Delrand Resources Limited

Delrand Resources Limited

July 16, 2008 20:00 ET

BRC Diamondcore Fourth Open Tender Of 1,325.60 Carats Realises US$668,845


Toronto, Canada and Johannesburg, South Africa - July 17, 2008: BRC DiamondCore Ltd. (the "Company") (TSX - BCD; JSE - BCD) is pleased to announce the results of its fourth tender sale of diamonds from its Paardeberg East kimberlite and Silverstreams alluvial trial mining projects in South Africa's Northern Cape Province.

Highlights:

  • 1,325.60 carats with an average value of US$504.56 per carat were sold for a total of US$668,845. This comprised:
    • 400.77 carats from Silverstreams with an average value of US$1,219 per carat; and
    • 924.83 carats from Paardeberg East with an average value of US$194.81 per carat.
  • Silverstreams: "special stones" (+10.8 carats in size) totalled 40.16 carats (comprising 10% by weight) and achieved a total value of US$153,737 (comprising 31.5% by value). These special stones comprised:
    • a 14.56 carat white octahedron/dodecahedron, which sold for US$2,615 per carat;
    • a 14.00 carat white irregular dodecahedron, which sold for US$7,202 per carat; and
    • a 11.58 carat white irregular dodecahedron, which sold for US$1,277 per carat.
  • Other high value stones from Silverstreams were:
    • a 9.81 carat white irregular dodecahedron, which sold for US$7,621 per carat;
    • a 6.45 carat white octahedron, which sold for US$4,341 per carat; and
    • a 3.69 carat white irregular dodecahedron, which sold for US$3,332 per carat.
  • Paardeberg East: the PK5 kimberlite body size frequency distribution plotted for samples in this tender is similar to the last samples, indicating the continuous nature of the ore body; the quality of diamonds produced from the PK5 samples continues to be of high gem content, as indicated by the high average value achieved, including:
    • a 9.27 carat off-white dodecahedron, which sold for US$2,301 per carat;
    • a 4.18 carat top white dodecahedron, which sold for US$3,398 per carat; and
    • a 2.52 carat top white dodecahedron, which sold for US$2,729 per carat.
Photos of the special diamonds mentioned in this press release, as well as additional diamonds recovered at Paardeberg East and Silverstreams, can be viewed in the photo gallery section of the Company's website, http://www.brc-diamondcore.com.

The diamond analysis data, including independent diamond valuations and prices received on the open tender conducted by the Company, is being used to underpin the economic metrics of both projects.

The services of an independent diamond consultant, Mr. Ramon Ferraris of QTS-Kristal Dinamika, are retained to audit the bulk sampling plants, bulk sampling process and diamond analysis on both the Paardeberg East and Silverstreams sites. The tender was overseen by Mr. Ferraris and an additional independent diamond consultant to the Company, Mr. Maurice Barker.

SILVERSTREAMS TENDER SALES - MIDDLE ORANGE RIVER ALLUVIAL PROJECT AREA

SITE

TOTAL WEIGHT
(CARATS)

STONES
(NUMBER)

AVG. SIZE (CARATS PER STONE)

TOTAL VALUE
(US$)

AVG. VALUE
(US$ PER CARAT)

SILVERSTREAMS

400.77

184

2.18

488,679

1,219



The diamond analysis of the product recovered from various trenches on the Silverstreams bulk sampling project was undertaken by the independent consultants on an ongoing basis. The sample size comprised 184 stones and the size frequency distribution of the diamond population recovered from the various sampling trenches indicated a plot typical of a Middle Orange River deposit. Such deposits tend to be characterized by the recovery of large diamonds.

