TORONTO, CANADA - Tsodilo Resources Limited (TSX Venture Exchange: TSD) ("Tsodilo" or the "Company") is pleased to provide the initial results of an independent diamond valuation of $197.68 USD per carat from two parcels consisting of 224 diamonds totaling 34.35 carats of commercial size (above 1mm), recovered from the BK16 kimberlite in Botswana.
Dr. Michiel de Wit, Tsodilo’s President and COO commented that “although the first parcel was small we are encouraged by the evaluation work which gave such a high value to the diamonds. We knew from the historic diamonds that the diamonds in BK16 were high quality gem stones and it is exciting to see this continuing in our LDD sample recoveries”.
Table 1. Individual diamonds that constitute 5% and over of the overall parcel value.
|LDD Hole||Sub-Sample||Diamond Size
|Notes on Quality||Value per carat
G Color Z Spotted Light
F Color Mb Gem High
J Color Z Gem High
Background on BK16
The BK16 kimberlite project is located within the Orapa Kimberlite Field (“OKF”) in Botswana. The diamond mines in Botswana have produced an average of 27 million carats annually in the last 10 years and Botswana is the world’s largest producer of diamonds by value. In 2017, the OKF area produced 11.07 million carats. Of the 83 known kimberlite bodies, eleven have been or are currently being mined. These are AK01, AK02 and AK07 (Orapa, Debswana), AK06 (Karowe, Lucara Diamond Corporation), BK01, BK09, BK12 and BK15 (Damtshaa, Debswana), DK01 and DK02 (Letlhakane, Debswana) and BK11 (Firestone Diamonds). The Karowe mine has produced such notable diamonds as the 1,109 carat 'Lesedi La Rona' and the 813 carat 'Constellation'.
The diamondiferous BK16 kimberlite pipe is approximately 6 hectares in size at surface and is known to contain rare and valuable Type IIa diamonds (see press release dated May 31, 2016 located on the Company’s website).
BK16 Diamond Valuation
Mr. Ferraris, in the presence of Tsodilo’s President Dr. Michiel de Wit as a company representative, conducted a detailed valuation and breakage study at the Diamond Technology Park (DTP) in Gaborone, Botswana of the first parcel of diamonds recovered by the recently completed LDD program on the BK16 kimberlite. The parcel consists of 224 diamonds, totaling 34.35 carats. The diamonds had been acid cleaned at a facility located at the DTP. The diamond parcel evaluated is fully complete and, in all respects, representative of the recovered sample and industry standards have been followed to ensure that a coherent “Chain of Custody” has been maintained.
The diamonds from each LDD sample was evaluated separately in the following manner:
Table 2 sets forth the per hole breakdown for the diamonds studied by Mr. Ferraris. Although the $USD per carat is somewhat variable this is due mainly to the sample size. It is important to note that these results are still preliminary since the processing of the LDD samples is ongoing and the auditing and re-crushing of the X-ray concentrates and tailings of the +3 and +8 mm fraction of the LDD samples has only just commenced.
Table 2. Valuation breakdown of the partially completed LDD samples
|Sample||Number of Diamonds||Carat
|Value / Carat
|Sample Total $USD||Number of Sub-Samples|
There is not a major difference on the value of the diamonds between the two main kimberlite phases, VK2 and VK3. The general price per carat of VK2 is greater than VK3, although the price of the larger diamonds is higher in VK3. Since these are only small parcels it is unclear if these are real or an artifact of the size of the population.
About Tsodilo Resources Limited
Tsodilo Resources Limited is an international diamond and metals exploration company engaged in the search for economic diamond and metal deposits at its Bosoto (Pty) Limited ("Bosoto") and Gcwihaba Resources (Pty) Limited ("Gcwihaba") projects in Botswana and its Idada 361 (Pty) Limited ("Idada") project in Barberton, South Africa. The Company has a 100% stake in Bosoto (Pty) Ltd. which holds the BK16 kimberlite project in the Orapa Kimberlite Field (OKF) in Botswana and the PL216/2017 diamond prospection license also in the OKF. The Company has a 100% stake in its Gcwihaba project area consisting of seven metal (base, precious, platinum group, and rare earth) prospecting licenses all located in the North-West district of Botswana. Additionally, Tsodilo has a 70% stake in Idada Trading 361 (Pty) Limited which holds the gold and silver exploration license in the Barberton area of South Africa. Tsodilo manages the exploration of the Gcwihaba, Bosoto and Idada projects. Overall supervision of the Company's exploration program is the responsibility of Dr. Mike de Wit, President and COO of the Company and a "qualified person" as such term is defined in National Instrument 43-101.
This press release may contain forward-looking statements. All statements, other than statements of historical fact, that address activities, events or developments that the Company believes, expects or anticipates will or may occur in the future (including, without limitation, statements pertaining to the use of proceeds, the impact of strategic partnerships and statements that describe the Company’s future plans, objectives or goals) are forward-looking statements. These forward-looking statements reflect the current expectations or beliefs of the Company based on information currently available to the Company. Forward-looking statements are subject to a number of risks and uncertainties that may cause the actual results of the Company to differ materially from those discussed in the forward-looking statements, and even if such actual results are realized or substantially realized, there can be no assurance that they will have the expected consequences to, or effects on the Company. Factors that could cause actual results or events to differ materially from current expectations include, among other things, changes in equity markets, changes in general economic conditions, market volatility, political developments in Botswana and surrounding countries, changes to regulations affecting the Company's activities, uncertainties relating to the availability and costs of financing needed in the future, exploration and development risks, the uncertainties involved in interpreting exploration results and the other risks involved in the mineral exploration business. Any forward-looking statement speaks only as of the date on which it is made and, except as may be required by applicable securities laws, the Company disclaims any intent or obligation to update any forward-looking statement, whether as a result of new information, future events or results or otherwise. Although the Company believes that the assumptions inherent in the forward-looking statements are reasonable, forward-looking statements are not guarantees of future performance and accordingly undue reliance should not be put on such statements due to the inherent uncertainty therein.
Neither the TSX Venture Exchange (“TSXV”) nor its Regulation Services Provider (as that term is defined in the policies of the TSXV) accepts responsibility for the adequacy or accuracy of this news release. This news release may contain assumptions, estimates, and other forward-looking statements regarding future events. Such forward-looking statements involve inherent risks and uncertainties and are subject to factors, many of which are beyond the Company's control, which may cause actual results or performance to differ materially from those currently anticipated in such statements.
FOR FURTHER INFORMATION PLEASE CONTACT:
|James M. Bruchs||Chairman and Chief Executive Officer|
|Dr. Mike de Wit||President and Chief Operating Officer|
|Head Office||Telephone +1 416 572 2033||Facsimile + 1 416 987 4369|
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