Vancouver, Aug. 17, 2004 Diamond Fields International Ltd. (TSX:DFI) is pleased to announce the results of the initial drill program at the Ogna Nickel-Copper project in southwestern Norway. A total of 1280.7 meters of drilling was completed between May 25 and June 17, 2004. Drilling was focused in two geophysical targets at Bjorndalsnipa and Gulldragsvatn.
Bjorndalsnipa – Ni/Cu Geophysical Target
Eight drill holes totaling 896 meters targeted nickel and copper mineralization related to late-stage enrichment of an anorthosite host. The drilling encountered massive sulfide veins and stringers of disseminated sulfides with grades including nickel values up to 1.31% and copper values up to 0.85%. Drill holes 2 to 7 were all collared at the same site and drilled in a fan to define the extent of the mineralization in an area where no obvious structural controls could be seen at surface.
Results for selected elements are as follows (true thickness is not known at this time):
------------------------------------------------------ Drill From To Width Hole (m) (m) (m) %Ni %Cu %Co %Fe ------------------------------------------------------ BJN02 27 29 2 1.23 0.57 0.16 52.79 BJN02 29 30 1 0.81 0.85 0.12 36.07 BJN02 31 33 2 1.21 0.34 0.13 51.82 BJN02 33 35 2 0.42 0.30 0.05 18.48 BJN02 35 37.2 2.2 0.70 0.27 0.08 29.98 BJN02 46.2 47.1 0.9 1.04 0.22 0.12 44.11 BJN03 43.5 43.9 0.4 0.80 0.42 0.11 36.55 BJN05 21.4 22.1 0.7 1.21 0.22 0.16 52.89 BJN05 63.2 64.2 1 1.06 0.44 0.18 50.54 BJN05 75.4 76.4 1 1.30 0.22 0.14 56.35 BJN06 20.5 21 0.5 1.31 0.20 0.15 56.39 BJN06 23.5 24 0.5 1.19 0.23 0.14 51.54 BJN06 25.9 26.4 0.5 1.07 0.16 0.12 46.96 BJN06 40.5 41.4 0.9 0.86 0.49 0.14 40.68 BJN07 24 25.9 1.9 1.22 0.36 0.14 52.78 BJN07 29.1 30.4 1.3 1.30 0.31 0.14 54.75
Interpretation of the drill intersections suggests a semi-cylindrical body of sulfide mineralization, about 50 meters long and 40 meters wide, dipping steeply to the south was intersected, similar in extent to the Homse massive sulfide deposit located 900m to the west. Although the drill identified zone at Bjorndalsnipa does not appear at this time to represent an economic ore deposit, the style and extent of mineralization in these two cases is interpreted to represent a feeder system of sulfide liquids, suggesting the possibility of a larger nickel/copper enriched sulfide body at depth. The two mineralized pods appear to be related by their locations adjacent to a through going fault. A ground geophysical program is planned over the area to search for deeper conductors that will help support this theory and generate targets for further drilling.
Gulldragsvatn
In the Gulldragsvatn area, 384.5m of drilling targeted nickel, copper, and titanium mineralization related to an extensive mineralized zone in anorthosite and norite. Two 45 degree angled drill holes on a SE bearing returned core lengths of 53m and 90m respectively of anorthosite and norite breccia with massive ilmenite matrix. The holes are 150m apart and targeted on geophysical anomalies. Intersections of massive ilmenite bands in the core varied from centimeters thick to 4m thick in HGV-1.
