JUNIOR diamond explorer Namakwa Diamond Company has secured a six-month option to potentially acquire a group of large-scale diamond deposits in Brazil. amakwa has signed a memorandum of understanding with the owners of the Jequitin-onha project, giving it an option to acquire a 75 per cent interest in a new joint venture exploration and development comp- any. t also has the further option to increase that stake to 100 per cent, following a decision to mine. The project, which is located near the diamond mining centre of Diamantha, in Brazil, comprises two distinct types of large-scale alluvial deposits, Namakwa said. To exercise the option, Namakwa must make a cash payment of $US25,000 for each type of deposit and agree to fund the cost of a two-year exploration program. The Perth-based explorer can increase its ownership to 100 per cent after a mining decision is made, by paying $US1 million in cash and shares. Namakwa chief executive John Firth said the agreement represented a low-cost opportunity for the company to evaluate and potentially secure ownership of a major alluvial diamond play in one of the world’s most prolific diamond-producing regions. The company is continuing its exploration efforts at the Namakwa project in South Africa and projects in the Kimberley.
© Business News 2017. You may share content using the tools provided but do not copy and redistribute.