested anomalies relative to the Kelvin and Faraday kimberlites are shown in the first image, with the anomalies abbreviated in bold. Also shown are known kimberlites as green diamonds.

Kennady North (CNW Group/Mountain Province Diamonds Inc.)

Two drillholes each at the A003 and G6 anomalies were completed with only diabase and granitoid crustal rocks encountered. A summary of all 2022 exploration drilling is provided in the table shown. Numbers in bold italics include VK intersects.

KE Anomaly

Drill Hole

Azimuth 2

Inclination 2

Kimberlite Intersect 1,2 (m)

End of Hole 2 (m)

From

To

Length 1

KDI-22-033

151.4

-41.5

67.35

67.45

0.1

196



plus

69.55

69.9

0.35




plus

70.5

70.7

0.2




plus

75.1

75.7

0.6




plus

76.3

76.55

0.25




plus

79.1

79.25

0.15


KDI-22-034

154.5

-65.9

60

60.1

0.1

179



plus

61.05

61.75

0.7




plus

65.1

66.05

0.95




plus

67.45

68.2

0.75


KDI-22-035

154.8

-84.7

65.42

65.96

0.54

158



plus

70.47

72.6

2.13




plus

73.09

73.8

0.71


North Anomaly

Drill Hole

Azimuth 2

Inclination 2

Kimberlite Intersect 1,2 (m)

End of Hole 2 (m)

From

To

Length 1

KDI-22-008

128.5

-71.2

75.86

81.48

5.62

121

KDI-22-010

135.8

-49.4

83.27

86.59

3.32

127.4

KDI-22-012

47.9

-46.1

107.05

113.98

6.93

150

KDI-22-013

49.4

-60.7

81.56

81.75

0.19

121



plus

82.61

82.98

0.37




plus

83.68

83.88

0.2




plus

85.07

85.45

0.38




plus

86.1

86.13

0.03




plus

86.3

86.52

0.22




plus

87.72

88.75

1.03


KDI-22-015

45.6

-51.8

76.76

76.85

0.09

130



plus

77.66

78.6

0.94




plus

80.73

81.06

0.37




plus

83.92

86.82

2.9


KDI-22-016

45

-62

69.5

72.4

2.9




plus

73.15

73.7

0.55


KDI-22-019

221.9

-52.4

76.6

76.76

0.16




plus

77.13

78.83

1.7


KDI-22-021

220.8

-60.8

69.12

72.16

3.04

152



plus

73.57

77.56

3.99









KDI-22-023A

216.2

-68.3

60.81

63.62

2.81

80



plus

64.32

65.68

1.36


KDI-22-023B

217

-68.5

59.85

64.72

4.78

149








KDI-22-024

224.9

-84

63.1

68.01

4.91

104

KDI-22-025

154.6

-53.9

55.78

58.3

2.52

98

KDI-22-026

239.6

-57.1

89.24

96.29

7.05

141.6

KDI-22-027

165.2

-54.9

--

--

--

176

KDI-22-028

178.4

-68.8

--

--

--

176

South Anomaly

Drill Hole

Azimuth 2

Inclination 2

Kimberlite Intersect 1,2 (m)

End of Hole 2 (m)

From

To

Length 1

KDI-22-001

307.4

-46.1

109

113.13

4.13

163

KDI-22-002

294.3

-65

84.19

90.06

5.87

114.7

KDI-22-003

48.6

-45.5

115.02

121.98

6.96

142

KDI-22-004

46.2

-69.4

98.57

99.25

0.68

139

KDI-22-007

182

-89

66.03

68.42

2.39

121



plus

79.97

81.45

1.48




plus

85.48

86.57

1.09


KS Anomaly

Drill Hole

Azimuth 2

Inclination 2

Kimberlite Intersect 1,2 (m)

End of Hole 2 (m)

