Canada’s $92,000 Yellow Diamond Coins

The Royal Canadian Mint has created a limited edition of 10 platinum coins, each set with at least 6.13 carats of fancy yellow diamonds from the Ekati mine, and priced at CAD 128,000 (USD 91,900).

The coins are legal tender, with a nominal value of CAD 1,250 (USD 900), crafted from 10oz of platinum with a Canada lily motif, highlighted with selective gold plating.

Each one is set with 14 pear-cut and nine round-cut fancy yellow diamonds. Seven of the diamonds form the center of the largest lily.

The 10oz coins, known as Brilliance, are a collaboration between Burgundy, the Calgary-based miner that owns and operates the Ekati mine in Northwest Territories, and the Royal Canadian Mint, the crown corporation that mints Canada’s coins.

The mint’s Opulence Collection also includes 30 gold coins, known as Radiance.

They weigh 1oz, feature approximately 1.14 carats of fancy yellow Ekati diamonds, plus white diamonds, and are priced at CAD 39,000 (USD 27,500).

“The Opulence Collection is a testament to the Royal Canadian Mint’s dedication to innovation and coin manufacturing excellence, and the addition of rare fancy yellow diamonds creates visually stunning collector pieces that also celebrate Canada’s vast mineral wealth,” said Marie Lemay, president and CEO of the Royal Canadian Mint.

Source: DCLA

Conflict Diamonds: Nations that Vetoed New Definition

The Kimberley Process (KP) has again failed to reach agreement on a new definition of conflict diamonds.

A proposal to broaden the term at the KP plenary in Dubai last week was rejected by Australia, Canada, the EU (representing 27 member countries), Switzerland, Ukraine and the UK, according to the African Diamond Producers Association (ADPA). That’s a total of 32 countries.

Updating the current definition – diamonds used by rebel groups to finance armed conflict against legitimate governments – would have required a unanimous vote. There have been repeated attempts to broaden the definition since it was first adopted in 2000.

The World Diamond Council (WDC) spoke of its “profound regret” that a small number of participants had blocked consensus on long-awaited reforms designed to strengthen protections for Africa’s diamond-mining communities.

In a statement issued at the end of the plenary it did not identify those who had vetoed the new definition. But ADPA did.

ADPA said: “Six participants – Australia, Canada, the European Union, Switzerland, Ukraine, the United Kingdom and one observer, Civil Society Coalition, refused to support the expanded definition.”

It said its proposed definition “aimed to provide a Pan-African solution to today’s evolving nature of diamond conflicts and the realities on the ground”.

The ADPA’s broader definition would have included “armed groups, non-state armed groups, UN Security Council-sanctioned individuals and entities and their allies, as well as to cover actions aimed at financing armed conflict and other operations, including attempts at undermining legitimate governments, and the well-being of diamond communities”.

It singled out the EU for harsh criticism, claiming it had in recent years “purposefully blurred and made several attempts to bypass the work of the KP.

The World Diamond Council (WDC) said progress had been killed in pursuit of the impossible.

“Today’s outcome is not a failure of the KP,” said WDC president Feriel Zerouki (pictured), as the five-day plenary concluded.

“Most participants stood firmly behind Africa. The setback came from a few, not from the Process itself. And while they halted progress today, they cannot halt the direction of travel.”

Jaff Bamenjo coordinator of the KP Civil Society Coalition, an observer group that represents communities affected by diamond mining and trade, said KP remains detached from reality at a time when challenges are overwhelming and the KP refuses to take responsibility.

“Its scope remains a needle in a haystack,” he said. “Communities affected by diamond mining are left wondering how this scheme can possibly be relevant to the many problems they face.”

Source: IDEX

The Kimberley Process: Control of the Diamond Pipeline, Not the Use of Revenue

When the Kimberley Process Certification Scheme (KPCS) was launched in 2003, it was marketed as a global solution to stop “conflict diamonds” from funding civil wars and human rights abuses. However, more than two decades later, the realities of the initiative paint a very different picture. The Kimberley Process has evolved not into a tool of humanitarian oversight, but into a mechanism that controls the flow of rough diamonds—who mines them, who sells them, who profits—and with little concern for how those profits are ultimately used.

