Annual Report 13 September 1988 to 12 September 1989.

Abstract

No magnetic anomalies were delineated within the area of the ERL(A). The ATM survey failed to locate any anomaly worthy of follow up. One photo feature was outlined within the ERL(A) it was selected as a site for drilling due to its proximity to microdiamond concentrations. The Input survey outlined an anomaly within the area of the ERL(A). This target was followed up by drilling which intersected an interbedded metasediments comprising sandstone, mudstone, phyllite-schist. 10 microdiamonds were recovered from RAB hole CJ189 this was followed up by further drilling. 507 microdiamonds and 6 macrodiamonds were collected from 170 of the 632 samples. Costean sample CAL 2356 and 2356 contained microdiamonds. The review of data by consultant Dr Bram Janse indicate d that the area holds the potential for an economic alluvial diamond resource. The area is structurally and sedimentologically complex.