Hudson Resources Inc.

Hudson Resources Inc.

April 26, 2007 14:27 ET

Hudson Provides Spring Exploration Program Update

VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - April 26, 2007) - HUDSON RESOURCES INC. ("Hudson") (TSX VENTURE:HUD) is pleased to provide the following update on its Greenland diamond project.

In March, Hudson initiated the 2007 field program by conducting additional seismic surveys. Beginning in May, Hudson will commence a 5,000 m drill program with a key objective of further delineation of the Garnet Lake dike. The company will also drill several exploration targets outside the Garnet Lake area. In addition, the Company has signed an agreement with Denmark's leading construction contractor to provide extraction equipment and site management for the upcoming 600 tonne bulk sample. The Company's diamond recovery plant is on schedule for commissioning in Greenland in July. Finally, Hudson has recovered, by caustic fusion, a 0.055 carat diamond from a 13.7 kg sample of mini-bulk sample kimberlite.

"Hudson has succeeded in demonstrating that the Garnet Lake diamond project has the potential to produce large diamonds with the recovery of the 2.4 carat diamond from last years program," stated James Tuer, President of Hudson. "We are constructing our own diamond plant in the field this year, which will allow us to process significant tonnages of kimberlite on a timely basis. The primary objective of the plant is to test the Garnet Lake kimberlite. We believe that this program will yield a significant diamond parcel, which will allow us to determine grade and preliminary value per carat, which will assist us with the economic evaluation of the project. The on-site plant will also allow us to test larger samples from several other very prospective targets, including the Nilalik target, located 12 kilometres north east of Garnet Lake, which yielded diamonds in 2005."


Frontier Geosciences Inc. of North Vancouver, BC has now completed their field program of seismic reflection and refraction surveys over the Garnet Lake area. The refraction survey was designed to measure the depth of overburden and to locate the sub-cropping Garnet Lake diamondiferous dike to determine optimal sampling locations for the upcoming bulk sampling program. A total of approximately 3.9 km of refraction data was acquired. The reflection survey was designed to test for the extension of the strike of the dike to the north and south. One 1520 m line was shot 1.3 km north of Garnet Lake and another 1175 m line was shot 1.8 km south of Garnet Lake. The data acquired is currently being processed and results will be announced upon completion.


Hudson has entered into an agreement with MT Hojgaard a/s, Denmark's leading construction contractor (, to provide site management, heavy equipment, machine operators and blasting personnel in connection with the extraction of the planned 600 tonne bulk sample from Garnet Lake. MT Hojgaard has 50 years experience in Greenland and is the operator of the 5,500 tonne per day Seqi Olivine mine in Fiskefjorden, Greenland. The current schedule is to have all the heavy equipment mobilized into the field for early June.


The 2007 drill program, operated by Cartwright Drilling Inc., of Goose Bay, Labrador, is expected to commence during the first week of May. The drill is currently on site and re-supplies arrived this week in Greenland. The purpose of this year's 5,000 m drill program is to test exploration targets outside of the main Garnet Lake area and to extend and further delineate the Garnet Lake dike. Hudson will initially test several lake-based targets with associated geophysical anomalies at the start of the program while the lakes remain frozen.


Hudson has entered into an agreement with DRA Americas Inc., a subsidiary of DRA Mineral Projects (Pty) Ltd of South Africa, to design, construct and operate a 5 tonne per hour dense media separation ("DMS") diamond recovery plant at the Garnet Lake site in Greenland. The plant is currently under construction in Canada where it will be tested then shipped to Greenland for commissioning on site in July.

On April 12, 2007, Hudson ran a representative 200 kg sample of kimberlite through the recently completed DRA DMS plant commissioned for the Saskatchewan Research Council GeoAnalytical Laboratories Diamond Services (GLDS). From the mini-bulk sample material obtained by the Company, Hudson reconstituted a test sample of 4 parts DMS tailings (wet) and 1 part DMS concentrate (dry) and produced a 2.5% heavy mineral concentrate with the new plant, which represented a significant improvement from the earlier test work done by SGS Mineral Services, where concentrates of between 12 and 30% were generated. These new results suggest that lower recovery costs and improved recovery efficiencies should be achievable with the new DMS plant. The plant demonstrated a 100% diamond recovery with all twenty (2 mm) diamond tracers added to the kimberlite being recovered.


Hudson is continuing to audit and review the results and conduct its own tests of the previous DMS sampling program conducted by SGS Mineral Services primarily for the purpose of improving future recovery techniques. Hudson has agreed to let GLDS process the 20 tonnes of material (tailings and concentrate) remaining from the SGS program in the commissioning of their DMS plant. This is significant as it is fundamentally the same plant that Hudson will have in the field. Results of this test are expected to take several months.

Hudson has also confirmed the recovery of a 0.055 ct diamond from lost material. In December, 2006, Hudson personnel identified three 200 litre drums that they believed contained an unknown quantity of unprocessed bulk sample material. This material was subsequently disposed of by SGS Mineral Services in their tailings dump. Upon further investigation initiated by Hudson, 13.7 kg of the larger kimberlite pieces were recovered. Subsequent testing by SGS Mineral Services confirmed the kimberlite was derived from the Garnet Lake sample. The sample was submitted for caustic fusion analysis as sample GBF-100-17. The sample was screened for commercial sized diamonds and one stone weighing 0.055 ct was recovered on the +1.70mm -2.36mm size fraction. This represents the third largest stone recovered by caustic fusion in over 740kg of Garnet Lake kimberlite.


James Tuer, President

This news release contains forward-looking statements regarding ongoing and upcoming exploration work and expected geology, geological formations and structures. Actual results may differ materially from those anticipated in these statements.

The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this release.

Contact Information

  • Hudson Resources Inc.
    James Tuer
    (604) 628-5002 or (604) 688-3415
    (604) 688-3452 (FAX)