Rio Tinto Workers Killed en Route to Diavik Diamond Mine

A number of remote employees at Rio Tinto’s Diavik diamond mine in Canada died Tuesday after the small plane carrying them to the site crashed.

“We have been informed by authorities that a plane on its way to our Diavik mine, carrying a number of our people, crashed…resulting in fatalities,” said Rio Tinto CEO Jakob Stausholm.

The company has not disclosed how many died on board the aircraft, which seats 19 people. The plane crashed near Fort Smith in the Northwest Territories shortly after takeoff. Rio Tinto employs many remote workers, who operate in shifts at the mine. Because of its isolated location, the miner transports workers by aircraft to and from the deposit.

“I would like to extend our deepest sympathy to the families, friends and loved ones of those who have been affected by this tragedy,” Stausholm said. “As a company, we are absolutely devastated by this news and [are] offering our full support to our people and the community, who are grieving today. We are working closely with authorities and will help in any way we can with their efforts to find out exactly what happened.”

Northwest Territories Premier R.J. Simpson also mourned the loss.

“It is with a heavy heart that I express my deepest condolences to the families, friends, and loved ones of those who were aboard the Northwestern Air flight that crashed outside of Fort Smith today,” he noted. “The impact of this incident is felt across the territory…. As we seek to understand the circumstances of this tragedy, I’d also like to extend a heartfelt thank you to the first responders and rescue teams who continue to work tirelessly at the crash site.”

It is unclear whether the crash will impact diamond production or sales at Diavik.

Source: DCLA

Rio Tinto to spend $40m on Diavik diamond mine expansion

 Rio Tinto to spend $40m on Diavik diamond mine expansion

Rio Tinto is going ahead with a $40 million expansion of its iconic Diavik diamond mine in the Northwest Territories of Canada, which will extend the operation’s life to at least early 2026.

The approved first phase of the project will expand diamond extraction underground, below the existing A21 open pit. Mining of that area, opened in 2018, recently concluded.

A second phase an additional cost will be put forward for approval in 2024, Rio said.

Phase one below A21 is slated to produce an extra 1.4 million carats, with phase two adding another 800,000 carats.

“This is good news for our employees, partners, suppliers and local communities in the Northwest Territories,” Sinead Kaufman, Rio Tinto Minerals’ chief executive, said in a statement.

Rio Tinto became in 2021 the sole owner of the operation, after buying the 40% share held until then by Dominion Diamond Mines.

The company has operated Diavik since production began in 2003. Located approximately 300 km north-east of Yellowknife, the mine employs over 1,100, of which 17% are Northern Indigenous people.

Diavik is Canada’s largest diamond mine in terms of production with between 6 and 7 million carats of rough diamonds produced each year. Since mining began in 2003 Diavik has produced over 100 million carats of diamonds.

The Northwest Territories’ two other diamond mines – Ekati, operated by Arctic Canadian Diamond and De Beers-Mountain Province’s Gahcho Kué – are expected to close in 2024 and 2028, respectively.

Diavik is about 30 km southeast of Ekati, and Gahcho Kué is 125 km southeast of Diavik.

Source: Mining.com

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

Rio Tinto Buys Remaining Share of Diavik Diamond Mine

                            

Rio Tinto, the world’s second-largest miner, just became the sole owner of the Diavik diamond mine in Canada’s Northwest Territories on Thursday. Despite saying in the past the Company was not interested in taking full control of the aging arctic mine, Rio Tinto ended up buying the 40% share held by Dominion Diamond Mines for a total stake of 100%.

Part of the transaction includes Rio Tinto releasing Dominion and its lenders from any outstanding liabilities or obligations involving funding the operation or the closure of the joint venture. On the other end, Rio Tinto will receive all remaining Diavik assets held by Dominion including a security cash collateral for the potential future closure for the mine and unsold production.

Why the Buyout Now?
Dominion, which used to be the fourth-largest diamond producer, suffered some financial troubles which played out in court over several months last year. These troubles ultimately led Dominion to sell its other Canadian mine, Ekati in December 2020. In 2017, The Washington Companies ended up buying the Company for $1.2 billion.

