SOUTH AFRICA
The regional kimberlite exploration programme utilising airborne gradiometer technology is continuing. In total, 114 anomalies have been evaluated by means of a combination of target sampling, ground geophysics and drilling. Several small kimberlite pipes and fissures have been identified and their evaluation is ongoing. Fifty nine new order prospecting rights have been issued to date and the evaluation of these prospects is continuing.

ANGOLA
Results of further samples indicated exceptional potential at our Luana concession and development of a mine is now a high priority. Bulk sampling is progressing well, with 27 of the 30 planned trenches on the west bank of the Luana River completed. Results of the central trenches were better than expected, with average grades in excess of 25 carats/100 m³ being achieved. Pilot production will be undertaken on the west bank after completion of the three remaining trenches. A pre-feasibility study is currently under way. An updated resource statement based on these results indicates a total of 2,3 million carats in Indicated Resources and 8,1 million carats in Inferred Resources for this project. A reserve of 1,9 million carats at a grade of 30,7 carats/100 m³ has been established at Luana.

LIBERIA
Bulk sampling of five of the six known kimberlites on the Kpo joint venture with Stellar Diamonds Liberia has been completed. Initial financial analysis indicates that the pipes are currently not economically mineable. Exploration for new kimberlites is continuing.