De Beers Canada to Sell Gahcho Kue Rough to NWT Manufacturers

De Beers Canada announced Wednesday to supply Northwest Territories manufacturers with 10 percent (by value) of its rough diamonds from Gaucho Kue. The announcement follows an agreement between the diamond miner and the Government of the Northwest Territories.

The manufacturers must be approved by the government and meet certain criteria established by the Diamond Trading Company (DTC), the marketing arm of De Beers.

Diamonds from the project sold to local manufacturers will be allowed to be certified as diamonds mined, cut and polished in the NWT.

”Today’s announcement, together with the Snap Lake arrangements confirmed in February this year, reflect De Beers’ continued commitment to a sustainable local industry,” said Brendan Bell, minister of Industry, Tourism and Investment. A similar agreement was reached in early 2007 with the Snap Lake Project.

De Beers will have a local sorting facility in Yellowknife, where rough from Snap Lake and Gahcho Kue will be separately valued for royalty purposes. The rest of the goods will be shipped to London and added to the so-called “London Mix” for DTC Sightholders.