From

To

Length 1

KDI-22-005

35.1

-46.1

217.08

218.57

1.49

163

KDI-22-006

31.3

-54.7

--

--

--

114.7

KDI-22-009

26

-67.7

63.51

63.76

0.25

93.2

KDI-22-011

24.9

-52.5

--

--

--

152

KDI-22-018

27

-50

35.5

35.65

0.15

160



plus

37

37.25

0.25




plus

40.2

40.5

0.3




plus

46.46

47.71

1.25




plus

65.14

66

0.86


KDI-22-020

26.4

-65

31.91

32.08

0.17

148



plus

37.52

37.89

0.37





46.91

50.43

3.52


KDI-22-022

26.4

-80

40.03

43

2.97

124



plus

43.2

43.75

0.55


P1 Hydrothermal Breccia

Drill Hole

Azimuth 2

Inclination 2

Kimberlite Intersect 1,2 (m)

End of Hole 2 (m)

From

To

Length 1

KDI-22-031

247

-54.5

--

--

--

200


quartz vein


56.47

59.41

2.94



quartz vein


186.33

190.56

4.23


KDI-22-032

246.2

-83.3

--

--

--

170


quartz vein


169

170

1


G6 Anomaly (diabase, granitoid)

Drill Hole

Azimuth 2

Inclination 2

Kimberlite Intersect 1,2 (m)

End of Hole 2 (m)

From

To

Length 1

KDI-22-014

228.7

-47.6

--

--

--

200

KDI-22-017

227

-61.1

--

--

--

200

A003S Anomaly (granitoid)

Drill Hole

Azimuth 2

Inclination 2

Kimberlite Intersect 1,2 (m)

End of Hole 2 (m)

From

To

Length 1

KDI-22-029

75.2

-54.1

--

--

--

119

KDI-22-030

76.7

-46.4

--

--

--

95

1 Kimberlite intersects are not true thicknesses. 2 Initial measurements from field logs may vary after final surveying and logging is completed.


P1 Hydrothermal Breccia

Two drillholes testing a near-land gravity and ARRT anomaly intersected hydrothermal breccia with associated sulfide mineralization that has not been previously observed in this region. The veining is clearly hydrothermal with quartz exhibiting both massive and vuggy textures that are intimately associated with pyrite. The veins run from a few centimeters up to 4.23 meters in continuous thickness and are associated with hydrothermally altered granite and diabase up to 60m in thickness. Initial whole rock and trace element data for 14 core samples of both the veins and altered country rock have not revealed any anomalous levels of base or precious metals. Further sampling of the hydrothermal breccia for geochemical analysis is presently underway with results expected in early 2023. Selected images of the P1 core are provided in the second image.

Representative samples from KDI-22-031C over the interval 50-190m. Core is ~48mm (NQ) (CNW Group/Mountain Province Diamonds Inc.)

Geophysics

The target areas of interest ('AOI') were selected from recently-compiled studies of glacial geology and kimberlite indicator mineral (KIM) dispersions over the project area. Additional target AOI were selected following a review of historical geophysical data for Kennady North. These datasets were reviewed in several in-house workshops held in late 2021 and early 2022, with final ranking of sixteen AOI completed in a joint workshop held with De Beers in February 2022 . The sixteen AOI were scheduled for ARRT and ground gravity surveys during the winter program, with a total of 188.8 line-km of ARRT and 3,139 gravity stations completed over the targets. ARRT is a proprietary land-based resistivity system developed by Aurora Geoscience ( Yellowknife, NT ) that aided in the discovery of kimberlite at the NA, SA and KS anomalies as described above. ARRT is a high-resolution ground resistivity system developed by Aurora Geoscience Ltd. ( Yellowknife, NT ) that recognizes the physical contrast between competent country rock versus country rock that is broken and altered from emplacement of the adjacent kimberlite.

In addition to the ground geophysical surveys, an airborne magnetic/electromagnetic survey was conducted over an area located immediately southeast of Gahcho Kué for which no historical geophysical data existed. A total of 1,291 line-km of data were collected over the area. One area that lies within the Palmer P13 KIM area of interest was surveyed with ground magnetics and gravity. The two anomalies identified on the new survey are indicated as red circles on the third and fourth images.

New airborne (CNW Group/Mountain Province Diamonds Inc.)

P13 (CNW Group/Mountain Province Diamonds Inc.)

The discovery of the KE kimberlite resulted from an ongoing re-interpretation of our historic HLEM and magnetic data that has identified an additional 13 drill-ready target areas within the core area of the Kennady North Project. These are included in the red circles in the fifth image. Many of the anomalies lie near or within Palmer ('P') AOI that are defined by KIM dispersions. These new anomalies are presently under review with the intent to drill in winter of 2023.

