De Beers Canada is preparing to flood the underground workings of the Snap Lake Mine. These operations are scheduled for early January 2017, and will be undertaken as per the regulatory approvals the Company received early this year.

The flooding exercise is expected to take roughly six to eight weeks after which   the mine will be put on “a long-term phase of care and maintenance primarily focused on environmental monitoring activities” the Company indicated.

“This extended care and maintenance programme will preserve the long-term viability of the ore body and reduce costs while mitigating environmental risks associated with maintaining dormant operations,” De Beers Canada explained when making the announcement last week.

The  decision to put Snap Lake  “on extended care and maintenance”  was taken after the Company failed to find a buyer for the mine and as it was considered to be “the most responsible and viable route forward”. 

Explaining this, De Beers Canada said that extended care and maintenance will preserve the significant diamond mineral resource in the ground until “market conditions and improved technical methods make the kimberlite more economic to operate”.

The workforce at Snap Lake will be reduced from 55 people currently to 35 persons once the flooding project is completed. “Employees who are displaced will receive consideration for alternate placement at other De Beers facilities where skill sets and vacancies match. Where job opportunities are not immediately available, employees will receive as much notice as possible and a fair and respectful severance package that exceeds regulatory requirements,” the Company announced.