This deal follows a 19 month long process beginning in April 2020 by Dominion Diamond Mines filing for insolvency protection under the Canadian Companies’ Creditors Arrangement Act.

Diavik has been in production since 2003 and is eventually facing closures in 2025 which will cost hundreds of millions of dollars to fully clean up. Diavik is Canada’s largest diamond mine, and yielded 6.2 million carats of rough diamonds in 2020.

Rio Tinto Minerals boss Sinead Kaufman said in a statement, “Diavik will now move forward with certainty to continue supplying customers with high quality, responsibly sourced Canadian diamonds.”

Worries and concerns began to surround the diamond market due to production coming to a

halt during the global COVID-19 pandemic, with some people worried the market would never recover. However, Alrosa, the world’s top diamond miner by output, claims the market has fully recovered from the effects of the global pandemic, and sales of jewelry and rough diamonds are up 23% this year compared to 2020.

Source: DCLA

Rio Tinto Buys Remaining Share of Diavik Diamond Mine

                            

Rio Tinto, the world’s second-largest miner, just became the sole owner of the Diavik diamond mine in Canada’s Northwest Territories on Thursday. Despite saying in the past the Company was not interested in taking full control of the aging arctic mine, Rio Tinto ended up buying the 40% share held by Dominion Diamond Mines for a total stake of 100%.

Part of the transaction includes Rio Tinto releasing Dominion and its lenders from any outstanding liabilities or obligations involving funding the operation or the closure of the joint venture. On the other end, Rio Tinto will receive all remaining Diavik assets held by Dominion including a security cash collateral for the potential future closure for the mine and unsold production.

Why the Buyout Now?
Dominion, which used to be the fourth-largest diamond producer, suffered some financial troubles which played out in court over several months last year. These troubles ultimately led Dominion to sell its other Canadian mine, Ekati in December 2020. In 2017, The Washington Companies ended up buying the Company for $1.2 billion.

This deal follows a 19 month long process beginning in April 2020 by Dominion Diamond Mines filing for insolvency protection under the Canadian Companies’ Creditors Arrangement Act.

Diavik has been in production since 2003 and is eventually facing closures in 2025 which will cost hundreds of millions of dollars to fully clean up. Diavik is Canada’s largest diamond mine, and yielded 6.2 million carats of rough diamonds in 2020.

Rio Tinto Minerals boss Sinead Kaufman said in a statement, “Diavik will now move forward with certainty to continue supplying customers with high quality, responsibly sourced Canadian diamonds.”

Worries and concerns began to surround the diamond market due to production coming to a

halt during the global COVID-19 pandemic, with some people worried the market would never recover. However, Alrosa, the world’s top diamond miner by output, claims the market has fully recovered from the effects of the global pandemic, and sales of jewelry and rough diamonds are up 23% this year compared to 2020.

Source: DCLA

Rio Tinto asks court to OK sale of partner's diamonds in Canada mine

 

Global miner Rio Tinto is seeking court approval to sell its partner’s share of diamonds from a mine in Canada’s Northwest Territories, a filing showed, hoping to recover around C$120-million plus legal fees and other costs.

Rio owns 60% of Diavik Diamond Mines Inc (DDMI) and says it is owed C$119.5-million plus about C$2.4-million in fees by junior partner Dominion Diamond.

Dominion holds a 40% stake in the northern mine, located about 300 km north of the territorial capital of Yellowknife.

Closely held Dominion sought creditor protection in April, saying it could not afford Rio’s cash calls amid coronavirus-related disruptions in the global diamond industry.

Dominion said October 9 a proposed deal to sell its nearby Ekati mine to an affiliate of its parent company The Washington Companies for $126-million fell apart. That deal did not include its minority Diavik stake.

DDMI said in court filings that Dominion has not repaid cover payments and “has no intention of doing so” and that it would be “unjust and inequitable” to not permit DDMI to recover the amounts owing to it in accordance with its joint venture agreement.

