Karelian Diamond Resources Share Discussion Threads

[stevehoops] 09/5/2017 20:46

ITS DEMONSTRATING HOW WE HAVE PROGRESSED .
BUT IF YOUR ONLY WATCHING WHAT DOES IT MATTER.????

[stevehoops] 09/5/2017 20:44

2015
“It really is the culmination of many years work”, says Professor Richard Conroy, after news broke that Karelian Diamonds had identified a new kimberlite on its Finnish ground.

The company is already well established, sitting as it does on top of the largest kimberlite body in Finland at Seitapera, in the Kuhmo district.

The new find is also in the Kuhmo district, raising hopes that what the company has long thought may yet be realised: that its ground in eastern Finland covers not just one or two pipes, but a whole field.

After all, across the border in Russia, on the same geological craton, lie some of the world’s largest diamond mines.

But finding a kimberlite is never easy. As the professor says, in Karelian’s case the new find was the result of years of work. What’s more, the Karelian find is the first kimberlite discovery to be made in Finland in ten years. Even at the height of the boom, when money was pouring into mining, new kimberlites remained elusive. Nowadays, the discovery of a new kimberlite is not rare only in Finland, but globally.

Work will now get underway to demonstrate whether the new pipe is economically viable or not, even as the company redoubles its efforts to discover yet more kimberlite pipes in the region.

“We’ve already announced a number of indicator trails”, says the Professor. “They’re certainly not all coming from this one pipe. There could be a cluster. This new find means that in Kuhmo two kimberlite bodies have now been found. Seitapera was I suppose somehow thought of as aberrant.”

No longer. When news of the new find broke, shares of Karelian shot up, from 095p to 1.525p, although they’ve since slipped back a bit.

The market is now giving more credence to what the Professor has been saying for some time.

“It’s always been difficult to believe that the major Russian discoveries weren’t replicated on the Finnish side of the border”, he says. “But why shouldn’t there be some on the Finnish side? We’ve been working for years gradually tracing back these kimberlite trends.”

At the new find itself the plan now is to undertake significant further work. “We’ll be doing a combination of geophysics and magnetics to trace the actual kimberlite body to establish its full extent. But this was found in a pit so we’ll now obviously be considering trenching.”

The good news is that, notwithstanding hard times in the equities markets, the money to pay for all this is already in hand.

“We’re comfortably funded”, says the Professor. “We raised quite a lot of funding just over a year ago. The only reason for further funding would be if we might like to accelerate the whole process.”

And longer-term, there’s the possibility of development funding from a major. “Should we make a major discovery”, says the Professor, “we have an agreement with Rio Tinto”. Rio originally owned the Karelian portfolio, and retains back in rights if a big enough discovery to get them interested can be found.

Karelian is certainly one step closer to that now, and it will be interesting to watch as work progresses on the new find.

[stevehoops] 09/5/2017 20:41

2014
We’ve been working away over the spring and summer”, says Professor Richard Conroy, the chairman of Karelian Diamonds, the Finland-focused diamond explorer. “We’ve taken a whole series of samples, and it’s looking interesting. We’re well pleased.”

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Indeed, the results of that work are now beginning to come in, and the signs are very encouraging. At the Riihivaara target in the Kuhmo region the company has now identified high concentrations of kimberlitic indicator minerals, indicating the presence of a previously unknown source of kimberlite nearby.

Particularly interesting is the discovery of significant quantities of what are known as G9 and G10 garnets, as these types of stones are known to form under the same types of pressures and temperatures as diamonds.

Furthermore, one of the types of garnets discovered, the orange garnet can also act as an indicator as to diamond grade. Further testing of the orange garnet is now planned, in order to establish whether the specific high grade indicators, eclogite mantle materials are present.

If so, it would be a further boost to what’s been a steady, but lengthy search in Finland by Karelian, which was spun out of sister company Conroy Gold some years ago.

Not that it’s been fruitless. Riihivaara is located to the southeast of Seitaperä, where the company has outlined the largest diamondiferous kimberlite pipe discovered in Finland to date.

