Stellar Diamonds receives tentative approval for Tongo Dyke-1

Stellar Diamonds announced the completion of a major step in Sierra Leone on Wednesday, having received a letter of approval from the country's Environmental Protection Agency (EPA) for its mining licence application at the Tongo Dyke-1 project.

The AIM-traded diamond development firm said the approval of its Environmental, Social and Health Impact Assessment marked a key step in moving towards development of the 1.45m carat diamond resource at Dyke-1.

It was one of four kimberlite dykes at Tongo, the company confirmed. Stellar would now schedule a meeting with the EPA to discuss and agree on the fee relating to the issue of the environmental licence.

"We have also recently successfully concluded the surface rental agreement with the landowners and other key stakeholders, and this will now be incorporated in to a legally binding agreement," said Stellar Diamonds chief executive Karl Smithson.

"I look forward to updating shareholders in due course on progress relating to the mining licence application which awaits consideration by the Minerals Advisory Board as we continue to progress the development of this high-grade, high-value diamond resource," he added.