Kirkland Lake region target of diamond exploration; Dianor Resources encouraged by diamond find in northeast.

A Quebec-based diamond exploration company has identified diamond indicators on its property near Kirkland Lake.

With its drilling campaign complete, Dianor Resources has identified three sets of kimberlite dykes on its Pacaud joint-venture property with Globex Mining in the Kirkland Lake area.

Though still evaluating and plotting the data, company president John Ryder is encouraged by the drill results to date in his search for diamonds in northeastern Ontario.

"We're encouraged by the last drill hole (P12) where the intersected width is over seven feet," says Ryder.

If there is good diamond content present. Ryder says, anything more than a metre is getting to be of good economic width, but further sampling is warranted.

Kimberlite is the main host rock for diamonds. Encased inside granite rock that is 2.5 billion years old, the Temiskaming Structural Zone is considered the prime hunting ground for diamonds. It is known as "the largest single piece of real estate" in the world with rocks of that age, says Ryder.

Dianor was the first company to recover a diamond in the James Bay region of Quebec, recovering a yellow microdiamond from a 13.6-kilogram sample collected from a lamprophyre dyke.

This year, Dianor has been gradually increasing its presence in Northern Ontario. Last January, the company signed an agreement with some prospectors to acquire 22 claims scattered over many townships north of Matachewan, totalling 11.5 square kilometres, which they have dubbed the Cluster project.

The company is still awaiting results from this past year's program of ground-magnetic surveys, soil sampling and a reverse-circulation drilling program last spring to search for diamond indicator materials from the glacial till.

The claims are situated in what is considered the Larder Lake and the Porcupine regions in a zone that runs 300 kilometres north to the Victor kimberlite pipe near the James Bay coast where De Beers is working.

In August, Dianor signed an option agreement with Globex Mining Enterprises to acquire a 100-per-cent interest in the diamond potential on the Pacaud Township property near Kirkland Lake.

This fall, Dianor also acquired an option to earn an interest in the Abitibi Extension Project from * Eastmain Resources Inc. The agreement is for an area north of the Cluster project.

Ryder says Dianor plans to work on both Cluster and Pacaud projects simultaneously. The company has already spent $200,000 on exploration in northeastern Ontario this year.

On Pacaud, previous drilling work was done for gold in the late 1970s, and there are rumours abound that some of the unusual rock found back then helped kick-start the early diamond exploration rush in Ontario.

Ryder gives credit to the Ontario Geological Survey staff in Kirkland Lake who found old drill logs from the property revealing two kimberlitic dykes drilled in 1982.

"We're excited because there are three different sets of kimberlites on a very small part of the property."

One set is magnetic, which can be followed on surface by instrument for up to 150 metres.

"That indicates these dykes have distance and length.

"If these dykes are thickening as it appears at depth, then there's a chance they'll also thicken along the length of them."

Dianor's plans for this winter are to conduct ground magnetic work to determine the geometry of the dykes and see how extensive they are before initiating a shallow drilling program next spring to evaluate the size and potential of the dykes.

If his venture proves successful, Ryder has no doubt a diamond mine could dramatically improve the area's economy overnight.

"A diamond mine is worth billions of dollars. It's very environmental friendly compared to other types of mining; there are no noxious substances used. It's basically like a rock quarry operation."

Ryder remains encouraged by the abundance of diamond exploration activity in the North, including Sudbury Contact Mines' bulk sampling of a kimberlite in the New Liskeard area, De Beers considering setting up an office in Timmins to service its Victor project and Metalex Ventures discovering a kimberlite at its Attawispiskat diamond project.

The thick overburden in the area of more than 100 feet in places can be a major technical difficulty for junior companies to explore, says Ryder.

"However, we believe with the system we've developed with all our work in James Bay, Quebec for the last 18 months, we have a method we can apply to that to cut our costs in evaluating them."

www.dianor.com

By IAN ROSS

Northern Ontario Business