And in the Kuhmo region of Finland, high numbers of kimberlitic indicator minerals are normally only seen either directly over or within a hundred metres of a kimberlite source, so there’s plenty of grounds for optimism with the latest results.

After all, the potential prize is huge. “There are two large deposits on the Russian side”, says the Professor. “If we’re lucky we’ll find something major on the Finnish side too.”

And if it’s in any way comparable either to the Lomonosov or the Grib mines, then the patience of Karelian shareholders will have been well rewarded. They won’t be too seriously out of pocket either, as Rio Tinto has a back-in right which it’s likely to exercise if a big-time discovery really does come through.

[4marlin] 09/5/2017 20:07

I cannot open the link but it seems to be 2 yrs old...why post it?

Not a holder but on my watchlist.

[goldeneye5] 09/5/2017 19:17

2015https://masterinvestor.co.uk/commodities/karelian-diamonds-latest-discovery-opens-up-the-prospect-of-finding-a-cluster-of-kimberlites-in-eastern-finland/

[goldeneye5] 09/5/2017 19:13

2014 http://minesite.burnbrae.thoughtetc.com/2014/10/16/karelian-diamonds-looks-to-be-on-the-trail-of-a-new-kimberlite-deposit-in-finland/

[keysersosse] 08/5/2017 20:38

Diamonds will be temporary IMHO Oddjob.

Kudos rules the Karelian BOD for now but one day those with easier access will ultimately rule the Karelian Roost.

[stevehoops] 08/5/2017 20:32

Ah Mr Bond.
Excellent.
From Russia with love.
Or Diamonds are forever??
;-))

[keysersosse] 08/5/2017 20:08

From Dr Hugh O'Brien's recent article below, one or two key phrases stand out....

Also worth noting out the date it was published......tell me again, when did the BOD buy in ?

Add in the other news at Riihivaara and other parts of Kuhmo, by Jove old boy.

Pages 22 onwards for the important stuff...

hxxps://www.researchgate.net/publication/315064070_Lithospheric_diamond_formation_as_a_consequence_of_methane-rich_volatile_flooding_An_example_from_diamondiferous_eclogite_xenoliths_of_the_Karelian_craton_Finland

[stevehoops] 06/5/2017 07:35

There's always a chance now the winter samples have been sent to various labs for testing.
Rio might see something that Will persuade them to take the whole thing over before any Production even starts!!
I suspect Alrosa will also have a jolly good Idea .

[keysersosse] 05/5/2017 17:40

Cornish,

I'll try to explain the drop in share price but AIM is AIM and so fickle like most private investors.
Decent news is usually met with a fall in the SP, whereas plum duffers are met with a huge rise. AIM is bonkers at the best of times, it's so hard to fathom.

Only logical reasoning I can give is the length of time it take for diamond exploration. News on diamond production plans will no doubt see this rocket, whereas, when traders take their loot, it will plummet and most likely stay that way even when production starts.

Takeovers see the ultimate huge mutlibaggers.

All scenarios will happen here.

[stevehoops] 05/5/2017 17:38

This is not a day trading share.
It's looking for a end result.
It will happen!!
I believe

[stevehoops] 05/5/2017 17:35

This is not

[cornishtrader1000] 05/5/2017 17:29

Can you explain the appalling share price though, granted most SPs drop with no news but as you suggest above, there has been news of sorts.

[keysersosse] 05/5/2017 17:29

Very true Discusser,

The MMS and PIs are very similar, almost related in the fact they chase rainbows and respond to one almighty herd.

Every once in a while the MMS come a cropper like they did with REM and RKH.
I'm certainly not saying it's happening here overnight, as ongoing work clearly has to be undertaken to prove one or two things up before we move into the production stage.

But I do guarantee it will happen here...and that as you rightly point out is down to solid research and even solider chats with respected geologists who are experts on the good old reading material, not to mention their many years of extensive experience "down the pit" .....quite ironic isn't it ?

