Dominion Diamond Corporation announced Monday that it’s moving its head office to Calgary from Yellowknife as part of a cost-cutting measure.
The relocation is expected to be completed by the middle of 2017 and save the company $19 million annually.
100 people working in the Northwest Territories will be affected, though it remains to be seen if any positions will be cut.
“Although this was not an easy decision, it is necessary to support the long-term strength and viability of our operations,” said Dominion chief executive officer Brendan Bell.
“The Ekati mine is a pillar of the NWT economy, and this cost reduction effort will allow us to continue to provide northern employment opportunities and benefits well into the future.
“We remain committed to the people and communities of the North and will continue to set industry standards for northern and Aboriginal employment and sustainable development.”
Despite Monday’s announcement, the diamond producer and operator of the Ekati diamond mine says it will maintain an office in Yellowknife for ‘certain key positions’.
Meanwhile, operations at Ekati will continue uninterrupted and development of the Jay deposit will also be maintained.
The announcement comes as Dominion and other diamond producers continue to struggle with low prices in the global diamond market.
Around this time last year, De Beers Canada – owner of the territory’s Gahcho Kue diamond mine – announced that it’d be moving its own office to Calgary.