Seven years exploring the Ellendale kimberlite province has not disillusioned the company from continuing to pump time and money into the project. To date it has spent an estimated $13-14 million on exploration.

The first bulk sampling for this year recovered a parcel of 44 diamonds weighing 21.31 carats. These results have been estimated at a grade of 10 carats per 100 tonne.

"We strongly believe there is a source out there that is hopefully chocker block full of diamonds" - Karl Simich

“We are now getting good results in the alluvial system and with these grades we potentially have an economic alluvial diamond mine,” Simich said.

“We have only tested a 220t sample so it is not big enough to say anything other than these results are really exciting and indicate great potential.”

The average size stone in the parcel was half a carat and the largest was 2.575 carats.

Simich said the clarity, size and colour of Kimberley’s latest find suggested the diamonds were not part of the known Ellendale 1 and 9 kimberletic pipes.

“A population of diamonds display signature characteristics,” he said. “These diamonds are different to the diamonds found in Ellendale 1 and 9.

“Geological information also supports this theory.

“If they are not from known sources, they must be from somewhere else, which is exciting.”

Simich said Kimberley would continue to pursue the source of these diamonds.

“We strongly believe there is a source out there that is hopefully chocker block full of diamonds and that is dear to our hearts,” he said.

Kimberley has recently raised $3.6 million and plans to pump that money back into exploration.

“We have a history of being able to raise capital and we intend to spend it on exploration,” Simich said.

“When we start to mine that is when we will start to pay dividends.”

Kimberley market capitalisation currently stands at $16.7 million, and the company has $3 million in the bank. At the time of writing shares were trading at 27c.

According to Simich, the company was undervalued by the market compared to other diamond explorers.

“It’s ridiculous - currently the market values our shares at 27c compared to 87c only 18 months ago,” he said.

“The market tends to be cyclical, so if we can duplicate these watershed results in the field things in the market could turnaround.”

Simich estimates it would be at least another year before Kimberley would know whether they are sitting on the next world-class alluvial diamond mine.

“We need to take reasonable sample and have an extensive look over the course of this year,” he said.

“Alluvials can be very erratic.”