Folk can laugh, mock, sneer and snipe all they like here......I honestly couldn't give one flying f@@k what they think.

But, I do honestly hope they come back and applaud our fantastic efforts when KDR or more to the point the Prof says " I am delighted to say we are now the first diamond producer in Europe outside of Russia"

Folk may say "you're on drugs".........well, how splendid, as I am going on a trip very soon.....



Hope you all saw what I did there.

[discusser] 05/5/2017 16:48

I agree KS, 100%, especially after I read the paper that showed the typical size distributions of diamonds, so that they can come to a rough estimate of larger diamonds likely to be found, on the basis of micro-diamonds alone.
My post wasn't "See, the share price is going down: I don't trust the BOD." It was simply, "What is going on?" I assume we who see this as surer and surer the more we hear are in a minority, and the average MM or PI is following the usual dwindle. Does that make sense?

[keysersosse] 05/5/2017 16:36

If you're speaking with a civil tongue Cornish, I'll happily converse with you until the cows come home.

IMHO, the chances of us merging with CGNR are as remote as my home town winning the Premier League next season.

KDR have actually told you in all honesty what is going on here. They did say last August that there was to be a remodel of Lahtojoki which would take up to 12 months.

An AIM company to be so clear and concise whilst mentioning a 12 months remodel is quite rare.
Other firms usually say "very soon" ...."in due course" etc......

This BOD is different, it's totally upfront and I know you despise the cliche as much as you despise myself, but everything is honestly in black and white in front of your very eyes.

Folk think an exploration company becomes a production company overnight.......it could and some may well argue it should have done that here with Seitapera three years ago, but the clued up experts obviously realised an asset build was much more favourable to the BOD.

One thing you do you need to ask is one I've consistently flagged up for several years here......why are Alrosa always on our side of the Karelian .
And why are RTZ prioritising us....yes us, the tiny minnow of less than £2million MCAP ...the ones who everyone mocks .........why indeed are RTZ doing sample analysis free of charge and as said previous, prioritising us now ?

One day, folk will realise. To be fair Cornish, you're not daft, far from it and you know this will come good, like I guarantee it wiil do.

Have a nice weekend.

[cornishtrader1000] 05/5/2017 16:03

The board are so quiet and mysterious, who honestly knows what's going on. I take comfort from the fact that Conroy has a decent track record and needs cash for gold. Although, could KDR and CGNR merge and all the money ploughed straight into the Irish gold discovery.

[discusser] 05/5/2017 15:48

Can someone explain to me how/why MMs (if that is who they are) are selling this stock?
In another context (a small mine in Namibia) previous management (No 1, call them) who had originally owned a big percentage, went on selling even though the new management had a very strong story of coming success - mine de-watered, lots of resource found, etc etc. We thought Mgt No 1 were just moving on. Then management number 2 brought in some corporate guns who REALLY knew about mining, and they insisted on getting in a new drilling contractor, ending the contract with the previous inefficient drilling guy (near relative of minister of mines, though I didn't know that at the time - spot the local relationships mistake). Management number 2 was pushed out, and sold all his stock - in a huff, we all thought, "I'm not in control" syndrome. Two years later, still no mining licence, capital running out, share price dropping through the floor, management No 3 took the whole thing private after exercising an option to take on a lot of new shares, essentially leaving private investors without a bean.
Both management No. 1 and management No. 2 had not been mystery market makers selling with ulterior motives: by the end we all realised they had simply had wiser long term understanding than our own, and got out wisely when the going was a lot better than later.

So what is going on here with KDR? Normally on AIM a company raises some money, share price goes up, then share price follows a long dwindling slope down as the capital is spent, unless and until breakthrough. Is our share price following that path because most investors think that is what is happening, and won't change attitudes until KDR is in production, which they half don't expect ever to happen? Or is something else going on?

[stevehoops] 05/5/2017 05:33

Fair shout bonnie but the sixty four million dollar question??
One word on a RNS (kdr has announced that it's going into PRODUCTION!!)
Can you get your hands on these Golden tickets!!
I suspect not!
I believe it will come this year sometime.
But when??