Core Anomalies (CNW Group/Mountain Province Diamonds Inc.)

Kimberlite Indicator Minerals

Over 600 till samples were collected over the project area in 2021, with half of those covering the recently staked Kennady East claims. The results have identified a ubiquitous dispersion of chromite on the Kennady East claims. Based on morphology and surface features, the chromite is believed to be non-kimberlitic and is eroded from metavolcanics and metasediments that dominate the geology of these claims. Non-kimberlitic olivine is also present and is likely derived from the same sources as the chromite.

Within the background chromite on Kennady East, two separate KIM anomalies are defined by pyrope and by chrome diopside, and follow-up sampling was conducted in 2022 to fill in these anomalies. On the Western Claims, the 2022 infill sampling has also confirmed the presence of a strong KIM train in the southwest of the project area, with 29 pyrope in one sample at the suspected head of one of the dispersions. Results for the remaining samples collected in 2022 are expected in early 2023 and will further resolve these early results.

All of the samples were treated at the SRC Diamond Lab ( Saskatoon, SK ) for KIM recovery. The distribution of 2021 till sample results is shown in the sixth image, with blue arrows indicating pyrope and chrome diopside anomalies on the Kennady East Claims, and the orange arrow showing the location of the sample containing 29 pyrope.

Kennady East Claims (CNW Group/Mountain Province Diamonds Inc.)

Metals Exploration

An extensive geochemical and drilling database exists over the Kennady North project area. In 2019 a due diligence review of historical drilling and glacial sediment geochemical data was started, to ensure that both diamonds and metals discovery potential was not overlooked. Historic drillhole MPV-97-021C that was logged from 108 to 176 meters was reported as granite/quartz syenite with magnetite veinlets throughout the interval and 2% molybdenite based on visual estimations. Consequently five claims were secured over rocks of interest associated with this drillhole. The Western Extension claims are noted on the seventh image, which also shows the distribution of glacial sediment geochemistry samples for the project area.

Western Extension (CNW Group/Mountain Province Diamonds Inc.)

****

About the Company

Mountain Province Diamonds is a 49% participant with De Beers Canada in the Gahcho Kué diamond mine located in Canada's Northwest Territories . The Gahcho Kué Joint Venture consists of several kimberlites that are actively being mined, developed, and explored for future development. The Company also controls over 113,000 hectares of highly prospective mineral claims and leases surrounding the Gahcho Kué Mine that include an Indicated mineral resource for the Kelvin kimberlite and Inferred mineral resources for the Faraday kimberlites. Kelvin is estimated to contain 13.62 million carats (Mct) in 8.50 million tonnes (Mt) at a grade of 1.60 carats/tonne and value of US$63 /carat. Faraday 2 is estimated to contain 5.45Mct in 2.07Mt at a grade of 2.63 carats/tonne and value of US$140 /ct. Faraday 1-3 is estimated to contain 1.90Mct in 1.87Mt at a grade of 1.04 carats/tonne and value of US$75 /carat. All resource estimations are based on a 1mm diamond size bottom cut-off.

For further information on Mountain Province Diamonds and to receive news releases by email, visit the Company's website at www.mountainprovince.com .

Qualified Person

The disclosure in this news release of scientific and technical information regarding Mountain Province's mineral properties has been reviewed and approved by Matthew MacPhail , P.Eng., MBA, and Tom E. McCandless , Ph.D., P.Geo., both employees of Mountain Province Diamonds and Qualified Persons as defined by National Instrument 43-101 Standards of Disclosure for Mineral Projects.

