Two companies next to Oraco Resources, with some 50 square kilometer concessions in Nimini Hills in the Kono district, east of Sierra Leone, have reported significant findings which demonstrate a tremendous potential in the area.
In a press release, one of these companies, Stellar Diamonds, PLC, announced that it had completed the final bulk sampling of diamond grades and values from its Lion-5 kimberlite dyke at their site in Kono.
Stellar's site is approximately 3.6 miles north and 3/4 of a mile east of Oraco's Nimini Hills holdings. Stellar reported that its final bulk sampling produced an in-situ (In place or position; undisturbed) grade of 90 carats per hundred tons (cpht).
The intriguing aspect of this report is that its kimberlite dykes run from the north-east portion of Stellar's holdings towards the south-west portion. It is anticipated that the kimberlite dykes will continue to run in the same direction through Oraco's holdings in Nimini Hills. Stellar's Chief Executive, Karl Smithson, commented that "the final results from the first phase of evaluation of the Lion-5 kimberlite prove that the body is of both high grade and high diamond quality. Based on these results, we are planning a resource definition drilling campaign over Lion-5, as well as the nearby Pol-K kimberlite, in order to establish a significant maiden resource for the Kono project."
The second company, Koidu Holdings (owned by BSG Resources LTD), who has employed over 1,500 workers, announced that the returns on their operations warranted the expansion of their plant from one that processed 50 tph to one that will process 130 tph.
Therefore, the total mining rate will be ramped up from 300, 000 tons a month to 1.5-million tons a month.
Koidu Holdings' site is located 8.38 miles north and 1.7 miles east of Oraco's Nimini Hills holdings.
Consistent with the results of Stellar's sampling, Koidu's kimberlite dykes run from the northeast corner of their site on a linear path southwesterly for approximately 4.7 miles. If these kimberlite dykes continue to run in their present direction for approximately 8.7 miles further, they should enter Oraco's Nimini Hills site.
