The 5h Baoulé pipe is located in Aredor with historical data suggesting a diamond grade range of between 13cpht and 40cpht.
Under the terms of the agreement, Stellar can acquire 100% interest of Tassiliman’s license area, which hosts the 5h diamondiferous kimberlite pipe, through $5m earn-in for 75% and option to acquire remaining 25%.
Stellar Diamonds chief executive Karl Smithson said Stellar Diamonds has secured an option to acquire up to a 100% interest in the diamondiferous Baoulé pipe.
"Located in the former Aredor mining concession, which is one of the largest alluvial diamond mining areas in West Africa, the Baoulé area has a history of producing large, high quality diamonds," Smithson added.
"Whilst we equally remain focused on the feasibility study of our Tongo project in Sierra Leone, Stellar is leveraging off its established connections to secure additional projects with exceptional potential."
On behalf of the joint venture company, Stellar will remain operator of the project at all times and will retain full rights to marketing the diamonds during production.
"We particularly welcome our partnership with Société Tassiliman and look forward to a long-term and successful relationship in Guinea," Smithson further said.
Currently, Stellar is generating an evaluation program and budget aimed using the historic database as a guideline to re-assess the Baoulé pipe through drilling and bulk sampling.
