Corporate Strategy

  • DRS was formed by experienced diamond explorers and corporate managers in April 2012.
  • The objective is wealth generation for shareholders by discovery of economic diamond deposits.
  • The global diamond market needs new production due to a supply shortage and demand increases in China and India.
  • Our strategy is to evaluate two significant diamond projects containing high diamond concentrations that have not yet been bulk sampled.
  • These projects are located at Nabberu, northeast of Meekatharra in WA and at Eurelia, east of Port Augusta in SA.
  • Over $16 million of previous expenditure has provided DRS with a deep understanding of project prospectivity and underlines the advanced nature of the planned exploration program.
  • Untested targets were left at Nabberu when the original discoverers, De Beers, pulled out of Australia in 1996.
  • At Eurelia, DRS’ new evaluation targets were located in 2010, after the last bulk sampling by Flinders Mines in 2009.
  • About 9% of Nabberu diamonds located to date are pink. These command high prices and increase the chances of locating a commercially viable deposit.
  • After preliminary work, it is proposed to carry out bulk sampling using the DRS owned bulk sampling plant (Figure 2).
  • Nine 100-tonne bulk samples are planned in Year 1. Any one could provide encouraging results leading to an evaluation program.
  • A first-year program is proposed costing $1.5 million as part of a larger capital raising of $3 million.
  • The board believes the package will provide an excellent opportunity to profit from investment in an exciting new diamond company.