MARTIN'S DRIFT

Highlights from bulk sampling include bulk sample 4 from pipe K003 grading 30.7 CPHT, bulk sample 6 from pipe K003 grading 32.8 CPHT and bulk sample 11 from pipe K006 grading 33.1 CPHT. To date the company has processed 1935 tonnes of a 5000 tonne bulk sample and recovered 565 carats of diamonds. The bulk samples have been recovered from 5 diamondiferous pipes. The purpose of the sampling is to produce a parcel of diamonds for valuation purposes and to provide additional information on the grade of the pipes. Diamonex has also just completed a 1000m percussion drilling program over an anomalous area of kimberlite indicator minerals and associated gravity low 400m north west of pipe K004. The drilling program failed to intersect any kimberlite or kimberlitic bodies that could be the source for the KIM’s. Diamonex is presently reviewing all data from the drilling, geophysical and soil sampling programs that have been conducted over the area.

Highlights from bulk sampling include bulk sample 4 from pipe K003 grading 30.7 CPHT, bulk sample 6 from pipe K003 grading 32.8 CPHT and bulk sample 11 from pipe K006 grading 33.1 CPHT. To date the company has processed 1935 tonnes of a 5000 tonne bulk sample and recovered 565 carats of diamonds. The bulk samples have been recovered from 5 diamondiferous pipes. The purpose of the sampling is to produce a parcel of diamonds for valuation purposes and to provide additional information on the grade of the pipes. Diamonex has also just completed a 1000m percussion drilling program over an anomalous area of kimberlite indicator minerals and associated gravity low 400m north west of pipe K004. The drilling program failed to intersect any kimberlite or kimberlitic bodies that could be the source for the KIM’s. Diamonex is presently reviewing all data from the drilling, geophysical and soil sampling programs that have been conducted over the area.

The company carried out follow-up chemical analysis of garnets (a kimberlitic indicator mineral) recovered from earlier loam samples from a number of anomaly targets In 1999, manual pitting on two (targets P and Q) of fifteen magnetic anomalies, which had been identified in the previous year’s exploration occured. Pit samples yielded numerous ilmenites and some fewer garnets. To a pit depth of 3m (the limit of safety for manual pitting) no kimberlite was intersected. Five percussion drill holes, drilled subsequently over the anomaly encountered doleritic bed rock, which it is believed may be the provenance of the magnetic anomaly for the two targets. The other anomalies, remain targets for future exploration.