Following completion of the P&E 2009 Resource Estimate update for the Star Diamond Project, the project moved from a capital intensive data gathering exercise (underground bulk sampling, core drilling and large diameter drilling) to lower cost, desktop engineering studies and data analysis. Given the quality and size of the estimated resource for the Star Kimberlite and the pre- development stage of the project, P&E recommends that engineering and geotechnical studies currently underway be escalated and the formal prefeasibility study commenced in 2008 be completed. Upon completion, this study will be incorporated and form part of the feasibility study. Studies currently on-going include:
Detailed geotechnical investigations around the designed pit perimeter, including 14 holes for approximately 3,250 metres of drilling, piezometer installations and analysis. This program commenced in 2008.
Detailed groundwater geophysics and modeling to complete the hydrogeology program started in 2007.
Preliminary plant, pit and infrastructure program commenced in 2008.
Baseline environmental studies, including, but not limited to, large animal surveys, riparian habitat surveys, heritage assessments, noise/dust monitoring, revegetation plots, rare plant assessments, and acid-based accounting test work.
A thorough, quantitative risk analysis should be conducted as part of the prefeasibility study.
P&E Mining Consultants NI 43-101 Technical Report No 159 Shore Gold - Star Diamond Project