Northwest Territories could have fifth diamond mine by 2020

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A fifth diamond mine could be operational in the Northwest Territories by 2020 – and we’ll know more by the end of this year.

That’s according to the chief executive of Kennady Diamonds, in conversation with the Irish Times.

The newspaper reports Irish billionaire investor Dermot Desmond has agreed to provide $20 million in financial backing to Kennady as it explores the North for diamonds.

Kennady’s signature project is the proposed Kennady North mine site, where company CEO Patrick Evans say exploration is at “an advanced stage”.

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Evans told the Irish Times: “The work that we are doing is preparatory work for an economic assessment. This will tell us if we have an economic asset or not.Kennady North site

“If it is confirmed [as an economic diamond project], then, subject to regulatory approvals, we would look to open a mine within about five years. Our intention is to develop the asset without a senior partner.”

Evans expects to know if the mine is going ahead by the end of this year.

Kennady North is located next to the Gahcho Kue mine site, northeast of Yellowknife.

Gahcho Kue, the territory’s fourth diamond mine, is expected to begin operations in 2016. Irish investor Desmond has a stake in that mine, too.

Read: Kennady Diamonds’ full announcement on $20 million private placement (PDF)

Images from Kennady Diamonds.

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