Rio Tinto to Develop Fourth Pipe at Diavik

The Diavik Underground Mine (Image: Rio Tinto Diamonds)

(IDEX Online News) – Rio Tinto, operator of the Diavik Diamond Mine has formally approved the development of a fourth pipe, known as A21, at the remote subarctic Diavik mine site in Canada. The development, part of the original mine plan, is estimated to cost $350 million over four years.

The A-21 ore body is located under a lake requiring construction of a dike to isolate the open pit operations.

Rio Tinto said the A21 production will provide “an important source of incremental supply for Diavik, ensuring the continuation of existing production levels.”

“Our decision to invest in the Diavik A21 project reflects our strong confidence in the diamond sector and in our ability to compete effectively in the industry,” said Rio Tinto Diamonds & Minerals chief executive Alan Davies.

The Diavik Joint Venture (Rio Tinto 60 percent; Dominion Diamond Corporation 40 percent) has approved the 2015 program of works and the A21 diamond production is planned for late 2018.

The Diavik Diamond Mine, located 300 kilometers northeast of Yellowknife, capital of Canada’s Northwest Territories, began production in 2003 and became a fully underground mining operation in 2012.