Ireland's northernmost peninsula, Inishowen in Co. Donegal, may have to brace itself for a Klondyke like rush of prospectors after the news that serious drilling for diamonds may commence there.

Cambridge Mineral Resources, which is Bristol based, is hoping to start drilling for diamonds on the remote peninsula after a survey identified several areas containing rocks which usually feature the precious gemstones, it announced on Friday.

The company said it was encouraged by results of an aerial survey of the area, which highlighted "several" potential drilling sites.

Managing director David Bramhill is very excited about the find though he is anxious not to overhype the prospects.

Mr Bramhill said: "It's exciting, but it's very early days. I wouldn't want to over-egg the pudding, but we could be on a diamond province.

"We know we have something, but the size of it is unknown and that's what we've now got to determine."

The company's aerial survey picked up magnetic responses from the ground, highlighting the areas containing rocks which might feature diamonds.

The sites will now be surveyed from the ground so the company can develop a 3D computer model to determine the size of the rocks and exactly where to drill for them.

The findings of these tests will be available in approximately two weeks and will tell the company whether or not mining for diamonds has a viable future on the Donegal peninsula.

Mr Bramhill said the work was expected to take about three weeks. Certain sites would then be drilled with rock and earth samples analysed for diamonds.

The company is working on extending its diamond hunt to cover a 300 square kilometre site.

It has applied to the Irish Department of Marine and Natural Resources for two more prospecting licences directly to the east of the 200 square kilometre area it is currently working on.

Mr Bramhill said based on the success of the results so far in Ireland, the team also wanted to expand its diamond search in Scotland.

It has already carried out some surveys on the Outer Hebrides, but now wanted to explore mainland Scotland as its rock formations were similar to those in Ireland.