Rio Tinto has announced the approval of a $40m investment in phase one of underground mining beneath the existing A21 open pit at the Diavik diamond mine in Canada.
Phase 1 of underground mining of the A21 pipe at the mine in the Northwest Territories is anticipated to produce an additional 1.4 million carats of rough diamonds.
According to the metals and mining company, its existing employees and contractors will be shifted from other regions of the diamond mine for both the construction and production phases of the A21 underground project.
As per the updated mine plan and production schedule that takes into account the A154N and A154S pipes, the Diavik diamond mine is expected to cease commercial production in Q1 2026.
The closing of commercial operations at the mine is also subject to the approval of the second phase of the A21 underground project.
Rio Tinto plans to seek approval for phase 2 of the A21 underground project in the first half of 2024.
The phase 2 expansion of the underground diamond project is anticipated to produce an additional 0.8 million carats of rough diamonds.
The construction of the A21 open pit was started in 2015 and it began commercial production in 2018.
Rio Tinto minerals chief executive Sinead Kaufman said: “Rio Tinto’s decision to support the underground development of the A21 pipe was prefaced on compelling industry fundamentals, our proven capacity to safely develop diamond mines in extreme conditions and a track record in competing successfully in the global diamond industry.
“This is good news for our employees, partners, suppliers and local communities in the Northwest Territories.”
Located nearly 200km south of the Arctic Circle at the bottom of Lac de Gras, the Diavik diamond mine comprises four diamond-bearing pipes.