A System Focused on Legitimising Trade, Not Regulating Impact

The entire structure of the Kimberley Process revolves around documentation and export control. Diamonds are certified to ensure that they originate from “legitimate” channels, which mostly means from governments and recognised mining concessions. Once that documentation exists, the diamonds are cleared for international trade.

What the system does not do is monitor or regulate what happens next.

Once revenue enters official state budgets or company accounts, the Kimberley Process has no authority, no mandate, and no interest in determining whether diamond income:

• Improves living standards in mining communities
• Funds infrastructure, healthcare, or education
• Supports social development
• Or, conversely, fuels corruption, political patronage, or state violence

In many diamond-producing nations, government control of the resource is absolute, while accountability for the use of diamond wealth remains minimal.

Legitimacy Through the Stamp, Not Through the Outcome

A diamond certified under the Kimberley Process is considered “clean” simply because it does not fund a rebel movement. Yet the humanitarian reality is far more complex. In several countries, diamond mining takes place alongside:

• Widespread corruption
• Poverty in mining regions
• Environmental degradation
• Labour exploitation
• Lack of reinvestment into the communities that generate the wealth

The certification system provides political legitimacy to the diamond trade while ignoring the social conditions behind it. In other words, the Kimberley Process ensures diamonds are “legitimate to sell,” not that the proceeds are “responsibly used.”

Who Really Controls the Diamond Narrative?

From the beginning, the Kimberley Process was structured by governments and major industry stakeholders, including those with the most to gain from a controlled and regulated supply chain. Control over certification effectively means control over access to export markets—an immense economic advantage.

This has allowed:

• States to assert exclusive ownership over the resource
• Major mining companies to maintain their dominant global trading roles
• Smaller or informal miners to be excluded from legal markets
• The narrative of “ethical diamonds” to remain tightly managed

In this sense, the Kimberley Process serves more as a trade gatekeeper than a humanitarian framework. It decides who may sell diamonds, where they may be shipped, and under what conditions—while staying silent on whether diamond-rich nations or their citizens truly benefit from the wealth beneath their soil.

A System Out of Step with Modern Expectations

In 2025, consumer expectations have changed dramatically. Jewellery buyers increasingly want:

• Transparency
• Ethical assurance
• Positive social and environmental impact
• Evidence of fair value distribution

Yet the Kimberley Process remains rooted in a narrow 20-year-old definition of conflict that does not consider:

• Government-sponsored abuse
• Corruption
• Human rights violations
• Economic exploitation
• Lack of benefit to local communities

For modern ethical standards, this is an outdated and insufficient framework.

Conclusion

The uncomfortable truth is this: the Kimberley Process is primarily a system for controlling the supply and movement of diamonds, not for ensuring that the immense wealth generated improves lives or supports sustainable development.

It decides who is allowed to trade diamonds, not how diamond money is used. Until the initiative expands beyond its limited mandate and confronts the broader social realities of the diamond industry, the Kimberley Process will remain a trade tool—not a humanitarian safeguard.

Source: DCLA

Michael Hill Revenue Flat in Challenging Market

Australia-based jewelry retailer Michael Hill International says revenue for FY 2025 – the year to 29 June 2025 – was broadly flat compared with the previous year, down 0.2 per cent to AUD 643.7m (USD 431.3m).

Trading conditions remained challenging, it said, with the addition of volatile gold and diamond prices and US tariffs.

However group sales for the first seven weeks of FY 2026 were up 3.0 per cent year-on-year, and same store sales were up 3.2 per cent.

The company has 287 stores (down from 300 last year) in Australia, New Zealand and Canada, including low-price retailer Bevilles, Medley, and its new luxury business TenSevenSeven.

“Global economic uncertainty and challenging retail trading conditions persisted across all markets, with full year sales, gross margin and earnings broadly in line with prior year,” the company said in its Full Year Results, published yesterday (25 August).

