YELLOWKNIFE/TORONTO/NEW YORK, Jan. 27, 2014 /CNW/ - De Beers Canada Inc.
(De Beers) and Mountain Province Diamonds (TSX: MPV, NYSE MKT: MDM) are
pleased to announce that De Beers, as Operator of the Gahcho Kué
Project, has entered into an Impact Benefit Agreement (IBA) with the
Tłı̨chǫ Government for the proposed Gahcho Kué Mine. The agreement
puts in place a framework for De Beers and the Tłı̨chǫ Government to
work together over the life of the mine enabling participation by the
Tłı̨chǫ in the opportunities that the mine provides.
"The Gahcho Kué Project is located within Mǫwhì Gogha Dè Nı̨ı̨tłèè, an
area which the Tłı̨chǫ have traditionally used and occupied and the
protection of the land, water, wildlife and our way of life has guided
our negotiating team," said Grand Chief Eddie Erasmus. "This agreement
confirms our relationship with De Beers, so that we will work together
over the life of the mine to ensure there are many training, employment
and business opportunities from the Project for Tłı̨chǫ citizens. It
also includes financial provisions that enable the Tłı̨chǫ Government
to participate in the opportunities that the Project provides."
"Our relationship with the Tłı̨chǫ is important to us," said Glen
Koropchuk, Chief Operating Officer for De Beers. "This Impact Benefit
Agreement builds on the relationship we have already established for
the Snap Lake Mine and confirms our commitment to work together for the
benefit of the Tłı̨chǫ people with the Gahcho Kué Project. I would
like to congratulate both negotiating teams on this important
Gahcho Kué will employ close to 700 people during the two years of
construction and close to 400 people during its operational phase. The
Gahcho Kué life of mine is approximately 11 years in duration and will
mine about 31 million tonnes of ore containing an estimated 49 million
Gahcho Kué is a joint venture between De Beers (51%) and Mountain
Province Diamonds (49%) and is located 280 km northeast of Yellowknife,
The agreement was signed in Yellowknife on Friday, January 24, 2014.
About De Beers Group
De Beers Group is a member of the Anglo American plc group. Established
in 1888, De Beers is the world's leading diamond company with
unrivalled expertise in the exploration, mining and marketing of
diamonds. Together with its joint venture partners, De Beers employs
approximately 16,000 people across the diamond pipeline, and is the
world's largest diamond producer by value, with mining operations in
Botswana, Canada, Namibia and South Africa. In Canada, De Beers
operates the Snap Lake Mine in the Northwest Territories and the Victor
Mine in northern Ontario. De Beers is also a joint venture partner in
the Gahcho Kué Project in the Northwest Territories. For further
information about De Beers visit www.debeersgroup.com.
About Mountain Province Diamonds
Mountain Province Diamonds discovered the first kimberlite at Kennady
Lake in 1995 and in 1997 entered into a joint venture agreement with
Monopros, a subsidiary of De Beers. Mountain Province is a 49%
participant with De Beers Canada in the Gahcho Kué JV located in
Canada's Northwest Territories. Gahcho Kué is the world's largest and
richest new diamond mine development. A December 2010 feasibility study
filed by Mountain Province (available on SEDAR) indicates that the
Gahcho Kué project has an IRR of 33.9%. Further information is
available at www.mountainprovince.com.
About Tłı̨chǫ Government
The Tłı̨chǫ Government is the governing authority within Tłı̨chǫ Lands.
The Tłı̨chǫ Government has the power to pass laws, enforce its own
laws, delegate its powers and authority, and establish structure of
Tłı̨chǫ Government and its internal management. http://www.tlicho.ca/
This news release may contain forward-looking statements, within the
meaning of the "safe-harbor" provision of the Private Securities
Litigation Reform Act of 1995, regarding Mountain Province's business.
Actual results could differ materially from those described in this
news release as a result of numerous factors, some of which are outside
the control of the Company.
SOURCE: De Beers Canada Corporation
For further information:
External & Corporate Affairs
Tel: (867) 766-7300
President & CEO
Mountain Province Diamonds
Tel: (416) 361-3563
Tel: (867) 766-4003 ext. 1002