“We remain focused on ensuring Diavik diamond mine continues to operate safely, maintaining the mine’s significant contribution to the Northwest Territories and local communities through payments to government, employees and suppliers,” a spokesman for Diavik said on Friday.

A court hearing on the application is set for October 30 in Calgary, Alberta.

Diavik produced 6.7-million carats in 2019 but is scheduled to close in 2025, with cleanup costs estimated at $365.3-million, according to court documents.

Dominion declined comment on the fate of its Diavik stake. Rio has said it will not bid on the minority interest.

Source: DCLA

Rio Tinto asks court to OK sale of partner's diamonds in Canada mine

 

Global miner Rio Tinto is seeking court approval to sell its partner’s share of diamonds from a mine in Canada’s Northwest Territories, a filing showed, hoping to recover around C$120-million plus legal fees and other costs.

Rio owns 60% of Diavik Diamond Mines Inc (DDMI) and says it is owed C$119.5-million plus about C$2.4-million in fees by junior partner Dominion Diamond.

Dominion holds a 40% stake in the northern mine, located about 300 km north of the territorial capital of Yellowknife.

Closely held Dominion sought creditor protection in April, saying it could not afford Rio’s cash calls amid coronavirus-related disruptions in the global diamond industry.

Dominion said October 9 a proposed deal to sell its nearby Ekati mine to an affiliate of its parent company The Washington Companies for $126-million fell apart. That deal did not include its minority Diavik stake.

DDMI said in court filings that Dominion has not repaid cover payments and “has no intention of doing so” and that it would be “unjust and inequitable” to not permit DDMI to recover the amounts owing to it in accordance with its joint venture agreement.

“We remain focused on ensuring Diavik diamond mine continues to operate safely, maintaining the mine’s significant contribution to the Northwest Territories and local communities through payments to government, employees and suppliers,” a spokesman for Diavik said on Friday.

A court hearing on the application is set for October 30 in Calgary, Alberta.

Diavik produced 6.7-million carats in 2019 but is scheduled to close in 2025, with cleanup costs estimated at $365.3-million, according to court documents.

Dominion declined comment on the fate of its Diavik stake. Rio has said it will not bid on the minority interest.

Source: DCLA

552 Carat Yellow Diamond Is The Largest Ever Found In Canada

Finding exceptionally large diamonds is rare. Finding extra large diamonds in fancy colors is even more rare. As such, the announcement by  Dominion Diamond Mines that it has unearthed  the largest known diamond ever found in North America is big news.

 Found in October at the Diavik Diamond Mine in  Calgary, Canada, the Canadamark yellow diamond weighs in at 552 carats and beats the previous record (held by the Diavik Foxfire diamond) of 187.7 carats that was also found at the same mine.

Dominion Diamond Mines ULC sources responsibly mined diamonds and owns 40 percent of Diavik.

 The Diavik Diamond Mine is just shy of 150 miles south of the Arctic Circle in the Northwest Territories of Canada, and has produced several important stones in the past. This newest discovery measures about 1-1/2 inches in diameter and more than 2 inches in height. The color and texture are unique geologically speaking, as such a large and rare yellow diamond doesn’t usually form in the region. According to Dominion Diamond Mines’ release, “Abrasion markings on the stone’s surface attest to the difficult journey it underwent during recovery, and the fact that it remains intact is remarkable.”

The Canadamark(TM) program by Dominion Diamond Mines ensures that all diamonds bearing its logo are rigorously tracked from mine to polished gem in order to offer final consumers  full transparency of the supply chain. Once the rough is cut, the diamonds will  be certified as Canadamark(TM).

In the case of the previously found Diavik Foxfire diamonds,  rather than sell it in the rough, the stone was  cut and polished  — yielding a 37.87-carat brilliant-cut pear shaped diamond and a 36.80 carat brilliant-cut pear shape. Both of these stones sold recently at a Christie’s auction for $1.3 million.  It is expected that Dominion Diamond Mines will take the same approach with the 552-carat Canadamark(TM) yellow diamond. The yield could be several larger sized diamonds that Foxfire, or could be similar sizes but more of them.  It is impossible to know, as a rough diamond must be carefully studied before being cut to determine the perfect size and shape of the finished, polished stones that will show off their most beautiful color and brilliance.