Michael Hill chair Rob Fyfe paid tribute to CEO Daniel Bracken, aged 57, who died suddenly in February, and to founder Sir Michael Hill who died of cancer, aged 86, in July.

Source: DCLA

Hundreds of Layoffs at Loss-Making Ekati

Hundreds of workers have been laid off at the loss-making Ekati diamond mine, in Canada’s Northwest Territories, as owners Burgundy say falling prices have made some of its operations “sub-economic”.

Open pit work at Point Lake kimberlite pipe has been suspended, although operations are continuing at the underground Misery mine 2km away.

Burgundy, the Australian miner that bought Ekati for $136m in 2023, said yesterday (Wednesday 16 July) that “several hundred employees and contractors” were affected, but did not provide an exact figure.

The company requested a trading halt on the Australian Securities Exchange ahead of the layoff announcement.

Workers reportedly learned of the job losses when rotation flights to the remote were cancelled on Wednesday morning – ahead of the actual announcement.

The job losses at Ekati follow layoffs elsewhere in diamond mining, notably the loss of several hundred more jobs at the state-owned Zimbabwe Consolidated Diamond Company (ZCDC).

Ekati, together with Canada’s two other mines – Diavik and Gahcho Kue – is facing the possibility of closure before the end of its lifetime because of dwindling prices. Diavik is due to close in 2029.

Diamond mining is key to NWT’s economy, representing over a quarter of its GDP, but miners have been hit hard by the downturn. Diavik mine lost CAD 127m (USD 94.6m) in 2024.

Source: DCLA

Retailer Buys Canadian Diamond Project

Canadian retailer Arctic Blue has bought a controlling interest in the WO Diamond Project, in Northwest Territories, where explorations are at an advanced stage.

Arctic Blue Diamonds Ltd, a private diamond company that specializes in the rare blue fluorescent diamonds, says it operations at the mine could involve the use underwater remote mining (URM) technology.

It said had acquired an 89.7 per cent interest in the WO Diamond Project, primarily from Peregrine Diamonds, a subsidiary of De Beers Canada, for an undisclosed sum.

The”WO” in the WO Diamond Project stands for “West of”, as in west of the Ekati diamond mine (owned by Australia-based Burgundy Diamond Mines).

The WO Project, currently on care and maintenance, encompasses eight mining leases covering 5,815 hectares located about 11km off the seasonal ice road, 23km from the Diavik diamond mine and 53km from the Ekati diamond mine.

It hosts DO27, one of the largest diamond-bearing kimberlite pipes in Canada, with an indicated mineral resource of 18.2m carats. It has a surface area of about 9 hectares and lies below a shallow lake.

Based on independent rough diamond price indices, the average prices for DO27 diamonds are projected at $90 – $100 per carat.

“The extremely soft nature of the DO27 ore also opens the potential for the deployment of Underwater Remote Mining (URM) technology,” said Arctic Blue executive chair Patrick Evans.

He said it offered exceptionally low capital and operating cost opportunities, and was the most sustainable form of mining, with minimal impact on the environment.

Source: DCLA

Fluorescence

Fluorescence in Diamonds: What It Is and How It Affects Your Diamond
Fluorescence in diamonds refers to the glow that a diamond emits when exposed to ultraviolet (UV) light. When a diamond has fluorescence, it can show a blueish glow (or, in rare cases, other colours) under UV light. This phenomenon is due to the presence of trace elements, typically boron or nitrogen, in the diamond’s crystal structure.

How Fluorescence Works in Diamonds
Ultraviolet Light Exposure:

Fluorescence occurs when a diamond is exposed to UV light—such as sunlight, certain types of lamps, or black lights—which excites the molecules in the diamond and causes them to emit visible light in a blue hue.
Intensity of Fluorescence:

The level of fluorescence can range from none to very strong. This is graded as follows:
None: No fluorescence under UV light.
Faint: The diamond shows a very slight fluorescence.
Medium: Noticeable fluorescence, but not very strong.
Strong: The diamond emits a noticeable glow when exposed to UV light.
Very Strong: The diamond gives off an intense glow in UV light.
Color of Fluorescence:

Canada's Big Three Mines Could Close Early

Canada’s three biggest diamond mines could be forced to close early, an economist has warned, amid the ongoing slump in prices.