Caution Regarding Forward Looking Information

This news release contains certain "forward-looking statements" and "forward-looking information" under applicable Canadian and United States securities laws concerning the business, operations and financial performance and condition of Mountain Province Diamonds Inc. Forward-looking statements and forward-looking information include, but are not limited to, statements with respect to operational hazards, including possible disruption due to pandemic such as COVID-19, its impact on travel, self-isolation protocols and business and operations, estimated production and mine life of the project of Mountain Province ; the realization of mineral reserve estimates; the timing and amount of estimated future production; costs of production; the future price of diamonds; the estimation of mineral reserves and resources; the ability to manage debt; capital expenditures; the ability to obtain permits for operations; liquidity; tax rates; and currency exchange rate fluctuations.  Except for statements of historical fact relating to Mountain Province , certain information contained herein constitutes forward-looking statements. Forward-looking statements are frequently characterized by words such as "anticipates," "may," "can," "plans," "believes," "estimates," "expects," "projects," "targets," "intends," "likely," "will," "should," "to be", "potential" and other similar words, or statements that certain events or conditions "may", "should" or "will" occur.  Forward-looking statements are based on the opinions and estimates of management at the date the statements are made, and are based on a number of assumptions and subject to a variety of risks and uncertainties and other factors that could cause actual events or results to differ materially from those projected in the forward-looking statements.  Many of these assumptions are based on factors and events that are not within the control of Mountain Province and there is no assurance they will prove to be correct.

Factors that could cause actual results to vary materially from results anticipated by such forward-looking statements include the development of operation hazards which could arise in relation to COVID-19, including, but not limited to protocols which may be adopted to reduce the spread of COVID-19 and any impact of such protocols on Mountain Province's business and operations, variations in ore grade or recovery rates, changes in market conditions, changes in project parameters, mine sequencing; production rates; cash flow; risks relating to the availability and timeliness of permitting and governmental approvals; supply of, and demand for, diamonds; fluctuating commodity prices and currency exchange rates, the possibility of project cost overruns or unanticipated costs and expenses, labour disputes and other risks of the mining industry, failure of plant, equipment or processes to operate as anticipated.

These factors are discussed in greater detail in Mountain Province's most recent Annual Information Form and in the most recent MD&A filed on SEDAR, which also provide additional general assumptions in connection with these statements. Mountain Province cautions that the foregoing list of important factors is not exhaustive. Investors and others who base themselves on forward-looking statements should carefully consider the above factors as well as the uncertainties they represent and the risk they entail. Mountain Province believes that the expectations reflected in those forward-looking statements are reasonable, but no assurance can be given that these expectations will prove to be correct and such forward-looking statements included in this news release should not be unduly relied upon. These statements speak only as of the date of this news release.

Although Mountain Province has attempted to identify important factors that could cause actual actions, events or results to differ materially from those described in forward-looking statements, there may be other factors that cause actions, events or results not to be anticipated, estimated or intended.  There can be no assurance that forward-looking statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Mountain Province undertakes no obligation to update forward-looking statements if circumstances or management's estimates or opinions should change except as required by applicable securities laws. The reader is cautioned not to place undue reliance on forward-looking statements. Statements concerning mineral reserve and resource estimates may also be deemed to constitute forward-looking statements to the extent they involve estimates of the mineralization that will be encountered as the property is developed.

Further, Mountain Province may make changes to its business plans that could affect its results. The principal assets of Mountain Province are administered pursuant to a joint venture under which Mountain Province is not the operator. Mountain Province is exposed to actions taken or omissions made by the operator within its prerogative and/or determinations made by the joint venture under its terms. Such actions or omissions may impact the future performance of Mountain Province . Under its current note and revolving credit facilities Mountain Province is subject to certain limitations on its ability to pay dividends on common stock. The declaration of dividends is at the discretion of Mountain Province's Board of Directors, subject to the limitations under the Company's debt facilities, and will depend on Mountain Province's financial results, cash requirements, future prospects, and other factors deemed relevant by the Board.

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SOURCE Mountain Province Diamonds Inc.

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MPVD:CA,MPVDF

Mountain Province Diamonds Completes Phase One Drilling For the Hearne Northwest Extension Discovery at Gahcho Kué Mine

TSX and OTCQX: MPVD

Mountain Province Diamonds Inc. ("Mountain Province", the "Company") (TSX: MPVD) (OTC: MPVD) is pleased to provide phase one drilling results for the discovery as reported in July 2022 of the Hearne Northwest Extension at Gahcho Kué Mine. The Hearne kimberlite is one of four kimberlites being mined at Gahcho Kué Mine, which is presently ranked as 4 th in the world by annual diamond production. Mountain Province is a 49% shareholder at Gahcho Kué with joint venture partner De Beers Canada as operators.

