Sunrise Resources plc reported positive diamond sampling results from first phase drill samples from its Cue diamond project in Western Australia. The news follows on from the discovery of two new surface occurrences of kimberlite announced in December 2012. Highlights: All samples contain microdiamonds; Total of 244 microdiamonds recovered from 505 kg kimberlite processed; 3 diamonds exceed 0.5 mm in size; 8 diamonds exceed 0.4 mm in size; Results being submitted for expert evaluation; and Follow up drilling planned.

The six samples being reported are from three different percussion drill holes intersecting the Cue 1 kimberlite - CURC 6, CURC 10 and CURC 11. For each drill hole one sample (marked with asterisk) contains only a low level of granite wall-rock contamination/inclusions whilst the other contains a higher level of contamination which might be expected to dilute the diamond grade of the kimberlite. The samples were processed by caustic fusion by Saskatchewan Research Council Geoanalytical Laboratories Diamond Services (SRC) which is accredited to ISO/IEC 17025:2005.

From a total of 505 kg of kimberlite and mixed kimberlite/granite wall rock, 244 microdiamonds were recovered. Of those, 41% were white, 57% were off-white and only 2% grey or brown. In addition 92% were transparent, 88% showed no inclusions or only minor inclusions and 31% were fragments.