3. Source: Trends in Cdn Mineral Exploration & Pers. Communication with Operating Companies in Brazil; Ontario Ministry of Northern Development and Mines Diamond Exploration Expenditures (US$ Millions) In 1991, the first economic kimberlite pipe in Canada was discovered at Pointe Lake > US$ 2 billion was invested in diamond exploration since 1991 and this results in at least 4 new diamond mines = more than US$ 2 billion of diamond/ year.
5. Use the excellent work done by De Beers, Rio Tinto, CPRM, etc. > 1.000 kimberlites discovered since 1966 (Redondão Kimberlite);
6. Why the “Majors” walked away from Brazil The “majors” diamond companies did a very good and successful exploration work in Brazil; however they were looking only for WORLD CLASS MINES . Note: Just for reference most of the kimberlites which comprise Point Lake (Ekati Mine) area are smaller than 3 hectares in size. Ekati produces US$ 500 million/ year for at least 25 years. Many small bodies can make a big mine.
10. Duas Barras Chapada Producing Mines Annual Production 30,000 cts Diamond Value US$ 165 / ct Cash Cost of Production US$ 93/ ct Mine Life 5 Years Annual Production 20,000 cts Diamond Value US$498 /ct Cash Cost of Production US$ 465 / ct Mine Life 4 Years
16. How we can Change this Scenario? Partnership small companies and “garimpeiros” by: 1 – Share the same mining concessions (PLG’s, JV, etc.); 2 – Improving the processing from “garimpeiros” by using the companies technology. 3 – Improving the environmental reclamation in order to minimize the impact of the areas explored by garimperios.
17. How we can Change this Scenario? Brazilian Diamond Players 1 - Incentives in order to have diamond companies listed at BOVESPA; 2 - Finance and facilities to buy equipments and working capital; 3 -Training in order to have Brazilian diamond valuators with international recognition; 4 - Analysis the possibility to create a Brazilian Diamond Exchange Centre. 5 – Safe regulations and legal stability .