Results for selected metal oxides are as follows (true thickness is not known at this time):
---------------------------------------------------------------- From To Width DHID (m) (m) (m) TiO2% Fe2O3% MnO% V2O5% Cr2O3% ---------------------------------------------------------------- HGV1 88 100 12 23.76 32.25 0.17 0.191 0.043 HGV1 100 108 8 8.97 14.70 0.09 0.079 0.021 HGV1 108 114 6 25.89 34.00 0.17 0.200 0.037 HGV1 114 128 14 9.83 14.00 0.08 0.083 0.022 HGV1 128 134 6 12.89 18.47 0.11 0.112 0.026 HGV1 134 140 6 8.04 12.10 0.08 0.070 0.017 HGV1 Ttl 52m 14.91 20.92 0.12 0.12 0.03
HGV2 has a similar style of mineralization. Although disseminated and stringer ilmenite was seen for the entire length of the hole, a zone of massive ilmenite and anorthosite breccia extended from 126m to 144m. These intersections are interpreted to represent near true thickness of the ilmenite mineralization which is dipping 45 to 50 degrees to the NW. The mineralized zone and coincident HEM anomalies that define it extends over 1000 m along strike. Surface structure indicates that further strike length is possible.
Results for selected metal oxides are as follows (true thickness is not known at this time):
------------------------------------------------------------------- From To Width DHID (m) (m) (m) TiO2% Fe2O3% MnO% V2O5% Cr2O3% ------------------------------------------------------------------- HGV2 60 66 6 8.67 14.90 20.92 0.116 0.122 HGV2 66 74 8 13.91 21.00 0.12 0.141 0.036 HGV2 74 75.5 1.5 13.93 20.2 0.11 0.141 0.035 HGV2 75.5 79.5 4 26.53 36.45 0.19 0.266 0.060 HGV2 79.5 81 1.5 15.44 22.5 0.14 0.157 0.041 HGV2 81 89 8 12.52 20.53 0.12 0.122 0.029 HGV2 89 91 2 0.19 3 0.03 <0.005 0.005 HGV2 91 97 6 10.79 16.37 0.10 0.111 0.031 HGV2 97 101 4 27.23 37.90 0.20 0.272 0.067 HGV2 101 104 3 5.57 9.2 0.06 0.056 0.013 HGV2 104 112 8 20.83 30.10 0.16 0.211 0.048 HGV2 112 126 14 7.42 12.39 0.08 0.084 0.027 HGV2 126 144 18 19.18 28.44 0.16 0.20 0.049 HGV2 144 150 6 11.50 18.00 0.12 0.118 0.027 HGV2 Ttl 90m 14.2 21.43 0.12 0.15 0.04
Gulldragsvatn drilling has suggested ilmenite mineralization warranting further investigation. Future work will include assessing metallurgical potential before attempting to expand the deposit. Ilmenite is one of the main ores of titanium which is primarily used as a pigment for paint, paper, plastic and other materials. Other uses for titanium are for manufacturing alloys, carbides and chemicals
Crushing and geochemical analysis of the core was carried out by OMAC Laboratories, Loughrea, County Gallway, Ireland (www.omaclabs.com). The Bjorndalsnipa samples were processed using ICP methods while the Gulldragsvatn samples were processed using a Potassium Polysulphate Fusion method with ICP finish, specific for ilmenite compositions. Mr. Randal Cullen, P.Geol, Chief Geologist for Diamond Fields International Ltd., is a Qualified Person as defined by National Instrument 43-101 and is responsible for program design and quality control of exploration undertaken by Diamond Fields.
Diamond Fields International Ltd. is an internationally active exploration and mining company pursuing mineral exploration opportunities worldwide. The Company’s corporate strategy is to maximize cash flow from its Namibian marine diamond concessions and systematically explore and develop its international mineral exploration projects. In addition, the Company continues to explore opportunities to acquire new economic mineral projects worldwide.
DIAMOND FIELDS INTERNATIONAL LTD.
“Gregg J. Sedun”
Gregg J. Sedun
President and Chief Executive Officer
For further information contact Investor Relations (1-888-682-2113)
Website: www.diamondfields.com
Forward-Looking Statements:
Statements in this release that are forward-looking statements are subject to various risks and uncertainties concerning the specific factors identified in the Diamond Fields’ periodic filings with Canadian Securities Regulators. Such forward-looking information represents management’s best judgment based on information currently available. No forward-looking statement can be guaranteed and actual future results may vary materially. Diamond Fields does not assume the obligation to update any forward-looking statement.