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Arkansas Department of Parks & Tourism

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» Project: Crater of Diamonds
» Country: USA
» Location: Arkansas
» Commodity: Diamonds

MW was appointed as the Project Manager for the preparation of a feasibility study to evaluate the commercial diamond mining of the Crater of Diamonds State Park located in southwest Arkansas. This task included the preparation of the Request for Proposals and the development of an Evaluation Program Agreement in order to interest major mining companies in participation in the site evaluation and possible mining of the reserve.

After obtaining international participation in the project MW acted as Project Manager for the Phase I Testing Program. This phase included the preparation of technical specifications and selection of a contractor for the drilling program. MW also provided construction management services during the drilling program. This phase was interrupted by an injunction from environmental groups that resulted in MW testifying in Federal Court plus the assistance in the development of briefs to the US Court of Appeals.

Based on the positive results of the Phase I program MW prepared the “Temporary Non-Conforming Use” application to the U.S. Department of Interior for the Phase II bulk-sampling program. This application included an Environmental Assessment of the project in compliance with National Environmental Policy Act (NEPA) requirements in order to demonstrate to the US Department of Interior that the proposed action did not have a significant effect and that a FONSI could be granted. After review of the EA a FONSI was granted.

Following approval of the Phase II program MW prepared the contract documents for the bulk sampling and testing and was appointed to manage the $3.2m Phase II evaluation program.

MW was responsible for the detailed site management for the excavation of the 9,000 ton bulk sample plus the processing of the sample through heavy media separation and X Ray “Sortex” equipment. Other activities included contract management, full financial control and final reporting on the Evaluation Program including an economic evaluation of the project.

Project conclusions defined a surface area of 80.3 acres, with a grade of approximately 1.2 carats/100 ton. Morgan Worldwide concluded that the orebody at the Crater of Diamonds did not constitute an economically viable reserve for the commercial extraction of diamonds.