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LUCARA ANNOUNCES OPERATING GUIDANCE FOR 2023

TSX: LUC) (BSE: LUC) (Nasdaq Stockholm: LUC)

Lucara Diamond Corp. ("Lucara" or the "Company") is pleased to provide operating guidance for 2023 (all amounts in USD unless otherwise stated).

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Mountain Province Diamonds Update on Special Meeting Business

TSX and OTC: MPVD

Mountain Province Diamonds Inc. ("Mountain Province" or the "Company") ( TSX: MPVD) (OTC: MPVD ) today announces that it has issued an amendment to its management information circular dated October 28, 2022 (the "Circular") relating to the special meeting of shareholders scheduled for December 1, 2022 (the "Special Meeting").  In order to give shareholders additional time to review and consider the amended Circular, the Company intends to adjourn the Special Meeting until December 12, 2022 at 10:00 a. m . Eastern Time.

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STAR DIAMOND CORPORATION ANNOUNCES PENDING RETIREMENT OF KEN MACNEILL

TSX: DIAM

 Star Diamond Corporation ("Star Diamond" or the "Company") announces today that Ken MacNeill Star Diamond's President and Chief Executive Officer, and the Company's board of directors have mutually agreed that he will retire as an executive and director of the Company effective December 31, 2022 .

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LUCARA DIAMOND CORP. ANNOUNCES EXTENDED DIAMOND SALES AGREEMENT WITH HB

TSX: LUC), (BSE: LUC), (Nasdaq Stockholm: LUC)

Lucara Diamond Corp. ("Lucara" or the "Company") is pleased to announce today that it has entered into an extended diamond sales agreement (the "Agreement") with Lucara Botswana (Proprietary) Limited ("Lucara Botswana"), and HB Trading BV ("HB"), for the purpose of selling +10.8 carat rough diamonds produced from Lucara's Karowe mine until December 31 , 2032.  Lucara first partnered with HB in 2020 to sell Karowe's large, high value diamonds, which have historically accounted for approximately 60% to 70% of Lucara's annual revenues.  The Agreement extends this arrangement for ten years. PDF Version

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STAR DIAMOND CORPORATION ANNOUNCES THIRD QUARTER 2022 RESULTS

TSX: DIAM

Star Diamond Corporation ("Star Diamond" or the "Company") today reported its financial results for the quarter ended September 30, 2022 .

Star Diamond logo (CNW Group/Star Diamond Corporation)

Overview

Star Diamond Corporation is a Canadian natural resource company focused on exploring and developing Saskatchewan's diamond resources. Star Diamond holds, through a joint venture arrangement with Rio Tinto Exploration Canada Inc. ("Rio Tinto Canada"), a wholly-owned subsidiary of Rio Tinto plc or "Rio Tinto", a 25% interest in certain mineral properties (which includes the Star – Orion South Diamond Project, or "Project") within the Fort à la Corne diamond district of central Saskatchewan, Canada . These properties are in close proximity to established infrastructure, including paved highways and the electrical power grid, which provide significant advantages for future mine development. Rio Tinto Canada refers to their Fort à la Corne mineral properties as "Project FalCon".

Fort à la Corne mineral properties

On June 28, 2022 , Rio Tinto Canada exercised its voting power at a meeting of the Fort à la Corne joint venture management committee to place the Fort à la Corne properties on care and maintenance through December 31, 2022 . Rio Tinto Canada also advised that, subject to fulfilling its existing obligations, it does not intend to commit additional capital to the Fort à la Corne properties during 2022 beyond what is necessary for care and maintenance. Rio Tinto Canada also advised the Company that it intends to conduct a near-term review of its alternatives regarding the Fort à la Corne properties, including its potential exit. During the meeting, Rio Tinto Canada stated that it remains pleased with the results of the comprehensive studies and bulk sampling program that have been completed to date at the Project.

Star Diamond continues to work with Rio Tinto Canada in assessing alternatives regarding the Project. These discussions remain at an early stage and there is no certainty that any agreement will be reached between Star Diamond and Rio Tinto Canada regarding any such potential arrangements.

Quarterly results

For the quarter ended September 30, 2022 , the Company recorded a net loss of $0.5 million or $0.00 per share (basic and fully diluted) compared to a net loss of $2.0 million or $0.00 per share for the same period in 2021. The losses during these quarters were due to operating costs and exploration and evaluation expenditures incurred by the Company exceeding interest income earned on cash and cash equivalents.

