The large diameter reverse circulation (RC) drilling component of its 2015 Diamond Resource Development Program at its 100 percent-owned Chidliak diamond project has been completed, Peregrine Diamonds Ltd said in a statement issued yesterday.

During this winter, six large diameter RC holes totalling 1,212.1 metres were drilled into the CH-7 kimberlite resulting in the collection of 558.5 wet tonnes of kimberlite after screening to +1.18 mm in the field, it added.

Data acquired from this bulk sample will be used to establish the grade of the different geologic units at CH-7, and the resulting representative diamond parcels will be the subject of an independent diamond valuation.

Depending on the results, the company will then prepare a maiden resource statement for CH-7 which would be included in a Preliminary Economic Assessment (PEA) scheduled for the first half of 2016 for a potential Phase 1 mine development at Chidliak.

Chidliak is located 120 kilometres northeast of Iqaluit, the capital of Nunavut, Canada. Over the 582,476 hectare project in Nunavut, Peregrine has discovered 71 kimberlites with eight being potentially economic.

Tom Peregoodoff, President and CEO of Peregrine stated “The successful collection of the bulk sample from the CH-7 kimberlite will enable Peregrine to determine the grade and diamond value and this information would be used to declare an Inferred Resource for this kimberlite. We believe that a PEA based on Inferred Resources at CH-6 and CH-7 will demonstrate that there is potential for Chidliak to be developed into Baffin Island’s first diamond mine. CH-6 is one of the highest grade kimberlites in the world.”