Has the funding already been received for production
From the last placement.
Bare in mind they can't have spent all the money raised on 29 Dec.?
We do not spend money lightly!!
How cheap can they go into production .?
Aim companies with billion s of shares in issue run out of stock on great RNS.
What would happen to our s?
Questions​ questions questions

[rbonnier] 05/5/2017 00:51

Thanks Goldeneye for your posts very informative and interesting reads with key links to crucial information and from stevehoops too you both are very well informed here.I don't mind buying a Big stake too like you guys but this never ending overhang that just will not go away after literally millions of shares have been bought and banked is of concern to me I would rather pay more when these million upon millions of shares are out of the mms satchels so we can get some upward traction to where at least prof sees the next stop as excersise of the 0.8 options for further funding currently the situation is hopeless in share price terms.

[goldeneye5] 05/5/2017 00:26

What about RTZ?Bloomberg reported 7th December Rio Tinto to expand the miners diamond business, according to Bloomberg today. Rio said the only path to expansion is acquisitions. Jean Sebastian Jacques, the Rio Tinto Group CEO told Bloomberg. He told Bloomberg that acquiring more diamond assets is the "priority area"! They are going to continue to refocus their portfolio to ensure that 10 years down the road they will have only world class assets. What about that rare diamond find by KDR? How rare was it?The diamond was a natural coloured diamond, green shaded, which is unbelievably rare. Chances of the lab finding a diamond in a till sample is 5000/1 and only 1 in every 1000 diamonds is natural coloured, with green shaded among the rarest colour..........That puts its rarity into context