Year to Date Results

For the nine months ended September 30, 2022 , the Company recorded a net loss of $2.1 million or $0.00 per share (basic and fully diluted) compared to a net loss of $5.2 million or $0.01 per share for the same period in 2021. The losses during the nine month periods ended September 30, 2022 and 2021 were primarily due to ongoing operating costs and exploration and evaluation expenditures incurred by the Company exceeding interest and other income earned. The decrease between periods was primarily due to lower consulting and professional expenditures and exploration and evaluation expenditures incurred as well as lower share-based payments expensed during the nine months ended September 30, 2022 .

Selected financial highlights include:

Condensed Consolidated Statements of Financial Position

As at

September 30,

2022

As at

December 31,

2021

Current assets

$    3.3  M

$    1.5  M

Exploration and evaluation, capital and other assets

66.7  M

67.9  M

Current liabilities

0.1  M

3.1  M

Non-current liabilities

0.9  M

1.1  M

Shareholders' equity

69.0  M

65.2  M

Condensed Consolidated Statements of Loss

Three Months
Ended

September 30,

2022

Three Months
Ended

September 30,

2021

Nine Months
Ended
September 30,

2022

Nine Months
Ended
September 30,

2021

Interest and other income

$    0.0  M

$    0.0  M

$    0.0  M

$    0.0  M

Expenses

0.2  M

1.9  M

1.7  M

5.2  M

Investment in Wescan Goldfields Inc. and other items

(0.3) M

(0.1) M

(0.4) M

0.0  M

Net loss for the period

0.5  M

2.0  M

2.1  M

5.2  M

Net loss per share for the period (basic and diluted)

0.00

0.00

0.00

0.01

Condensed Consolidated Statements of Cash Flows

Quarter Ended
September 30,

2022

Quarter Ended
September 30,

2021

Cash flows from operating activities

$  (4.5) M

$  (4.3) M

Cash flows from investing activities

0.6  M

0.0  M

Cash flows from financing activities

5.7 M

1.9 M

Net decrease in cash

1.8  M

(2.4) M

Cash – beginning of period

1.3 M

4.7 M

Cash – end of period

3.1  M

2.3  M

Outlook

The provincial environmental approval of the Project received in 2018, alongside the previous positive federal decision, marked a major milestone for the Project. In addition, the positive results of the 2018 independent PEA show that the Project can be economically developed and operated while providing direct employment for hundreds of people throughout the construction phase and hundreds of people continuously over its estimated 38 year mine life.

Following the successful completion of the 2017 consolidation of the Fort à la Corne mineral properties, the arrangements announced in December 2021 were intended to ensure that key project milestones, and the certainty associated with them, will have been achieved before Star Diamond has to contribute any additional capital. Due to the June 2022 decision by Rio Tinto Canada to exercise its voting power to place the Fort à la Corne properties on care and maintenance through December 31, 2022 no additional exploration programs will occur on site in 2022. During the June 2022 meeting, Rio Tinto Canada also stated that it remains pleased with the results of the comprehensive studies and bulk sampling program that have been completed to date at the Project. Though the board of directors of Star Diamond is disappointed by these decisions, Star Diamond intends to work with Rio Tinto Canada in assessing alternatives regarding the Fort à la Corne properties.

As of November 10, 2022 , the Company had approximately $3.0 million in cash and cash equivalents. A portion of the Company's cash and cash equivalents will be used for programs (including remaining flow-through commitments) to further assess, evaluate and advance certain aspects of the Company's mineral properties, as well as for general corporate matters.

About Star Diamond Corporation

Star Diamond is a Canadian based corporation engaged in the acquisition, exploration and development of mineral properties. Shares of the Company trade on the TSX under the trading symbol "DIAM". The Fort à la Corne kimberlites (including the Project) are located in central Saskatchewan in close proximity to established infrastructure, including paved highways and the electrical power grid, which provide significant advantages for future mine development.

During 2018, the Company announced the positive results of the independent PEA on the Project. The PEA estimates that 66 million carats of diamonds could be recovered in a surface mine over a 38-year Project life, with a Net Present Value ("NPV") (7%) of $2.0 billion after tax, an Internal Rate of Return ("IRR") of 19% and an after-tax payback period of 3.4 years after the commencement of diamond production.

