Sep 23, 2016

Dominion’s Ekati Process Plant Re-Commences Operations Ahead of Schedule

Operations at the Ekati process plant, which had earlier been suspended following a fire that broke out in June this year, have re-commenced at full capacity from September 21, Dominion Diamond Corporation announced. The total cost of the process plant repairs has been put at approximately US$ 15 million.

“During this time, the Company implemented an active management strategy designed to mitigate the impact of the fire on production and cash flow for the current fiscal year,” the Company revealed. “As part of this strategy, the Company reduced operating and capital costs by deferring mining activities at the Lynx and Pigeon open pits, while continuing to mine and stockpile higher value ore from the Misery Main open pit and Koala underground.”

The Company said that the ore blend for the remainder of the current fiscal year is expected to be a combination of the higher value Misery Main and Koala ore of which approximately 750,000 tonnes was available in stock-pile when the plant resumed operations.

“We are very pleased the process plant repairs have been substantially completed ahead of schedule and below our original cost estimate,” said Brendan Bell, Chief Executive Officer. 

Dominion also announced the sale of a 186-carat gem quality diamond for US$ 2.8 million, as part of the Company’s most recent sale in September. The rough diamond was   recovered in early June during the processing of feed from the Pigeon kimberlite, the Company said. “The stone was the largest gem quality diamond ever recovered at the Ekati mine,” Dominion stated.