News

February 05, 2009

Canaco Is Firing On All Cylinders In Tanzania, As Its Gold And Diamond Projects Motor Along

By Charles Wyatt

Looks like the foray by Canadian listed Canaco Resources into Tanzania is now paying off twice over. Not only has it had some very encouraging results from exploration on three areas of the Handeni gold district, but it has just reported that preliminary gemological results have confirmed the presence of diamondiferous alluvial gravels on the company's Magembe diamond property to the north. This will delight Andrew Lee Smith, chairman and chief executive of the company, as he founded True North Gems which is exploring for emeralds and sapphires in the Yukon and Greenland, and, as they say, once a gemstone man, always a gemstone man. But he’s also happy to be a gold man too, as Handeni is showing immense potential.

The sampling of Magembe alluvial gravels was conducted as part of phase I exploration, the objective of which was to confirm and evaluate indicated diamond potential from both alluvial and kimberlitic sources. To date, 60 samples weighing a total of 12.4 tonnes have been processed out, of a total of 45.9 tonnes of alluvial gravels and 220 samples collected during the course of 2008. A total of 41 diamonds and diamond cleavages have been recovered from 12 of the 60 samples, with the largest...