Operators reported losses last year for Diavik, Ekati and Gahcho Kue, all in Canada’s Northwest Territories (NWT).

They are slated for closure as they reach the end of their lives – estimated at 2026, 2029 and 2030 respectively – but dwindling demand may render them uneconomic before those dates.

Graeme Clinton, an economist in Yellowknife, capital of NWT, told CBC, Canada’s national broadcaster : “I don’t think nearly enough is made of the state of the markets which are most important to our economy. These low prices could very well mean an early closure.”

He qualified his comments by saying that none of the miners had so far indicated that they’d bring forward their closing dates.

Diamond mining is key to NWT’s economy, representing over a quarter of its GDP, but miners have been hit hard by the downturn.

Rio Tinto’s Diavik mine lost CAD 127m (USD 94.6m) in 2024, Burgundy’s Ekati lost CAD 94.7m (USD 70.5m) and Mountain Province, minority-owner of Gahcho Kue lost CAD 81m (USD 60.0m).

Early closures would cost thousands of jobs, and would dent NWT’s economy.

Source: DCLA

World’s Biggest Pearl on Display in Toronto

The world’s largest pearl – weighing 27.65kg and valued at $98m is currently being displayed at a secret venue in Canada.

The Giga Pearl belongs to Toronto-based artist Abraham Reyes and is being shown as part of his Beneath The Surface exhibition of pearls, diamonds, and other precious stones.

The pearl was created 1,000 years ago by a giant clam, the largest of all bivalve molluscs (soft-bodied sea creatures with a hinged shell).

It has been certified by the GIA as the world’s largest natural blister pearl and holds the Guinness World Record.

Reyes inherited the pearl in 2019 from a great aunt after his grandfather bought it from a fisherman in the Philippines.

“I wanted to educate people about it,” Reyes said. “A lot of people don’t know that these giant clams exist because they’re endemic in the South Pacific. So this is something fascinating for people here in Toronto.”

The location of the Giga Pearl is being kept private for security reasons. 

Source: DCLA

$127m Diamond Loss for Rio Tinto

Rio Tinto reported a $127m loss for 2024 from its Diavik diamond mine, in Canada, as weak market conditions led to “fixed cost inefficiencies”.

That compares with underlying earnings of $26m in 2023. Rio Tinto’s diamond sector generated $297m of revenue during the year, a 37 per cent drop on $444m the previous year.

The British-Australian multinational emailed over 1,300 employees last September, offering them voluntary separations to reduce operating costs as it prepares to close the mine next year.

In its Full Year Results 2024 the company noted the tragic loss of four Diavik workers and two air crew when a plane headed for the mine crashed last January.

Rio Tinto reported a 17 per cent drop in production, from 3.3m carats in 2023 to 3.4m carats in 2024.

The company acquired full ownership of the mine in November 2021 after it bought out a 40 per cent stake from Dominion Diamond Mines.

Source: DCLA

30 years of Ekati diamonds, 30 years more

In its first full year as the operator of the world-class Ekati diamond mine, Burgundy Diamond Mines Ltd. marked several milestones, including consistent diamond recoveries and advancements in extending the mine’s future, reinforcing its position as a prominent player in the Canadian diamond industry while laying the groundwork for continued growth and success.

Over the past year, Burgundy worked to solidify its position as the new operator of the Ekati diamond mine by focusing on improving production and extending the mine’s lifespan. This was reflected in the consistent quarterly performance throughout the year, despite challenges in the diamond market.

“Despite suppressed diamond market prices, we remain optimistic as supply-demand tightens and look forward to launching Ekati’s tenth mine – a landmark achievement,” said Burgundy Diamond Mines CEO Kim Truter.

