Apr 12 2013
North Arrow Minerals Inc. is pleased to report it has been notified by Dominion Diamond Corporation that an overburden drilling program is underway at the companies' 307,000 acre Lac de Gras diamond project, located immediately adjacent to and south of the Diavik diamond mine, NWT.
The $1.3 million program has been designed to collect and evaluate representative samples of basal till in areas where thicker glacial till cover has reduced the effectiveness of conventional till sampling techniques within the project area. The program is utilizing an overburden drilling technique that has been successfully employed at the nearby Diavik mine, of which Dominion is a 40% owner.
Dominion is funding the full cost of the 2013 exploration program under the terms of a September 2011 agreement between Dominion, North Arrow and Springbok Holdings Inc. Under the agreement, the three companies have pooled their respective interests in certain mineral claims and mining leases in the Lac de Gras area to form a 307,000 acre Joint Venture Property. Dominion can earn a 55% interest in the Joint Venture Property by spending $5 million over a five year period (for details please see North Arrow news release dated September 6, 2011). Subject to the closing of a subsequent agreement between North Arrow and Springbok (for details please see North Arrow news release dated October 25, 2012), upon Dominion exercising its option and vesting a 55% interest, North Arrow shall retain the remaining 45% interest in the Lac de Gras Joint Venture Property.
About the Lac de Gras diamond project
The Lac de Gras diamond project consists of approximately 307,000 acres of mineral claims and mining leases located approximately 10 km south of the Diavik diamond mine and 35 km south of the Ekati diamond mine in the Northwest Territories. The kimberlites being mined at Diavik and Ekati are part of the Lac de Gras kimberlite field, which is widely regarded to host some of the richest primary diamond deposits in the world. Due to its location and size, the Lac de Gras diamond project's Joint Venture Property is considered highly prospective for the discovery of diamondiferous kimberlite bodies. Dominion is operator of the project and is funding the first $5 million in exploration expenditures to earn a 55% interest in entire project area.