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26 www.resourceworld.com F E B R U A R Y / M A R C H 2 0 1 8 MARGARET LAKE DIAMONDS' [DIA- TSXV] namesake property lies just 9 km north of Canada's newest diamond mine, Gahcho Kué, owned by DeBeers (51%) and Mountain Province Diamonds [MPVD-TSX, NASDAQ], (49%). Mineral discoveries are often made in clusters due to favourable geology, structure and min- eralizing events. The same can be said for diamonds since diamond-bearing kimber- lite pipes often occur in clusters. I believe DIA is a company to keep a close eye on. It has an experienced and tenacious manage- ment team that has positioned itself in the heart of two prolific diamond fields. The Margaret Lake property is comprised of 19 mineral claims totaling 19,716.37 ha which are contiguous to the north with the Gahcho Kué Mine and to the east of Kennady Diamonds Inc.'s [KDI-TSXV] advanced Kennady North Project. Last summer, the company completed an exploration program which consisted of ground gravity and electromagnetic surveys in conjunction with bathymetry to upgrade target definition and ranking on priority targets generated by an earlier Falcon airborne gravity survey. Results identified three promising tar- gets which display either a gravity low, bedrock conductor or a combination of both. In addition, a fourth target has been identified from historic ground work which also displays coincident gravity and electromagnetic responses. These anomalies exhibit characteristics which are interpreted as having the potential to represent kimberlite bodies and are con- sidered targets for additional evaluation and future drill testing. Margaret Lake Diamonds and its joint venture partner, Arctic Star Exploration [ADD-TSXV; ASCZD-OTC], also tabled results from their Diagras property located on the northeast part of the Lac de Gras kimberlite field, just 22 km northeast of the Diavik diamond mine and 36 km east of the Ekati diamond mine. The property lies within a prolific Northeast trending corridor of diamond-bearing kimberlites. Last summer the partners completed a series of modern geophysical surveys over the property that evaluated areas of known kimberlites as well as unresolved targets generated from public domain data. The same approach was used on the Kennady Lake Project and the results led to the discovery of the diamond-bearing Kelvin and Faraday pipes. Results at Diagras extended the size of the Jack Pine kimberlite and discovered a new anomaly to the north, dubbed Sequoia. At the Black Spruce kimberlite, the part- ners also identified an anomaly that was not previously tested. Other surveys con- ducted during the spring 2017 program also returned kimberlite-like geophysical signatures in and around known kimber- lite bodies for which the company has no record or evidence of previous evaluation. Drill testing and further geophysi- cal evaluations will be conducted concurrently in the spring of 2018. Margaret Lake Diamonds is led by Mining Engineer, Analyst and Investor, Paul Brockington, who has over 50 years in the mineral business and was one of the first analysts to value DiaMet, prior to the Ekati diamond discovery. Brockington has a knack for identifying and acquiring large positions in early-staged companies. His successes included DiaMet Minerals, Aber Resources and more recently Lucara Diamond Corp., Mountain Province and Kennady Lake Diamonds, all of which have returned handsome returns for early inves- tors. At the age of 71, Brockington had no need to become the CEO of a public com- pany, but nevertheless he was enticed to Margaret Lake Diamonds after realizing the opportunity the company's namesake property presented. Buddy Doyle also joined the Margaret Lake team and is Director and VP of Exploration. Doyle led the team that dis- covered the Diavik diamond deposits in 1994-1995 and is recognized by his peers in the exploration industry as an author- ity on diamond exploration and kimberlite geology. Margaret Lake Diamonds has 46.3 mil- lion shares outstanding and a market capitalization of $2.7 million. n Payton Nyquvest is an Investment Advisor with Mackie Research Capital Corporation (MRCC). This article was prepared, in part, under contract by Thomas Schuster. The opinions, estimates and projections herein are those of the author and may not reflect that of MRCC. The information and opinions con- tained herein have been compiled and derived from sources believed to be reliable, but no rep- resentation or warranty, expressed or implied, is made as to their accuracy or completeness. The issuer(s) mentioned in this article may not be suitable for all investors. Please consult an investment professional for advice regard- ing your particular circumstance. Neither the author nor MRCC accepts liability whatsoever for any loss arising from any use of this article or its contents. Information may be available to MRCC which is not reflected herein. This article is not to be construed as an offer to sell or a solicitation for an offer to buy any securi- ties. The information contained in this article is not intended to constitute a research report. Payton Nyquvest is a beneficial owner of the company highlighted in this article. Broker's Picks by Payton Nyquvest More exploration success for Margaret Lake Diamonds