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Canada: A Diamond-Producing Nation
Diamond exploration began in Canada as early as the 1960s
but major kimberlite discoveries were not made until the 1980s.
In 1991, the first economic diamond 
deposit
was discovered in the Lac de Gras area of the Northwest Territories. Canada
became a diamond producer in October 1998 when the Ekati
diamond mine opened about 300 kilometres northeast of Yellowknife. By
April 1999, the mine had produced one million carats.
Canada’s diamond industry has now become an industry worth more than $2.0 billion with all indicators pointing to potential for future growth. Canadian diamond production in 2003 was about 11.6 million carats and in 2004 was 12.6 million carats.
Diavik,
Canada’s second diamond mine, began production in January
2003. During its projected 20-year life, average diamond production from
this mine is expected to peak at six to eight million carats a year —
about five percent of the world’s total supply. Ekati’s average
production over its projected 20-year life is expected to peak at three
to five million carats a year — four percent of world production
by volume.
Another three mines are scheduled to be opened: one at Snap Lake, about 220 kilometres northeast of Yellowknife, N.W.T.; Victor, near James Bay in Ontario; and Jericho in Nunavut. These mines will consolidate Canada’s position in world diamond production by value, third after Botswana and Russia.
Cutting and
Polishing
Although there have been diamond polishing facilities in Canada for many
years, the new mines triggered the construction of a number of factories
in the Northwest Territories that now employ close to 100 people. One
facility is majority-owned by the Yellowknife Dene First Nation. The largest
of these facilities has an output of 2500 carats a month.
There are cutting and polishing facilities in Vancouver, Winnipeg, Toronto, Montréal and Matane.
Employment
The Canadian diamond industry employs about 1200 people in mine operations
and over 1000 more in support industries for exploration and mining. In
total, the Canadian industry provides some 4000 direct and indirect jobs.
Aboriginal persons comprise 30 to 40 percent of the work forces at Ekati
and Diavik.
Kimberley
Process for Rough Diamonds
The Kimberley
Process was initiated by South Africa in May 2000 to develop
an international certification scheme for rough diamonds in order to help
prevent conflict diamonds from entering legitimate markets. Conflict diamonds
originate in areas controlled by rebel groups and are often used to fund
military action that targets governments.
Canada has been a leader in the process to control the conflict diamond trade. It has supported the United Nations in this initiative and, in June 2002, in Kananaskis, Alberta, this country and other G8 leaders pledged support for an international effort. Canada has now passed legislation to control the import, export and transit of rough diamonds in Canada. By participating in the Kimberley Process, Canada is doing its part to halt the devastating impact that trade in conflict diamonds is having on peace, security and sustainable development in affected countries.
Diamonds
and Sustainable Development
Canada’s diamond industry is part of a minerals and metals industry
that is one of the world’s largest producers and exporters. This
highly productive and technologically advanced industry provides a source
of stable, high income for northern, remote and Aboriginal communities.
Canadian mining companies are also leading the way in integrating sustainable development into their activities in Canada and abroad. The Canadian mining industry was the first in the world to develop and adopt a national environmental policy. On the international front, some of Canada’s major mining companies are involved in projects ranging from delivering health, water and electricity services to reintegrating workers into their communities.
Natural Resources Canada advances the Government of Canada’s commitment to the sustainable development of our natural resources — contributing to their economic importance and to a strong society and communities through knowledge, innovation, technology and international leadership.
By integrating our economic, social and environmental goals, we can ensure our quality of life and build the Canada we want, for ourselves and for future generations.
For more detailed information on diamond mining in Canada, go to the Canadian Minerals Yearbook site to access the latest review on diamonds or visit these other sites:
Diamonds (Earth Science Sector)
Formation of Diamonds (animation)
Overview of Trends in Canadian Mineral Exploration
| Last Updated: 2006-09-29 |  |
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