Diamond Officer J S Solanki said Rio Tinto has discovered a 'Kimerlite Pipe Line' at Bakswaha in Chhatarpur and Amjhiria and Rampur in Panna district. The company has applied for prospecting license.
After receiving no objection certificate (NOC) from the forest department, the application would be forwarded to the state government.
The company would begin its work as soon as it receives permission from the government.
Mr Solanki said the National Mines Development Corporation (NDMC) has also started surveying the area in view of new possibilities.
The NDMC hopes to locate 'Kimberlite Pipe Line' area at Vikamganj forest circle and Pahadikhera area.
After locating Kimerlite area, the NDMC would set up a new plant and start production. If everything went well, Rio Tinto would begin mining diamonds using latest technology. This would create employment opportunities in Panna district.
The 70 km-long diamond-based strip in Panna district runs from Pahadikhera to Majhganva is about 30 km wide. A kimberlite area is located in Panna district's Majhganva where the NDMC has been producing 80,000 karate diamonds.