The economic impacts of COVID-19 has forced Dominion Diamond Mines and affiliates to file for insolvency protection under the Companies’ Creditors Arrangement Act (“CCAA”).
In a press release April 22nd, the company noted considering a proposal from an affiliate of The Washington Companies, Dominion’s current equity owner, to provide debtor-in-possession (“DIP”) financing to maintain cash flow during the CCAA process.
The company also received an order from the Alberta Court of Queen’s Bench granting Dominion protection under the CCAA.
During the CCAA process, Dominion’s management will continue to be responsible for handling the care and maintenance of the Ekati Diamond Mine and all day-to-day operations.
More updates on the CCAA proceedings will be released when there are significant developments.