Experience, Expertise & Discovery

Location

The Hammer project is located approximately 500 km north of Yellowknife and 85 km south of the Coronation Gulf in Nunavut.

Size

A total of 2,533 acres, consisting of 2 claims.

Ownership

75% Stornoway Diamonds, 25% North Arrow

Highlights

• Previous till sampling identified a mineral indicator train with mineral chemistry indicative of a potentially diamond bearing kimberlitic intrusive.
• New claim staked in the fall of 2008 to cover a prominent topographical low overburden covered area of approximately 1 hectare immediately south of the anomalous till samples.
• Prospecting in 2009 located kimberlitic outcrop at the head of the mineral indicator train coincident with a large (1 hectare) topographic low.
• A diamond was recovered from a small sample of the kimberlite bedrock.
• In September 2010 ground magnetic and electromagnetic survey data indicated a positive magnetic response and a conductive response coincident with the topographic low.

Summary

Large land packages in the Coronation Gulf (North Slave) area were acquired by a number of companies following the discovery of the Artemisia pipe in 2001. To date some 17 kimberlites are known to exist in the area. This includes the large (10.2 hectare) multiphase Knife pipe with reported grades of 11 to 31 cpht. One of the area projects was operated as a joint venture between Stornoway and Navigator Exploration Corporation (now Strongbow Exploration Inc.). In 2007 Strongbow spun off their diamond assets into North Arrow Minerals.

The head of indicator mineral train with chemistry indicative of a diamond bearing kimberlite intrusive was found to coincide with a large, approximately 1 hectare topographic low. Prospecting in 2009 located kimberlitic bedrock within the topographic low and the discovery named the Hammer kimberlite. A diamond (+0.106mm) was recovered from a small sample (6.6 kg) of the discovered kimberlite bedrock.

In September 2010, ground geophysical surveys were conducted over the Hammer kimberlite. A total of 7.6 line-km of total field magnetics and 2.2 line-km of Horizontal Loop Electromagnetics (HLEM) were completed. A magnetic anomaly was detected at the center of the work area, coinciding with the observable topographic low. The magnetic anomaly is ~530nT above background and is roughly 185 m in the NW-SE direction by 65 m in the NE-SW direction. A coincident moderate response conductor was detected with the HLEM survey. The HLEM conductive response outlines an area that matches the dimensions of the magnetic anomaly. In June 2011 the Company and its partners undertook a $1.3 million diamond drill program to delineate the Hammer kimberlite.