Vaaldiam completes Duas Barras recovery plant

Toronto-based Vaaldiam Resources (TSX-V: VAA) has completed construction and installation of a diamond recovery plant at its Duas Barras diamond property in Brazil's Minas Gerais state, the company said in a statement. Commissioning of the bulk-sampling plant is underway, the company said. The company plans to process 3,000m3 of gravel as part of its due diligence review of the property. In addition a topographic survey of the deposit is complete and percussion drilling continues. The drilling is expected to allow a resource estimate for Duas Barras, Vaaldiam said. The plant consists of a primary feed and screening circuit with a capacity of 40m3/h. A concentration circuit will use gravity separation to filter heavy minerals, including diamonds and gold. A gold-bearing circuit will produce gold-bearing concentrate, while diamond-bearing concentrate will be delivered in sealed bins to grease tables for final diamond recovery, Vaaldiam said. Vaaldiam holds an option to acquire 70% interest in the 7,000ha Duas Barras property from Brazilian exploration company Mineracão Marly. The property includes 5km of the Jequitinhonha river, which has historically produced US$500,000-750,000 of diamonds each month from river dredge and artisan miner workings, Vaaldiam said. Vaaldiam is also involved in a joint venture with Rio Tinto Desenvolvimentos Minerais, a subsidiary of Anglo-Australian mining giant Rio Tinto (NYSE: RTP), on the Pimenta Bueno diamond property in northwest Brazil's Rondônia state.