MASERU — Paragon Diamonds has been awarded a one year extension for its exploration licence at the Lemphane kimberlite in Lesotho.
The licence will now end in June next year.
Paragon chairman, Francesco Scolaro, said the company intends to use the extension to complete the bulk sampling programme that is already underway, to increase the tonnage from sample locations and to conclude the evaluation work.
The company will then embark on a scoping study and aim towards obtaining a trial mining licence.
“This extension will enable Paragon Diamonds to continue its rapid exploration of the kimberlite with a view to completing the bulk sampling and moving towards a scoping study as quickly as possible,” Scolaro told the StockMarketWire.com.
“Along with our rapid development of the Motete Dyke system this gives us a great platform to develop into a Lesotho focused diamond producer.”
Paragon Diamonds also runs the Motete Dyke diamond project. The Motete Dyke covers a 23-square kilometer area.
The company obtained control of the Lemphane licence in May last year and immediately commenced a rapid exploration programme to evaluate the kimberlite.
When Paragon sealed the deal the licence had just over a year left until its expiry and minimal work had been undertaken.