In less than two years, Burgundy moved quickly to expand Ekati’s capabilities, advancing beyond initial stabilization to actively pursue new development and growth. This is exemplified by the development of the Point Lake open-pit project, which is set to become Ekati’s tenth operational mine.

This quickly became a critical component of the company’s strategy to secure long-term production at Ekati. With initial production planned in late 2024, Point Lake holds more than just increased production potential but also historical significance as the first diamondiferous kimberlite discovery in Northwest Territories – which led to the eventual development of Ekati.

Burgundy Diamond Mines Ltd.

Located approximately three kilometers northeast of the main mine camp, Point Lake, evidenced by its name previously existed as a natural lake, which required draining before mining operations could begin. Dewatered in two phases, and as part of the process, a total of 523 lake trout and 6,348 slimy sculpins were relocated prior to emptying the habitat.

The water was then pumped into the King Pond Settling Facility and Lynx pit, allowing suspended solids to settle and facilitating future underwater remote mining trials at Lynx pit.

Currently, Ekati is estimated to contain approximately 140 million carats of diamonds in the indicated category, even after more than 26 years of production. These remaining resources are concentrated within the currently active Misery underground and Sable open-pit mines, with Point Lake projected to add an estimated 5.3 million carats once it begins production, further bolstering Ekati’s resource base.

This robust resource position led to a major milestone in late October, as Burgundy celebrated Ekati reaching 100 million carats of diamonds recovered – a testament to the mine’s enduring contribution to the diamond industry.

“As we reflect on this historic achievement, Ekati continues the legacy as one of the premier diamond assets in the world in a tier one location producing highly sought after sustainably and ethically produced diamonds for the global market,” said Truter.

With substantial reserves still available, Ekati is well-positioned for another 30 years of production, potentially even longer if further resources are identified.

“We are proud of the team we have in place and of everything we have achieved so far,” Truter added. “Ekati still has 140 million carats remaining in Indicated Mineral Resources, one of the largest unmined diamond endowments in the world, which provides Burgundy shareholders an indication of Ekati’s remaining mine life potential.”

Beyond Point Lake, Burgundy has also focused on extending the mine life of other key operations at Ekati. In particular, the Misery underground mine has shown promise for extended production through recent exploration efforts.

Looking ahead into 2025, Burgundy continues to focus on operational efficiency and advancing exploration to maximize Ekati’s resource base.

With production at Point Lake expected to commence and further drilling at Misery ongoing, Burgundy is executing its strategic plan to secure sustained production at Ekati.

The company is also progressing feasibility studies for additional underground sites, all aimed at maintaining Ekati’s position as a key contributor to the global diamond market, while delivering value for shareholders and supporting local communities in the Northwest Territories.

Source: DCLA

Mountain Province Losses Increase in "Challenging Market"

Mountain Province reported increased net losses for the latest quarter as prices keep on dropping in a “challenging market”.

The Canadian miner today (7 November) announced a net loss of $13.6m for the three months to 30 September, following on from a $4.7m loss in Q2 (all figures are in US dollars).

“In Q3 2024 our sales achieved 100 per cent sell-through with no unsold stock held at the end of September and a higher average selling price than the three preceding quarters,” said Reid Mackie, VP sales and marketing at Mountain Province.

The average price per carat was, however, down 21 per cent on a year ago – from $95 to $75.

The company sold a 679,599 carats were sold for $50.8m, compared to 478,653 carats in Q3 2023 for $45.3m. Year-on-year the number of carats sold was up almost 30 per cent, but revenue increased by just 12 per cent.

Adjusted EBITDA was $12.5m and loss from mine operations was $8m.

As for operations at the Gahcho Kue mine (pictured), the number of tonnes of ore treated increased 10 per cent year-on-year, but the number of carats recovered fell by 10 per cent.

CEO Mark Wall explained that this was “driven by planned lower grade in Q3 and unplanned lower grade in March and early Q2 of 2024”.

He said that while the diamond market had been disappointing, he was optimistic that the price environment would recover during 2025 and that it would be followed by a very strong production year in 2026.

