Burgundy Diamond Mines pauses plan for critical Ekati expansion
CBC
The company that owns the Ekati diamond mine in the N.W.T. has paused a plan to develop an underground project at one of the mine's pits — a plan it previously said was critical to Ekati's future.
Burgundy Diamond Mines notified the Wek'èezhìı Land and Water Board Tuesday that it would be withdrawing its application for the Sable Underground development. It previously said its entire business could hinge on that project, and without it, Burgundy "risks the financial viability and sustainability of the business."
"Burgundy has made this difficult decision after taking to heart all the comments and feedback provided during the application process," the company wrote Tuesday. It said recent finds at another part of the mine could extend Ekati's life, taking pressure off the Sable Underground project.
It said it would be revisiting the project in the future after incorporating feedback from the Tłı̨cho government.
"We need to take the time to get this right," it wrote.
Burgundy's decision to pull the application came a day before it was to take part in a public hearing in Behchokǫ̀, which has now been cancelled.
It also came the same day the mining company penned a separate letter to Premier R.J. Simpson, calling for numerous changes to regulations it says "are getting unnecessarily more onerous."
In that letter, Burgundy wrote that regulations and "inflexible" government agencies are the only thing keeping Ekati from operating until at least 2040.
Burgundy, which bought the mine in July 2023, said diamond prices have declined by at least 20 per cent since that acquisition. The letter suggests Ekati's financial viability is under pressure from many directions and a lack of support from government could put the final nail in its coffin.
On the other hand, if the government meets all its requests, it says "the size of the prize for the North could be upwards of $500 million" over the next 25 years.
The N.W.T. has been wrestling in recent years with the impending closure of two other diamond mines and what that will mean for the territory's economy.
Among the specific requests in the letter, Burgundy is asking the N.W.T. government to explore "alternate arrangements" that would require it to set aside less money each year for the mine's eventual reclamation.
It's asking the government to guarantee it will grandfather in Ekati's impact benefit agreements when it changes the Mineral Resources Act, instead of requiring new agreements that could force Burgundy to pay more to communities and Indigenous groups impacted by the mine.
The mine currently has such agreements with Kugluktuk and the Kitikmeot Inuit Association, Yellowknives Dene First Nation and Łutsel K'e First Nation, the Tłı̨chǫ government and the North Slave Métis Alliance.
More than five kilometres of the Gardiner Expressway suffer from severe congestion that doubles travel times in Toronto during rush hour periods.
A candidate for leadership of the Manitoba Progressive Conservatives says there are books describing bestiality and incest in school libraries.
The Saskatchewan Cancer Agency (SCA) says it is working to ensure women in the province have access to breast cancer screening and biopsies in as timely a manner as possible, but some patients say the system isn't working fast enough.
The City of Edmonton is developing a wildfire strategy to mitigate risks within the municipality and help neighbouring regions, the city's emergency advisory committee heard Wednesday.
About 20 workers, students and local MPP candidates gathered outside Hamilton's Mohawk College Wednesday — where a fifth of full-time jobs have been cut since December — to call on the province to better fund post-secondary education.
In a busy race to Queen's Park, nine candidates are vying for the Sarnia—Lambton seat — a riding that's been conservative for nearly 20 years.
There's just over a year left in the Canada-Alberta child-care agreement and it's shaping up to be a rocky one for some parents, who — for this first time in the history of the agreement — will see their fees increase as a new phase of the program rolls out.
B.C. MLA Adrian Dix says he gets texts, emails, and even stopped at his local Safeway. He says people urge him to cut off power or even water to the U.S.
B.C. cities, in general, would be among the least vulnerable in Canada if U.S. President Donald Trump follows through on tariff threats, according to new data from the Canadian Chamber of Commerce.
Here's where and when you can vote in advance polls in Waterloo region, Guelph and Wellington County
Voting day is Feb. 27 in the Ontario election, but people can cast their ballots this week in advance polls.
Staff with Summerside Electric say they're not getting many updates from Maritime Electric after a failure at the utility's Sherbrooke substation over a week ago caused strain on the city's electrical grid.
The N.W.T.'s public utilities board has ordered the Northwest Territories Power Corporation (NTPC) to start paying Naka Power $48,500 per month to use a transmission line in the Hay River area, starting March 1.
Ideologically motivated violent extremist groups are using antisemitism in a bid to recruit followers and inspire violence, according to a report from Canada's spy agency.