Suppliers News (August 14, 2006)

Dican diamond valuation contract renewed

Diamonds International Canada (DICAN) says it has extended its diamond valuation contract with Indian and Northern Affairs Canada for another two years. The current 3-year valuation contract ended on June 30.

DICAN, which was awarded the contract in 1998, and again in 2003 following an international auction, is a Yellowknife, N.W.T.-based company that is 51% owned by Aboriginal Diamonds Group and 49% owned by WWW International Diamond Consultants Limited (WWW).

DICAN is responsible for ascertaining the gross value of diamonds produced by the Ekati and Diavik mines, as well as royalty assessments and consulting services on behalf of Indian and Northern Affairs.

DICAN Aboriginal Diamonds Group is an aboriginal-owned corporation that is an equal partnership between several First Nations businesses including, Nishi Khon Enterprises (representing the Dogrib First Nation), Deton’Cho Corp. (Yellowknives Dene First Nation), and Kitikmeot Corp. (Kitikmeot Inuit Association). WWW is a London-based diamond consulting firm composed of rough diamond valuators. WWW is providing technical and management expertise to DICAN as well as training to Canadian aboriginals, government officials, and others.

Mesa hires Bob Beeman Drilling

Mesa Uranium (MZU-V, MSAUF-O) has chosen a local driller to test its Lisbon Valley uranium property in Utah.

Bob Beeman Drilling Co. of Moab, Utah, will begin drilling once it has the appropriate permits in hand. The drilling company was formed more than 30 years ago in Utah and its personnel know the area and its geology.

Jet West Geophysical Services of Farmington, N.M., will log the drill-hole data.

Mesa Uranium’s 2006 drilling plan consists of 35 holes for a total of 25,000 metres. Early drilling (8 to 10 holes) will concentrate on targets on the northern edge of the company’s claims adjacent to the past-producing Lisbon uranium mine, which once produced more than 22 million lbs. of U3O8.

The Lisbon Valley mining district is located in the Colorado Plateau region, 50 km south of Moab in San Juan Cty., Utah.

Rio Blanco engineering contract won by MQes

Mine and Quarry Engineering Services will design the processing plant and other related facilities at International Minerals’ (IMZ-T, IMZLF-O) Rio Blanco gold-silver project near Cuenca in Ecuador.

MQes has already completed the process plant and surface facilities for a feasibility study that was finished in January.

International Minerals will develop Rio Blanco as an underground operation using conventional mining methods over a mine life of about eight years — based on current reserves.

The processing plant will treat 800 tonnes per day of ore grading roughly 8.7 grams gold and 62 grams silver per tonne and will involve crushing, grinding, leaching, counter-current decantation washing and Merrill Crowe precipitation. The work will be done through MQes’ headquarters in San Mateo, Calif.

MQes is a privately held consulting and engineering company supplying geological, mining and process engineering services to the mining and quarrying industries.