Striker moves towards decision at Seppelt 2Andrea...

Striker moves towards decision at Seppelt 2

Andrea Hayward


Thursday, August 05, 2004
STRIKER Resources has recovered further large diamonds from its Seppelt 2 deposit in the Kimberley region of Western Australia and should be well placed to make a decision whether to mine in the next couple of months.

Diamond finds of 5.7, 4.7, 4.3 and 4.2 carats have been reported by Striker, consistent with recoveries from earlier bulk samples.

Some 5,000 tonnes of material has been processed in a 20,000t bulk sampling programme, which is expected to run for at least another two months.

Striker managing director Clayton Dodd said the company was comfortable with the results but was very keen to firm up on the valuation numbers, with a minimum of 5,000 to 10,000 carats needed to assess the viability of the Seppelt 2 deposit.

"It'll be an exercise that will pay for itself," he said.

Easy access at Seppelt 2 was a boon for Striker, where the pit has been extended further for excavation to test the kimberlite structure further.

Seppelt 2 has open cut and underground potential, where Striker hopes to exploit the high grade 200 carats per hundred tonnes kimberlite below infill gravel material.

Striker has Seppelt 5 in the Kimberley and picked up the historic Merlin deposit in the Northern Territory, where it hopes to re-establish mining, as well as greenfield ground in Arnhem Land.

Shares in Striker were trading unchanged at midday at 5.3c on the ASX.