Misery Satellite Material Is Inferred Resource Says Dominion

(IDEX Online News) – Dominion Diamond Corporation has promoted the Misery Satellite material previously identified as an exploration target to an inferred resource.

The company also released an updated mine plan for the Ekati Diamond Mine, including current estimates for anticipated annual production by pipe, with associated operating costs and capital costs.

Dominion operates the Ekati Diamond Mine through its 80 percent ownership interest in the core zone, which includes the operating mine and other permitted kimberlite pipes, and 58.8 percent interest in the buffer zone, an adjacent area hosting kimberlite pipes having both development and exploration potential.

Dominion last week announced that it has entered into an agreement with C. Fipke Holdings Ltd. to acquire all of Dr. Charles Fipke's 10 percent participating interests in the Ekati Diamond Mine at a price equivalent to the price paid to BHP Billiton in calendar 2013 for its interests. It is anticipated that completion of the transactions will occur in September.

Dominion previously identified in its technical report in respect of the Ekati Diamond Mine dated May 24, 2013, an exploration target for the Misery South and Misery Southwest Satellite pipes (collectively, the Misery Satellite Pipes).

Since the Technical Report, diamond grade and value estimates for the Misery Satellite Pipes have been validated by drilling, mining and processing activities. The company has now converted the exploration target to an inferred resource.