Canada’s Snap Lake diamond mine on the market

by jacquie_dealmeida | August 10, 2016 10:40 am

De Beers is selling its Snap Lake diamond mine.

The news was first reported by Reuters, which said the mining giant had hired Bank of Montreal to find a suitable buyer.

De Beers shuttered Snap Lake last December, saying it was planning to turn off the pumps that keep water from entering the underground tunnels.

If a buyer is not found, flooding is expected to happen sometime in the fall.

According to Reuters, Snap Lake has not been profitable since production began in 2008. In 2014, it produced 1.2 million carats. The mine was expected to remain in operation until 2028.

When it opened, Snap Lake was De Beers’ first diamond mine outside Africa. It is Canada’s only completely underground mine.

The news comes just as De Beers is set to ramp-up production at the jointly owned Gahcho Kué, which is also located in Canada’s Northwest Territories.

Source URL: https://www.jewellerybusiness.com/news/canadas-snap-lake-diamond-mine-on-the-market/

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