The resource update was conducted as part of an ongoing feasibility study and concurrent with an Independent NI 43-101 report by The MSA Group ('MSA') of Johannesburg dated December 31, 2010 on the AK6 kimberlite which has been filed on SEDAR.
The resource estimate has been compiled by Mr. Johannes Ferreria, a professional geostatistician with 30 years experience in geostatistical modeling of diamond deposits worldwide and a Qualified Person as that term is defined by National Instrument 43-101.
Karowe is a trilobate pipe consisting of a South, Centre and North lobes. The pipe has an area of 4.2 hectares at the surface which expands to 7 hectares at a depth of 120 meters. The following table summarizes the new resource estimate:
|Diamond Resource (+1.0 mm)|
from 400 to 750 m
(Note - rounded values were used within this table)
The resource estimate is based on a comprehensive evaluation of the AK6 kimberlite by Boteti between 2003 and 2007. This work was carried out by De Beers Prospecting Botswana (Pty) Ltd. Tonnage estimates are based on 22,744 meters of delineation core drilling in 69 holes, which includes 23 holes (7,161 meters) drilled as pilot holes in advance of large diameter drilling conducted for diamond grade sampling. Microdiamond analysis was carried out on core from the pilot hole program.
Large diameter (23 inch) flood reverse circulation drilling was carried out on an approximate 50 meter x 50 meter grid across the AK6 pipe to evaluate macrodiamond grade. Twenty six large diameter holes were completed with two holes achieving depths of 700 and 702 meters respectively. Drill cuttings from 25 of the 26 holes were processed for macrodiamond recovery, representing a total of 7,264 meters and which sampled a total of 6,046 tonnes of kimberlite. Large diameter drill samples were processed through a diamond recovery plant using a 1 millimeter bottom cutoff size, and a total of 1,172.4 carats of diamond were recovered. An additional 582.2 carats of diamond were recovered from surface trench samples for valuation purposes.
Mr. Anthony George, P. Eng., a mining engineer and Lucara's V.P. Development, is the Company's Qualified Person pursuant to NI 43-10,1 and has reviewed the above information.
The information in this section which is of a scientific or technical nature has been derived from the following technical report:
AK6 Kimberlite Project, NI 43-101 Technical Report revision and update on the AK6 Kimberlite Mine, Botswana", dated December 31, 2010 prepared by MSA Geoservices (Pty) Ltd. and authored by Messrs. Ian McGeorge, Consulting Geologist (BSc (Hons), Geol. MSc, CGeol, FGS), Mike Lynn, Senior Project Manager (BSc (Hons), Geol, MSc), Johannes Ferreira, Consulting Geostatistician (MSc, DEA Geostatistics, PrSciNat) and Rob Croll, Consulting Engineer (BSc (Min Eng)), Dave Blair, Consulting Environmental Scientist (BSc (Hons) Zool., Pri.Sci.Nat) and Dr. Kym Morton, Consulting Hydrogeologist (PhD FGS FSAIMM, Pri.Sci.Nat), each of whom is a "qualified person" within the meaning of this term in National Instrument 43-101 (the "AK6 Kimberlite Technical Report").
Copies of the above-mentioned technical reports are available under the Company's profile on SEDAR at www.sedar.com.