Karelian granted rights of way to its Finnish diamond assets

The AIM-traded firm said the granting of vehicular rights of way would allow for its technical assessment of the Lahtojoki diamond deposit, over which it has been granted a mining concession.

It said the two hectare deposit is located in the Kaavi region of eastern Finland, in the Karelian Craton, which extends across north-eastern Russia and northern Finland.

The “world-class” Lomonosov and Grib Pipe diamond deposits have been discovered in the Russian sector of the Craton, the Karelian board explained.

Drilling and sampling information to date, together with other technical information, indicated that the Lahtojoki diamond deposit had the potential to become a profitable open-pit diamond mine.

Initial sampling raised the possibility that the deposit has a high percentage gem quality with coloured diamonds present, including pinks.

The granting of the rights of way would also facilitate exploration on the company’s Lahtojoki South exploration permit, and on its KDR-R1 reservation surrounding the diamond deposit.

The rights of way are valid to 2 January 2024, and are subject to appeal.

“Having rights of way for vehicular access will greatly help the ongoing assessment of the Lahtojoki diamond deposit and also the additional exploration around the deposit,” said chairman Richard Conroy.

“It is a further step forward as we move towards our goal of bringing in a diamond mine at Lahtojoki - the first diamond mine in Europe outside of Russia.”

At 0839 BST, shares in Karelian Diamond Resources were up 30.43% at 3p.