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This section of the report discusses past exploration programs in the FALC area, including the Star Diamond Project. Much of the information in this section is taken from the following reports:

Leroux, D., 2008: Technical Report on the Star Diamond Project, Fort à la Corne Area Saskatchewan, Canada: report prepared by A.C.A. Howe International Ltd. for Shore Gold,

Effective Date 20 March 2008

Eggleston, T., Parker, H., Brisebois, K., Kozak, A

., Taylor, G., 2008: Shore Gold Inc., Star

Diamond Project Fort à la Corne, Saskatchewan, Canada, NI 43-101 Technical Report, by AMEC Americas Limited (AMEC), Effective date 9 June, 2008.

Shore has explored the Star Diamond Project claim disposition area since the acquisition of the property in 1995. Prior to this, the claim block containing the Star Kimberlite had no previous exploration other than being flown over by historical regional geophysical surveys, which identified possible targets for kimberlite exploration throughout the FALC area.

For additional information on the details of recent exploration activities conducted in the area by Shore the reader is referred to sections “9.0 Exploration” and “10.0 Drilling” of this report.



Reports of diamonds being discovered in the Prince Albert, Saskatchewan area date from 1940. It was only when regional airborne geophysical surveys were completed in the 1960’s, however, that possible targets for exploration were identified in the FALC area. Follow-up of these targets in 1988 led to the first discovery of kimberlite in the area by Uranerz Exploration and Mining Limited (Lehnert-Thiel et al., 1992).

The major part of the FALC kimberlite province has been under investigation since the early 1990’s by a consortium of companies including Cameco Corporation (“Cameco”), De Beers Canada Inc. (“De Beers”) and Kensington. In October 2006, the previous FALC-JV changed ownership through the merger of Shore and Kensington and by the purchase of the De Beers/Cameco interest by Shore and the subsequent joining of Newmont to form the current FALC-JV.

Shore commenced its exploration by flying a low-altitude helicopter-borne magnetic survey in 1996. Several magnetic anomalies were identified and subsequent follow-up with ground magnetic surveys confirmed the presence of shallow, closed anomalies that could indicate kimberlites. Four anomalies were selected for initial drill testing in the northwest corner of the survey area.

Five core holes were subsequently completed and kimberlite was intercepted in all of the drill holes. In total, 184 diamonds were recovered from these holes, nine of which had at least one dimension greater than 0.5 millimetres and could therefore be classified as macrodiamonds.

P&E Mining Consultants Inc. NI 43-101 Technical Report No 159 Shore Gold Inc. - Star Diamond Project Resource Estimate Update

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