During 2018, the Saskatchewan Ministry of Environment approved the Project. The Canadian Environmental Assessment Agency previously announced a positive Environmental Assessment Decision for the Project by the federal Environment Minister.

Caution Regarding Forward-looking Statements

This news release contains forward-looking statements as defined by certain securities laws, including the "safe harbour" provisions of Canadian securities legislation and the United States Private Securities Litigation Reform Act of 1995. Forward-looking information is often, but not always, identified by the use of words such as "anticipate", "believe", "expect", "plan", "intend", "forecast", "target", "project", "guidance", "may", "will", "should", "could", "estimate", "predict" or similar words suggesting future outcomes or language suggesting an outlook. In particular, statements regarding the Company's future operations, future exploration and development activities or other development plans constitute forward-looking statements. By their nature, statements referring to mineral reserves, mineral resources or the PEA constitute forward-looking statements. Forward-looking statements contained or implied in this news release include, but are not limited to, statements relating to the Company's ability to continue as a going concern; statements regarding Rio Tinto Canada's advice that it will not commit additional capital to the Fort à la Corne properties during 2022 beyond care and maintenance; statements regarding future capital commitments, programs and plans by Rio Tinto Canada, including its review of alternatives regarding the Fort à la Corne properties and potential exit (and Star Diamond's intention to work with Rio Tinto Canada in assessing such alternatives) and terms of any possible future agreement that may be reached between Star Diamond and Rio Tinto Canada regarding the Project; disclosure regarding the economics and project parameters presented in the PEA, including, without limitation, IRR, NPV and other costs and economic information, carats of diamonds to be recovered, after-tax payback period, tonnes of kimberlite to be mined, carats per tonne to be recovered (grade), diamond prices, project life, life of mine, capital costs, and length of pre-production period; statements related to mineral resources and/or reserves; statements related to the approval of the development of the Star - Orion South Diamond Project; statements relating to future development of the Star - Orion South Diamond Project and associated timelines; statements with respect to environmental permitting and approvals; the anticipated use of the Company's cash and cash equivalents; the Company's need for and intention to seek additional financing; statements with respect to metallurgical and diamond investigations, assessments and test work including diamond breakage studies; the potential proportion of Type IIa diamonds in the Star, Orion South , Orion North and Taurus kimberlites and the potential for the recovery of large, high-quality diamonds.

These forward-looking statements are based on the Company's current beliefs as well as assumptions made by and information currently available to it and involve inherent risks and uncertainties, both general and specific. Risks exist that forward-looking statements will not be achieved due to a number of factors including, but not limited to, developments in world diamond markets, changes in diamond valuations, risks relating to fluctuations in the Canadian dollar and other currencies relative to the US dollar, changes in exploration, development or mining plans due to exploration results and changing budget priorities of Rio Tinto Canada or the Company, the nature and outcome of studies, analyses, criteria or conditions that Rio Tinto Canada may consider relevant to its assessment of whether to seek to further invest in the Project or seek to develop the Project into an operating mine, the effects of competition in the markets in which the Company operates, the impact of the COVID-19 pandemic, risks related to diamond breakage from extraction and diamond recovery, risks related to the Company's need for additional financing and the Company's ability to raise that financing, the impact of changes in the laws and regulations regulating mining exploration and development, judicial or regulatory judgments and legal proceedings, operational and infrastructure risks and the additional risks described in the Company's most recently filed Annual Information Form, annual and interim MD&A, news releases and technical reports. The Company's anticipation of and success in managing the foregoing risks could cause actual results to differ materially from what is anticipated in such forward-looking statements.

Although the Company considers the assumptions contained in forward-looking statements to be reasonable based on information currently available to it, those assumptions may prove to be incorrect. When making decisions with respect to the Company, investors and others should not place undue reliance on these statements and should carefully consider the foregoing factors and other uncertainties and potential events. Unless required by applicable securities laws, the Company does not undertake to update any forward-looking statement that is made herein.

www.stardiamondcorp.com

SOURCE Star Diamond Corporation

Cision View original content to download multimedia: http://www.newswire.ca/en/releases/archive/November2022/10/c9692.html

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