[goldeneye5] 05/5/2017 00:13

Thanks Stevehoops. KS hope things improving for your dad.I thought I would revisit some of my notes from the last AGM. I will also add in a post at the end ( which I kept because it was spot on and very good post) from a knowledgeable poster after the AGM. The points raised by the poster were on the money (and forgive me as it may well have been an excellent post from KS). KS I hope you don't mind me including it.Notes from AGM for KDR...........When asked about a takeover......The prof said that during the year 355 garnet and sample analysis were carried out by Rio in their lab. This was at Rio's own cost of in excess of €350,000. They do not have to do that. It is clear from both Rio and Alrosa that they are keen on the Karelian Craton. Whilst the prof spoke openly about the deal with Rio and how it was great, he then immediately followed that up with talking about Alrosa, leading to him making the statement that whilst we have an agreement with Rio, "we are still looking at it on a commercial basis, and if someone makes us a very good offer we will say thank you very much and take it". If not we will go ahead ourselves.When asked about if there has been any takeover bids. The prof said that at this stage no. He then went on to say that we are at the moment in a very good situation in that we had acquired the LAHTOJOKI DIAMOND PROJECT and the mining permit. This continues until 2019 without KDR having to do any thing at all. KDR have to just show serious intent by 2019. However the prof went on to say that they would like to move a lot earlier than 2019. This was all under the old Finnish mining law. They have brought in a new law, however given that it would now take 5 yrs to re-apply for permission all over again the government are prepared to grant KDR further permissions under the old mining legislation, however the government told KDR that they hoped that KDR would reciprocate this by moving to a mine as quickly as possible (no legal obligation to do so). The Finnish government are very keen to get the mine up and running for three reasons:1. Revenue and financial aspects2. They want to have the first diamond mine in Europe outside the Russian mines.3. The government hope, as in Canada, that there is a specific mark on the diamonds and there would be a premium on the diamonds.The prof then went on to say that the AGM group were a jewellery group and they felt that they didn't have the mining expertise to take it on. So they were very happy to do the deal with KDR. The prof went onto say that AGM ( a and g mining) will do very well out of the deal when the mine is in place and is producing. KDR have no serious expenditure at this stage, just a nominal amount. Hence it's a very good arrangement for both parties. He then said that Rio could come in, however they are really interested in the huge scale mine if we make the discovery at Riihivaara, which may take €200-300million to develop and Rio would put up the entire capital costs under the terms of their agreement, which would see KDR retain 49%. He then went on to say that de beers are no longer controlling the market like they did before. Alrosa are the largest and they have stated that they see there future in the Karelian craton. This info came out when Alrosa were doing a funding in London and had to disclose documentation which revealed this. The prof said that the Russians rarely give much away. He then referred to the original question re takeover, saying while we have great agreement with Rio, if we get a good offer we will take it. The more I think about it the more I am sure he was suggesting an Alrosa takeover bid. We do know Alrosa geologists visit Kdrs licencesRio have classified Riihivaara as a "high priority ore body". I am fairly sure that was the exact wording. Rio just spent €350,000 -€400,000 of their own money to test KDR garnets. They said likely to be diamondiferous. If RTZ ( Rio Tinto) look to build a mine at Riihivaara for £ 200 or 300 million and KDR have 49%, then the uplift to KDR would be beyond belief. As for Pipe 7 (Lahtojoki) and adjacent land. The prof said that they are going to do a little more work on the land adjacent to Pipe 7 as they think it could be richer than previously believed. I think the belief is that there may be another source of diamonds right next to Pipe 7 and GTK are chasing this up for the company. Hence they will remodel the mine. Extra post.......A very upbeat AGM today, well attended and well received.The Lahtojaki diamond mine will go in production sooner rather than later.Funding obviously needed but will not be a problem. Deadline of 2019 but The Prof told everyone today it will be much sooner than that.GTK are currently working on an additional area which is proving very interesting, once that work is finished, then the funding requirements will be known. That was confirmed by to us by the senior geologist as well.The Prof spoke re the keenness of RTZ to continue with the analysis of the Riihivaara project and samples taken.He spoke for once re figures needed to bring it into development, said it could be £200/£300 million, which shows the scale of the project involved.Obviously, that figure is way beyond KDR but not out of the reach of majors.Back to Lahtojaki, the cost for that to be brought into production is relatively cheap for many reasons explained clear and concisely by Kevin McNulty. They are very eager to get this under way now, so I'd imagine serious moves made after further investigation.Also mentioned were the boulders around K-K, current work is to establish which direction they originate from, once established that becomes pivotal for reasons mentioned by the team today.Those present today will verify the diamonds displayed,.......who knows re a RNS......they could have come from a subsidiary.....not bad for 4euros.Anyone doubting KDR now seriously want to give their head a wobble.

[keysersosse] 04/5/2017 20:18

Thanks Hoops for the kind words.

Nice to catch up now my dad's home and settled in.

Also nice to see Goldeneye has noticed the same about Seitapera....we must have the same news channels......dig deep and people will find.....

Folk wonder why Seitapera is called the flagship project but has until recently been left static since 2012.
I'd suggest reading through the findings there from a limited sample e.g 100kg
Compared to others scattered globally, they're not a bad little tally.
And not forgetting of course that Kuhmo is one huge area......

When we went to Dublin for the private presentation in 2014,we were told Seitapera was left at 80/85% complete by the BOD and the technical team.........yet it's the flagship project......that says it all to me.......

In those three years since, the share price has fallen drastically, due to limited news and the news which does come,I'd further suggest is too technical and deep for the average PI to fully comprehend. Folk expect diamonds to be on the surface with a "look at me" sign attached to it.
Diamond exploration is a long and tedious mission, but all news we've received in the RNSs over the last few years has actually been pretty outstanding in terms of indicators and rarity.
Indicators don't have that name without very good reason and I'm very grateful to certain geologists explaining everything thoroughly to me.

What was said in August 2016 re the timescale of the Lahtojoki remodel ?
Wasn't fast tracking also mentioned at the AGM ? I was there so can confirm it along with a few others on here.

For those fishing for info, all I'd say is I wouldn't dream of selling.......stand firm......this clock is ticking.

[stevehoops] 04/5/2017 19:56

Also
Keyser has called this from the start.
For all that who slagged him off!!
No more need said.!!