GAHCHO KUÉ MINE SURPASSES CAD2 BILLION SPENT WITH NWT & INDIGENOUS BUSINESSES

CALGARY, AB, CANADA, June 25, 2024 (GLOBE NEWSWIRE) -- De Beers Group and Mountain Province Diamonds today announced that their joint venture Gahcho Kué mine has surpassed $2 billion* of procurement spend with businesses in the Northwest Territories (NWT) since construction of the mine commenced in 2015.

The milestone represents 61% of the total $3.2 billion spent on procurement for Gahcho Kué since 2015, in line with Gahcho Kué’s commitment to procure at least 60% of the goods and services required to build and operate the mine from companies located in the NWT.

Avischen Moodley, Country President – De Beers Canada, said: “This major economic milestone highlights the value Gahcho Kué brings to Indigenous communities, businesses, and the territory. Our NWT business partners continue to demonstrate their ability to provide world-class goods and services that are essential to the successful operation of the mine.”

NWT and Indigenous businesses provide a wide range of goods and services to Gahcho Kué, including welding, transportation logistics, trucking support, passenger and cargo flights, labour services and camp catering.

Mark Wall, CEO of Mountain Province Diamonds, said: “Since the mine began, Gahcho Kué has had an impressive track record of socio-economic contributions and environmental stewardship in the NWT. That track record continues to strengthen, with Gahcho Kué recording its highest ever level of spending with NWT businesses in 2023.”

According to the NWT Bureau of Statistics, diamond mining is the largest contributor to the NWT’s Gross Domestic Product, representing $588 million of the territory’s $4.25 billion GDP in 2023.

Key elements of the economic contribution of the Gahcho Kué mine include the following:

• Gahcho Kué has a tiered contracting structure that gives preference to Indigenous and NWT businesses.
• Since 2006, $5.3 billion has been spent with local and Indigenous business in the Northwest Territories and Northern Ontario by Gahcho Kué and De Beers Group’s wholly owned Snap Lake (NWT) and Victor (Ontario) mines. (Snap Lake and Victor are now in active closure).
• In 2023, 69% of the Gahcho Kué mine spend was with NWT and Indigenous companies, totalling $228 million, the highest amount spent with NWT businesses since construction.
• In 2023, $90 million was spent with companies operated by the mine’s Impact Benefit Agreement communities.
• From 2006-2023, Gahcho Kué and Snap Lake mines have contributed a combined $26.5 million in social investment within the NWT.
• Gahcho Kué has also made significant payments to Indigenous communities in terms of six Impact Benefit Agreements and has paid resource royalties to the Government of the NWT.

Gahcho Kué mine is located 280 kilometres northeast of Yellowknife. The mine was built in 2015 and 2016 and was officially opened in 2016. In 2023, the mine provided 663 full-time equivalent jobs, including 245 jobs held by NWT residents.

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*All amounts in Canadian currency.

Attachment

• Gahcho Kué Mine Haul Truck at Sunrise

Terry Kruger
        De Beers Canada
        (1) 403 930 0991 x2707
        Terry.Kruger@debeersgroup.com