Source: DCLA

Rio Tinto offers early termination to Diavik employees to save costs

Rio Tinto is offering early termination for employees at its Diavik diamond mine as part of the company’s efforts to save costs ahead of the mine’s closure in 2026, the Australian miner told jewelry news agency Rapaport.

Located in Canada’s Northwest Territories, about 200 km south of the Arctic Circle, Diavik has become an integral part of the NWT economy, employing over 1,000 people and producing an average of 6-7 million carats of gem-quality diamonds annually.

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Since entering production in 2003, the mine has outputted roughly 90 million carats of rough diamonds, making it one of the largest in Canada.

The offer of early termination to Diavik employees, says Rio Tinto, is a response to the challenges currently facing the diamond industry as the mine approaches the end of its life cycle.

“I can confirm that Diavik is looking at voluntary separation as part of our efforts to manage costs and rightsize our business given the relatively short runway to Diavik’s planned closure,” Matthew Breen, chief operating officer at Diavik, told Rapaport.

While the diamond mine is slated to close in the first quarter of 2026, Rio previously indicated that some workers will remain at the mine site until 2029 to support the closure and reclamation process.

Elsewhere in NWT, De Beers’ Gahcho Kué mine, about 280 km away from Yellowknife, is expected to follow Diavik and close around 2030.

A report earlier this year shared by research firm Impact Economics estimates that these NWT diamond mine closures could result in 1,500 jobs being lost and about 1,100 residents leaving the territory.

Source: DCLA

Michael Hill Reports Slight Loss for 2024

Australia-based jewelry retailer Michael Hill International reported a slight loss for FY 2024, amid “challenging” trading conditions.

Net profit after tax (NPAT) was minus AUD 479,000 (minus USD 322,000), compared to a positive AUD 35.2m (USD 22.5m) in FY 2023 and AUD 46.7m (USD 29.9m) in FY 20222.

The company has 300 stores in Australia, New Zealand and Canada, including low-price retailer Bevilles, Medley, and its new luxury business TenSevenSeven.

It reported increased revenues, up 4.2 per cent to AUD 644.9m (USD 437.4m), with Australia up 10.3 per cent, New Zealand down 11.8 per cent and Canada flat.

“While FY24 earnings were disappointing, with challenging economic conditions and inflationary pressures impacting consumers across all markets, the business continued to execute on its clearly articulated strategy, focus on retail fundamentals and drive topline sales,” said CEO Daniel Bracken, CEO and managing director.

He said it had been “a challenging and busy year”. The company noted in its FY 2024 Full Year Results that third-party data indicated it had continued to outperform the broader jewelry market.

Source: DCLA

Gold from Toronto Heist “is in Dubai or India”

Police investigating the theft of CAN$20m (US$14.5m) of gold from Toronto Pearson Airport last April – the biggest heist of its kind in Canada – say much of it ended up in Dubai or India.

The perpetrators used a fraudulent airway bill (carrier’s document of instruction) for shipment of seafood to dupe Air Canada Cargo warehouse staff, then used a forklift truck to empty a container packed with 6,600 gold bars, as well as foreign currency.

“We believe a large portion has gone overseas to markets that are flush with gold,” said lead investigator Det. Sgt. Mike Mavity, as reported by CBC News, Canada’s national broadcaster.

“That would be Dubai, or India, where you can take gold with serial numbers on it and they will still honour it and melt it down. And we believe that happened very shortly after the incident.”

Police have arrested nine men in connection with the case and are searching for three others involved in what is believed to have been an “inside job”.

They say the Project 24 Karat investigation has cost CAN$5.3m so far (US$3.9m) and could end up costing CAN$ 10m (US$7.3m).

Source: DCLA

Canada’s mild winter disrupts key ice road to remote Arctic diamond mines

An unusually warm winter in Canada this year has delayed the opening of a 400-kilometer (250-mile) ice road that is rebuilt every year as the main conduit for Rio Tinto, Burgundy Mines and De Beers to access their diamond mines in the remote Arctic region.

