North Arrow Minerals Inc. - Lac de Gras

Overview

Location

The Lac de Gras project is located 290 km northeast of Yellowknife and is within 10 km of the Diavik diamond mine.

Size

A total of 81,584.2 acres, consisting of 32 mining leases and two mining claims.

Part of a 307,000 acre Joint Venture Property with Dominion Diamond Corporation.

Ownership

100% North Arrow

Option/Joint Venture agreement with Dominion Diamond Corporation (formerly Harry Winston Diamonds) under which the companies have combined exploration properties to create a 307,000 Joint Venture Property. Dominion can earn a 55% interest in the Joint Venture Property by funding $5 million in exploration expenditures.

Highlights

Located within the Lac de Gras kimberlite field which includes the world class Ekati and Diavik diamond mines.
Joint-ventured with Dominion Diamond Corporation (formerly Harry Winston Diamond Mines). Dominion owns a 40% interest in the Diavik mine and an 80% interest in the Ekati mine.
Diavik trend projects through the centre of the property and the Ekati trend projects through the western margin of the property.
$1.3 million overburden drilling program planned for 2013

Summary

Previous work has included airborne surveys, till sampling, ground geophysics and limited diamond drilling. Untested geophysical anomalies and unexplained geochemical anomalies remain. Considering the proximal location of the Lac de Gras properties to operating diamond mines, North Arrow considers the Lac de Gras properties to have significant exploration potential for diamondiferous kimberlite. The Diavik mine lies only 10 km away and is projected to produce over 100 million carats of diamonds over its mine life of 16 to 22 years, with an expected annual diamond production peak of approximately 10 million carats (source: www.diavik.ca).

In the fall of 2011, joint-venture partner Dominion Diamond Corporation (formerly Harry Winston Diamond Mines) began mapping local ice directions and till characteristics in preparation for a systematic basal till sampling program, planned for 2013. The program will use a track mounted reverse circulation drill to sample a complete till column and reach basal till not accessed by previous sampling.