DDMI Wants to Help Build Yellowknife Arena

The Diavik Diamond Mines signed a Memorandum of Understanding (MOU) with the City of Yellowknife to assist with completion of Phase 2 of the city's Multiplex Arena.

The MOU is consistent with DDMI's corporate philosophy and history of contributing meaningfully to local communities. Nearly half of the Diavik mine's workforce and a significant number of its contractors and their families live in Yellowknife and benefit from the community's facilities.

With population increases and the recent closure of the Gerry Murphy Arena, the city is now short of winter sports recreational facilities and wished to accelerate completion of Phase 2 of the arena. DDMI believes it is well positioned to assist with a project having recently overseen construction of the $1.3 billion Diavik Diamond Mine ahead of schedule and under budget.

Under the MOU, the parties agree to work together to determine the project scope, schedule, capital cost, and financial arrangements to pay for the work. This is expected to take at least two weeks. Once the analysis is complete, DDMI will notify the city whether it is willing to proceed.

If positive, DDMI will contribute cash and in kind assistance (accounting and administration costs, project management and engineering costs) worth approximately $200,000. DDMI will also make its purchasing power available to benefit the project.

Current plans call for the arena's second ice surface to be completed in 2006 at an estimated cost of $4 million.