The De Beers Group of Companies has announced it has placed its Snap Lake Mine on care and maintenance following a review of the mine’s operation, particularly in light of current market conditions
De Beers says it will evaluate market conditions over the next year to determine the potential of the ore body as a viable mine.
Work to suspend production at the Snap Lake Mine located in Canada’s Northwest Territories has now begun and is expected to last between one and nine months. During the care and maintenance period, environmental monitoring and work required under the mine’s permits will continue.
Suspension work will require approximately 120 employees, while care and maintenance will require around 70 employees. 41 employees have already been transferred to De Beers’ Gahcho Kue Project, with the potential for another 60 to transfer at some point in 2016.
De Beers announced that regrettably 434 employees have been informed that they will not be required for the closure and maintenance work.
Kim Trutter chief executive of De Beers Canada commeny: “The men and women at Snap Lake have put enormous effort into this challenging ore body over many years, but even the gains made this year are not enough to overcome market conditions and put us in a profitable position.”
The Snap Lake Mine opened in July 2008 and is Canada’s only fully-underground diamond mine.