Although kimberlites are unknown in the southern portions of the FMS tenements, the area is prospective due to the significant number of high quality macrodiamonds (colourless and yellow) found in the Echunga alluvials. Although the primary source of these diamonds remains unknown, there is geomorphological evidence that their provenance is to the north within FMS’s tenements.

However, a number of non-diamondiferous kimberlites have been identified in the Barossa Ranges area. During 2004, FMS flew a 100 metre line-spaced airborne magnetic survey that covered 781 sq km within the Barossa Ranges. Follow-up work by FMS during 2004-2005 resulted in the discovery of two additional kimberlites in the Angaston region – but they also proved to be non diamondiferous. Some anomalies were followed up, but over 100 targets remain to be tested including 37 of an original 50 identified in the field as first priority targets. A number of techniques were to be employed in the proposed work including additional diamond indicator mineral sampling, ground magnetic surveys and drilling or trenching.

The review of the Adelaide Hills diamond data base also concluded that further sampling of the diamondiferous Tertiary gravels in the Echunga area should be undertaken with the bulk sampling plant. Gem quality diamonds of up to 5.2 carats in weight have been found from the Echunga area, but previous exploration has not been able to locate a diamond indicator mineral trail. It is thought that utilisation of a high quality DMS bulk sampling plant with larger samples may solve this problem.