MONTREAL, QUEBEC -- (Marketwire) -- 11/30/10 -- Big Red Diamond Corp. (TSX VENTURE: DIA) (the "Company" or "Big Red") is pleased to announce that it has entered into an option agreement to acquire 100% interest in four properties located in the Carbo area of north-eastern British Columbia.
The South-East Cap, North Cap, MagAnomaly 1 and South Seebach rare earth element ("REE") and rare metal properties are all located within the immediate vicinity of Spectrum Mining Corporation's Wicheeda REE Discovery as well as the Carbo Project which is currently being drilled by Canadian International Minerals Inc. (TSX VENTURE: CIN) and Commerce Resources Corp. (TSX VENTURE: CCE).
The group of claims are located approximately 80 km northeast of Prince George and together comprises 18 mineral claims covering approximately 8,055 hectares and are all located within the Rocky Mountain Rare Metal Belt.
The South-East Cap and South Seebach claims cover or are adjacent to distinct, circular, regional aeromagnetic geophysical anomalies within the Carbo area. Known REE and rare metal mineralization in the Carbo camp such as the Wicheeda Carbonatite-Syenite Complex, is known to be related to regional magnetic highs and lows.
According to Graf et al. (2009) (see www.remstarresources.com and www.arcticstardiamond.com ) the Wicheeda REE Discovery owned by Spectrum is composed of several intrusive carbonatite bodies which form a 2km by 15 km long northwest to southeast trend. The Wicheeda "Main Zone" is coincident with an area of anomalous soil geochemistry of more than 400 ppm cerium, measuring about 500 by 1,000 m. The north side of the "Main Zone" is coincident with a magnetic geophysical anomaly measuring approximately 500 by 1,000 m. Highlights from the 2008-09 drill program of the "Main Zone" included:
- 2008-02: 3.55% REE across 48.64 m
- 2009-07: 2.92% REE across 72 m
- 2009-09: 2.2% REE across 144 m
The South-East Cap Property, which is contiguous to the Cap property, encompasses six claims totalling approximately 2,958 hectares, located about 10 km southeast of the Wicheeda Property or about 25 km southeast of the Wicheeda "Main Zone" along the trend of the known Wicheeda Carbonatite-Syenite Complex. The Cap property was staked to cover an approximately 3 to 5 km diametre, circular, airborne magnetic geophysical anomaly. A brief field examination completed by TerraLogic Exploration Inc. (see www.arcticstardiamond.com and www.zimtu.com ) during September, 2010 identified two narrow, syenite dykes near the crest of the ridge that trends from northwest to southeast across the property. The dykes contained highly anomalous geochemistry, including 481 to 981 ppm niobium, 1125 to 3,191 ppm zirconium, greater than 100 ppm lanthanum, greater than 100 ppm cerium and greater than 50 ppm neodymium. These "high-level" dykes indicate that the source of the magnetic geophysical anomaly may be associated with a carbonatite or similar intrusion.
The South Seebach property, which is contiguous to Zimtu Capital's (TSX Ventures: ZIM) and 877384 Alberta Ltd's Seebach property, is about 15 km southwest of the Wicheeda "Main Zone" and covers a distinct, circular, aeromagnetic geophysical anomaly. The property consists of two mineral claims totalling approximately 923 hectares.
The North Cap property is within about 10 to 15 km east of the Wicheeda "Main Zone" and approximately 4 km north of the Cap property. The property consists of seven claims encompassing approximately 3,250 hectares. The properties cover an area of elevated magnetic relief.
The MagAnomaly 1 property is approximately 4 km southwest of the Cap property. The property consists of two claims encompassing approximately 905 hectares. The properties cover an area of magnetic anomalies.
Big Red has entered into an option agreement with prospector Ken Smith to acquire 100% interest in the South-East Cap. South Cap, North Cap and South Seebach properties by making a cash payment totalling $35,000 and issuing, upon regulatory approval of this transaction, 500,000 common shares and issuing an additional 500,000 common shares at the first anniversary of the approval.
About Big Red Diamond Corporation
Big Red Diamond Corporation is a junior exploration company with exploration projects in the West Timmins Gold camp and rare earth elements property near Sept-Iles, Quebec. The Company is also a joint-venture partner with Metalex Ventures and Arctic Star in the Attawapiskat diamond exploration project in the Ontario James Bay Lowlands, surrounding De Beers' Victor diamond deposit.
NI 43-101 Disclosure
This press release was reviewed by Clinton Barr, P.Geo, a Qualified Person as defined by NI 43-101
The proposed transaction is subject to TSX Venture Exchange approval.
President and CEO