Production at Diavik Diamond Mine Estimated to Last Until 2023

The Diavik Diamond Mine

(IDEX Online News) – According to an updated life-of-mine plan for the Diavik diamond mine, released by the Harry Winston Diamond Corporation, mining and processing will take place until 2023.

In the new plan, Harry Winston estimates a net present value of approximately C$2.6 billion (US$2.63 billion) for the mine including all reserves and resources. The estimate assumes a 2 percent increase in rough diamond prices per year.

Part of the plan includes the development of the A-21 project. Once it is approved, construction is expected to start in 2013, with the first ore being produced in early 2017. Construction would cost in the region of C$514 million (US$521million).

The mine has been in production since 2003. Up to December 31, 2011, the mine had produced approximately 69 million carats of diamonds from the processing of approximately 18 million tons of kimberlite.

The Diavik diamond mine is a joint venture between Rio Tinto Diamonds (60 percent) and the Harry Winston Diamond Corporation (40 percent).