Gahcho Kué Joint Venture and the Government of the Northwest Territories (GNWT) Sign Socio Economic Agreement
YELLOWKNIFE, NT, TORONTO, ON, & NEW YORK, NY, June 28, 2013 /PRNewswire/ – De
Beers and Mountain Province Diamonds (TSX: MPV, NYSE MKT: MDM) are
pleased to announce that De Beers as Operator of the Gahcho Kué Project
today entered into a Socio Economic Agreement (SEA) with the Government
of the Northwest Territories for the proposed Gahcho Kué diamond mine
located in Canada’s Northwest Territories (NWT).
The agreement formalizes commitments made with respect to employment,
training, business opportunities and other related benefits for NWT
residents. It also establishes measures to monitor possible
socio-economic impacts related to the proposed mine and establishes the
mechanism to work with communities close to the mine site to ensure an
adaptive management approach to socio-economic performance of the mine.
“In signing this SEA, both parties are affirming their commitment to
advancing this Project in a way that not only creates jobs for our
residents, but that supports the health and wellness of the region,”
said Minister of Industry, Tourism and Investment, David Ramsay. “This
is a significant step forward in opening this mine, a project that will
translate into economic opportunities for people throughout the North
and South Slave Regions, and across the territory.”
“This is an important milestone for De Beers and for our Joint Venture
Partner, Mountain Province Diamonds,” said Tony Guthrie, President and
CEO of De Beers Canada and Chairman of the Gahcho Kué JV Management
Committee. “The signing of this Agreement confirms that De Beers and
the Government of the Northwest Territories are committed to working
together to optimize opportunities for the residents and economy of the
NWT, while respecting the cultures and traditions of communities close
to the mine. This agreement positions Gahcho Kué to contribute to the
economic success of the NWT and its all-important diamond industry.”
Highlights of the SEA include:
-- Incentives to assist employees living in the NWT, including priority hiring and relocation benefits; -- Establishment of a trades training, apprenticeship and professional training sponsorship program with at least 30 positions allocated for NWT residents; -- Establishment of NWT pick-up points and transportation allowances to assist NWT resident employees travelling to and from the Gahcho Kué mine from NWT communities. -- An innovative approach to community involvement in the review of annual results with the GNWT and De Beers to enhance opportunities for dialogue, transparency and accountability.
An intensive two-year environmental impact review concluded in December
2012. The report and recommendation will be released to the Minister of
Aboriginal Affairs and Northern Development by the Mackenzie Valley
Environmental Impact Review Board in July this year. Upon receiving
Ministerial approval on the EIR Report, the Project will be able to
proceed through the final permitting phase where the terms and
conditions of its permits and licenses will be determined.
The Gahcho Kué diamond mine will have a mine life of approximately
eleven years, will employ up to 700 people during construction and
approximately 400 people during operations. It will produce on average
4.5 million carats annually over its mine life.
About De Beers Group
De Beers Group is a member of the Anglo American plc group. Established
in 1888, De Beers is the world’s leading diamond company with
unrivalled expertise in the exploration, mining and marketing of
diamonds. Together with its joint venture partners, De Beers employs
approximately 16,000 people across the diamond pipeline, and is the
world’s largest diamond producer by value, with mining operations in
Botswana, Canada, Namibia and South Africa. In Canada, De Beers
operates the Snap Lake Mine in the Northwest Territories and the Victor
Mine in northern Ontario. De Beers is also a joint venture partner in
the Gahcho Kué Project in the Northwest Territories. For further
information about De Beers visit www.debeersgroup.com.
About Mountain Province Diamonds
Mountain Province Diamonds discovered the first kimberlite at Kennady
Lake in 1995 and in 1997 entered into a joint venture agreement with
Monopros, a subsidiary of De Beers. Mountain Province is a 49%
participant with De Beers Canada in the Gahcho Kué JV located in
Canada’s Northwest Territories. Gahcho Kué is the world’s largest and
richest new diamond mine development. A December 2010 feasibility study
filed by Mountain Province (available on SEDAR) indicates that the
Gahcho Kué project has an IRR of 33.9%. Further information is
available at www.mountainprovince.com.
This news release may contain forward-looking statements, within the
meaning of the “safe-harbor” provision of the Private Securities
Litigation Reform Act of 1995, regarding Mountain Province’s business.
Actual results could differ materially from those described in this
news release as a result of numerous factors, some of which are outside
the control of the Company
SOURCE Mountain Province Diamonds Inc.