Burgundy to Extend Life of Canada's First Diamond Mine

By John Jeffay / January 14, 2024 / www.idexonline.com / Article Link

(IDEX Online) - The owners of Ekati, Canada's first diamond mine, say they plan to extend its life by developing its underground operations. Australia-based Burgundy aims to continue operations "towards 2040", it said in a letter to shareholders dated 9 January. The initial mine life was forecast as 2015 when it opened in 1998.It plans to expand underground mining at one of the mine's kimberlite pipes (Misery) and to start underground at mining at two others, Sable and Fox.It also plans to introduce remote underwater mining, using a specially-designed crawler, it trials go well.Burgundy bought the mine, 125 miles south of the Arctic Circle, in Northwest Territories, last July for $136m from Arctic Canadian Diamond Company, which acquired the deposit in February 2021 after the previous owners, Dominion Diamonds, filed for insolvency. By expanding its underground operations Ekati could outlive Canada's two other diamond mines - Diavik (Rio Tinto) and Gahcho Kue (joint venture De Beers/Mountain Province) - which are due to cease operations in 2026 and 2030 respectively.Burgundy CEO and managing director Kim Truter said Ekati "still contains one of the largest undeveloped diamond resources in the world" and in 2023 it processed a higher tonnage at its plant in any year since 2013.

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