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  • Burgundy Diamond Mines (BDM) enters a trading halt while it plans a capital raise
  • The company is focused on pursuing opportunities in the high-value fancy coloured diamonds sector
  • AFter
  • After a 12-month delay, bulk sampling recently began at the Naujaat Diamond Project which aims to confirm the size distribution and character of potentially high-value yellow-to-orange diamonds found in the Q1-4 deposit
  • Burgundy will remain in a trading halt until Monday, July 26, by which time the capital raise details will be announced
  • Company shares last traded at 26 cents on Wednesday, July 21

Burgundy Diamond Mines (BDM) has entered a trading halt to complete a capital raise.

At this stage, it isn’t clear how much the company will raise or what it will use the money for. However based on its recent news flow, it’s focused on pursuing opportunities in the high-value fancy coloured diamonds sector.

At the end of June Burgundy began a bulk sampling program at the Naujaat Diamond Project in Nunavut, Canada.

The Naujaat Diamond Project is a key part of Burgundy’s strategy to develop a portfolio of world-class diamond projects with a focus on producing coloured diamonds.

The program had reportedly been delayed for 12 months due to COVID-19 and Managing Director and CEO Peter Ravenscroft was delighted to finally progress the work.

“We are delighted that we are at last able to progress the highly promising Naujaat Project. These are exciting times in the ongoing progress of our strategy, and we look forward to announcing results as soon as they are available,” he said.

The program aims to collect a 2000-tonne bulk sample from the Q1-4 kimberlite and this is expected to be shipped in September. Diamonds recovered from the sample are intended to confirm the size distribution and character of potentially high-value yellow-to-orange diamonds found in the Q1-4 deposit.

Burgundy is also conducting ground work activities at its Botswana Exploration Alliance projects and at the Ellendale Diamond Project in Western Australia.

The company will remain in a trading halt until Monday, July 26, by which time the capital raise details will have been announced.

Company shares last traded at 26 cents on Wednesday, July 21.

BDM by the numbers
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