Certain other fancy yellow  diamonds have made history. In fact, among the world’s largest yellow diamonds is the 439.86 carat light-yellow diamond that was found by DeBeers in 1888 and later cut into a 234.65-carat cushion-cut stone.  The Tiffany Yellow Diamond is also one of  the largest ever discovered. It weighted 287.42 carats in the rough when it was found in 1878 in the Kimberly Mine in South Africa. It was eventually cut in to the 128.54-carat cushion known a the Tiffany Yellow Diamond.

According to  a release issued by Dominion Diamond Mines, Kyle Washington, Chairman, says  “This incredible discovery showcases what is truly spectacular about Canadamark diamonds. “The color and texture of the diamond are a unique example of the journey that natural diamonds take from their formation until we unearth them. Our Diavik Mine has produced some of the most beautiful diamonds in the world, and this one certainly tops the list.”

Souce: DCLA

552 Carat Yellow Diamond Is The Largest Ever Found In Canada

Finding exceptionally large diamonds is rare. Finding extra large diamonds in fancy colors is even more rare. As such, the announcement by  Dominion Diamond Mines that it has unearthed  the largest known diamond ever found in North America is big news.

 Found in October at the Diavik Diamond Mine in  Calgary, Canada, the Canadamark yellow diamond weighs in at 552 carats and beats the previous record (held by the Diavik Foxfire diamond) of 187.7 carats that was also found at the same mine.

Dominion Diamond Mines ULC sources responsibly mined diamonds and owns 40 percent of Diavik.

 The Diavik Diamond Mine is just shy of 150 miles south of the Arctic Circle in the Northwest Territories of Canada, and has produced several important stones in the past. This newest discovery measures about 1-1/2 inches in diameter and more than 2 inches in height. The color and texture are unique geologically speaking, as such a large and rare yellow diamond doesn’t usually form in the region. According to Dominion Diamond Mines’ release, “Abrasion markings on the stone’s surface attest to the difficult journey it underwent during recovery, and the fact that it remains intact is remarkable.”

The Canadamark(TM) program by Dominion Diamond Mines ensures that all diamonds bearing its logo are rigorously tracked from mine to polished gem in order to offer final consumers  full transparency of the supply chain. Once the rough is cut, the diamonds will  be certified as Canadamark(TM).

In the case of the previously found Diavik Foxfire diamonds,  rather than sell it in the rough, the stone was  cut and polished  — yielding a 37.87-carat brilliant-cut pear shaped diamond and a 36.80 carat brilliant-cut pear shape. Both of these stones sold recently at a Christie’s auction for $1.3 million.  It is expected that Dominion Diamond Mines will take the same approach with the 552-carat Canadamark(TM) yellow diamond. The yield could be several larger sized diamonds that Foxfire, or could be similar sizes but more of them.  It is impossible to know, as a rough diamond must be carefully studied before being cut to determine the perfect size and shape of the finished, polished stones that will show off their most beautiful color and brilliance.

Certain other fancy yellow  diamonds have made history. In fact, among the world’s largest yellow diamonds is the 439.86 carat light-yellow diamond that was found by DeBeers in 1888 and later cut into a 234.65-carat cushion-cut stone.  The Tiffany Yellow Diamond is also one of  the largest ever discovered. It weighted 287.42 carats in the rough when it was found in 1878 in the Kimberly Mine in South Africa. It was eventually cut in to the 128.54-carat cushion known a the Tiffany Yellow Diamond.

According to  a release issued by Dominion Diamond Mines, Kyle Washington, Chairman, says  “This incredible discovery showcases what is truly spectacular about Canadamark diamonds. “The color and texture of the diamond are a unique example of the journey that natural diamonds take from their formation until we unearth them. Our Diavik Mine has produced some of the most beautiful diamonds in the world, and this one certainly tops the list.”

Souce: DCLA