The Winter Road, which serves the region accessible only by air for 10 months of the year, opened with a two-week delay in the middle of February, disrupting movement of goods along the ice road built over 64 frozen lakes.

Earlier this week, the Tlicho government in Northwest Territories (NWT) restricted movement of commercial trucks for few days in one of the winter roads due to anticipated warmer weather across the North Slave Region.

While diamond production remains unaffected, the delay underscores the challenges that companies face as the mines that make Canada the world’s third largest diamond producer come to the end of their productive life.

It also highlights the infrastructure hurdle for the NWT and Nunavut that are positioning themselves as the next frontiers in the exploration of critical metals, such as rare earth, cobalt and lithium, in the transition to a greener future.

The delays in building the Winter Road, which first became operational in 1982, have happened in the past, but this year’s is the longest delay in recent years, according to Tom Hoefer, senior advisor to the NWT and Nunavut Chamber of Mines.

“We did start the road a bit later as a result,” he said.

Climate change, driven by the burning of fossil fuels, coupled with the emergence of the natural El Nino climate pattern, pushed the world into record heat territory in 2023.

The impact of El Nino this year resulted in Yellowknife, the capital of the NWT, recording a maximum temperature of zero degrees Celsius (32 degrees Fahrenheit) in December and minus 8.7 degrees Celsius (17.6 F) in February, making it the warmest winter days in a decade, according to data from Environment Canada.

The Winter Road opens between late January and early April and requires minimum of 29 inches (74 cm) of ice for vehicles that can carry 26,000 kilograms (57,320 lbs) of gross vehicle weight, to transport diesel and dynamite required to operate the mines.

On warmer days, the engineers have found ways to trick nature by creating artificial ice using giant sprinklers to spray water high up in the air so that they cool and form thick layer of ice when they fall.

Paul Gruner, CEO of the Indigenous corporation Tlicho Investment Corp & Group of Companies said this year the warm winter at the start and if there is a warmer end of the season or an early spring, it could risk an early closure.

“So when you’re nibbling away on both sides of that, you start to create a very short season,” Gruner said.

The Winter Road is jointly operated by Burgundy Diamond Mines, Rio Tinto and De Beers of Anglo American group, which run the Ekati, Diavik and Gahcho Kue diamond mines respectively.

De Beers and Burgundy Diamonds said operations at their mines have not been affected by the mild winter. Rio Tinto declined comment.

The Winter Road costs C$25 million ($18.54 million) to operate for two months, which is shared by the three companies based on goods transported on the road and distance traveled.

However, the mines have a operational life of around 20 years and as they reach the end of life, they need to be shut down.

Rio Tinto has said it will close the Diavik mine in 2026 and De Beers plans to shut Snap Lake end of this year, while seeking to extend the life of Gahcho Kue.

Chicken and egg
Canada’s remote Arctic region, home to around 86,000 people, is facing the complete closure of all the diamond mines by 2030 and is looking for ways to keep mining alive.

The lack of infrastructure is a challenge and the shortened seasonal use of the ice road could hurt investments needed to mine critical minerals.

“If you’re in the exploration phase … and looking at using the winter road as part of your core business model, the risks start to come into … your decision making whether or not to advance a project,” Tlicho Investment’s Gruner said.

Hoefer of NWT and Nunavut Chamber of Mines said the two Northern territories, which are as big as Europe, have the highest infrastructure deficits in Canada – one of the reasons for the very high costs of living and doing business in the North.

“It is a chicken-and-egg situation, the mining companies probably won’t come unless there is some infrastructure, it’s just too expensive,” said Heather Exner-Pirot, director of Energy, Natural Resources and Environment program at Macdonald-Laurier Institute.

It costs C$3 million a kilometer to build gravel roads, Pirot said.

Mining groups are pushing for a mega infrastructure project that connects NWT to Nunavut that runs through the diamond mines could help unlock the mineral riches in the region. At least 23 of the 31 critical minerals listed by the Canadian government is found in the NWT.