PAARDEBERG EAST TENDER SALES - KIMBERLITE BULK SAMPLING PROJECT AREAS PK5, PK1 EAST, PK1 WEST AND PK2 KIMBERLITE BODIES

SITE

TOTAL WEIGHT
(CARATS)

STONES
(NUMBER)

AVG. SIZE
(CARATS PER STONE)

TOTAL VALUE
(US$)

AVG. VALUE
(US$ PER CARAT)

PAARDEBERG EAST - PK5

818.08

2,613

0.31

165,830

203

PAARDEBERG EAST - PK1 WEST

  30.07

  129

0.23

   6,888

229

PAARDEBERG EAST -- PK1 EAST

  20.59

  132

0.15

   1,253

60.84

PAARDEBERG EAST -- PK2

  56.08

  145

0.38

   6,195

110

TOTAL

924.83

3,019

0.31

180,166

194.81



The ongoing diamond analysis of the various bulk samples, representing distinct kimberlite facies, continues to be undertaken by independent consultants.

Kimberley Process: Chain of Custody and Diamond Control
Mr. Ferraris, working in conjunction with Company security officials, was mandated to design and develop a chain of custody process and an effective diamond control process for Company diamond production. These processes have been constructed to comply with international best practices and the requirements of the Kimberley Process. Mr. Ferraris is responsible for auditing these processes as well as for providing technical expertise with respect to the diamond product. Mr. Ferraris has 30 years' experience in the rough diamond industry, including working for both De Beers and RTZ.

Additional information with respect to the Paardeburg East and Silverstreams projects is contained in the technical report prepared by Venmyn Rand (Pty) Limited, dated July 31, 2007 and entitled "National Instrument 43-101 Technical Report Prepared on the Mineral Assets of Diamond Core Resources Limited in the Northern Cape and Free State Provinces, South Africa." A copy of this report can be obtained from SEDAR at www.sedar.com.

Qualified Person
Dr. Mike de Wit, President of the Company, is the "qualified person" (as such term is defined in National Instrument 43-101) who supervised the preparation of and is responsible for the technical information in this press release.

BRC DiamondCore Ltd. is an African-focused diamond explorer active in South Africa and the Democratic Republic of the Congo (the "DRC"). Led by a management team with extensive experience in diamond exploration and mine development, the Company has a broad spectrum of projects ranging from advanced stage trial mining operations through grass-roots exploration. The Company's projects comprise both prospective alluvial gravels and primary kimberlite targets. The Company works in a systematic and responsible manner to discover, assess and develop diamond resources for the benefit of its shareholders and local stakeholders.

For further information, please visit our website, www.brc-diamondcore.com, or contact:
In Toronto: Martin D. Jones, Vice President, Corporate Development
(416) 366-2221 or 1-800-714-7938.
In Johannesburg: James Duncan, Russell & Associates
2711880-3924.


Forward-Looking Statements: This press release contains forward-looking statements. All statements, other than statements of historical fact, that address activities, events or developments that the Company believes, expects or anticipates will or may occur in the future (including, without limitation, statements relating to diamond prices, future diamond recoveries and sales, future production, exploration results, potential mineralization and the Company's plans with respect to the exploration and development of its properties) are forward-looking statements. These forward-looking statements reflect the current expectations or beliefs of the Company based on information currently available to the Company. Forward-looking statements are subject to a number of risks and uncertainties that may cause the actual results of the Company to differ materially from those discussed in the forward-looking statements, and even if such actual results are realized or substantially realized, there can be no assurance that they will have the expected consequences to, or effects on the Company. Factors that could cause actual results or events to differ materially from current expectations include, among other things, the possibility that future exploration results will not be consistent with the Company's expectations, changes in equity markets, changes in diamond markets, foreign currency fluctuations, political developments in South Africa or the DRC, changes to regulations affecting the Company's activities, uncertainties relating to the availability and costs of financing needed in the future, delays in obtaining or failure to obtain required project approvals, the uncertainties involved in interpreting geological data and the other risks involved in the diamond exploration business. Any forward-looking statement speaks only as of the date on which it is made and, except as may be required by applicable securities laws, the Company disclaims any intent or obligation to update any forward-looking statement, whether as a result of new information, future events or results or otherwise. Although the Company believes that the assumptions inherent in the forward-looking statements are reasonable, forward-looking statements are not guarantees of future performance and accordingly undue reliance should not be put on such statements due to the inherent uncertainty therein.

View PDF Version of News Release: