Ekati Life of Mine Extended from 2026 to 2040
August 12, 25
(IDEX Online) - Owners of Ekati, Canada's oldest diamond mine, now say they hope to extend its life to 2040, having said earlier that it would close next year.
Burgundy, based in Australia, laid off "several hundred" workers last month and temporarily stopped open-pit mining at its Point Lake site due to a sustained decline in rough diamond prices, which made mining there "sub-economic".
The mine was due for closure in early 2026. But in a new life-of-mine update, published on 31 July, Burgundy outlines plans to continue operations at parts of the mine through to 2040, taking account of new, increased resource estimates.
Recent drilling programs, especially at the Misery pipe, have increased the inferred mineral resources, extending the underground mine plan at Misery by two-and-a-half years to the end of 2027.
The Fox Underground Project now has an estimated life of 14 years, with development starting in mid-2026 and first production ore expected in mid-2029.
In addition, recent bulk sampling from Point Lake, which closed last month, suggests mining there could resume in mid-2026 subject to diamond prices.
Ekati, located in the Northwest Territories, about 310km northeast of Yellowknife, began commercial production in October 1998.
Responding to news that the life of mine was being extended, Johnny McKinney, of the Union of Northern Workers (UNW), told Canada's public broadcaster CBC News: "I think it really shows that Burgundy… they're not going to leave, and they're not going to abandon Ekati until there's no other option. I take a little bit of comfort in that."
He also said it was possible some of the laid-off workers would now get their jobs back.
Pic shows Ekati mine.