“When the project comes up, it would replace the roads that have served mining for 40 years, but until that happens, the ice roads are required,” Hoefer said.

Source: DCLA

Positive drill results in hunt for more kimberlites at Gahcho Kué for Mountain Province and De Beers

Mountain Province Diamonds reports positive drilling results at several targets at the Gahcho Kué diamond mine 300 km east-northeast of Yellowknife, N.W.T. It has intersected 40 metres of kimberlite near the Tuzo resource and multiple intersections – as long as 287 metres of kimberlite – at the Hearne Deep and Hearne Northwest Extension targets.

The Gahcho Kué mine is a joint venture of Mountain Province (49%) and the operator De Beers Canada (51%).

The longest intersection, 287 metres, was drilled at the Hearne Northwest Extension. This target was identified late in 2021 when a 25-metre kimberlite exposure was discovered during routine mining operations in the Hearne pit. Drilling in 2022 pointed toward the presence of a significant, previously unknown kimberlite could exist. During the 2023 drill program, 10 of the 11 holes collared within and outside the Hearne pit intersected kimberlite.

“Combined with our earlier results, we now have 21 drillholes that define the extension below the final pit and to the northwest. We are actively engaged with our operating partner De Beers to look at ways to recover this deeper kimberlite by underground mining,” said Mountain Province president and CEO Mark Wall.

Following the success at the Hearne Northwest Extension, Mountain Province said drilling moved to the Tuzo kimberlite in the hope of finding a similar extension. A new kimberlite about 40 metres northeast of the modeled Tuzo resource was drilled. The intersection returned 40 metres of kimberlite.

Source: DCLA

Significant Potential at Ekati, say New Owners

Vivid yellow rough diamond

Burgundy’s $136m deal to buy the Ekati diamond mine, in Canada, is likely to extend its life “significantly”, says Kim Truter, the company’s CEO.

The purchase, announced last week, from Arctic Canadian, should be concluded next month, pending financing and shareholders’ approval.

“The real advantage is it’s a tier-one asset in a tier-one country,” Truter told CBC News, Canada’s publicly owned news and information service.

He said he saw untapped potential at Ekati, which opened in 1998 as Canada’s first diamond mine.

Ekati is particularly attractive to Australia-base Burgundy because of the fancy yellow stones it produces, such as the 71.26-carat octahedron diamond recovered last September (pictured), believed to be the largest fancy vivid yellow gemstone discovered in Canada.

New owner Burgundy has a keen interest in yellow diamonds. It is currently reviving the Ellendale mine, Western Australia, once the world’s largest producer of fancy yellow diamonds, and has established its own dedicated cut and polish facility in Perth, also in Western Australia.

Burgundy is buying Ekati from Arctic Canadian Diamond Company, which acquired it in February 2021 after the previous owners, Dominion Diamonds, filed for insolvency.

Source: IDEX Online

Rio Tinto Production to Slump as Diavik Dries Up

                     The Diavik diamond mine

Rio Tinto has forecast a sharp drop in rough-diamond output for next year as the Diavik mine edges closer to depletion.

The company expects to produce between 3 million and 3.8 million carats from the Canadian deposit in 2023, it reported at an investor seminar Wednesday. That compares with a plan of 4.5 million to 5 million carats for this year.

The decrease is a result of the exhaustion of rough supply from some of Diavik’s major mining areas, a Rio Tinto spokesperson told Rapaport News. The mine, which employs 1,100 workers, is set to close in 2025.

“We’ve completed mining at the A21 pipe, which was the latest pipe opened in 2018,” the spokesperson explained. “We’re finishing surface mining, and also one of the underground parts of the mine is done, so this is part of the plan changes. There are four areas we are mining at the moment, and next year there will be two.”

Diavik, of which Rio Tinto is the sole owner, is currently the miner’s only operational diamond site. The company’s Argyle deposit, known for its fancy-pink diamonds, closed in November 2020. Meanwhile, an exploration partnership with Star Diamond is on hold as Rio Tinto considers an exit from the project.

Source: DCLA