Environment Minister Announces Decision on the Victor Diamond Mine Project in Northern Ontario

OTTAWA, August 19, 2005 – The Honourable Stéphane Dion, Minister of the Environment and Minister responsible for the Canadian Environmental Assessment Agency, today announced that the proposed Victor Diamond Mine Project in Northern Ontario does not require further assessment by a review panel or mediator under the Canadian Environmental Assessment Act. The Minister referred the project, proposed by De Beers Canada Inc., back to the responsible authorities, Natural Resources Canada (NRCan), Fisheries and Oceans Canada (DFO), Transport Canada (TC) and Human Resources and Skills Development Canada (HRSDC) for appropriate action.

The Minister has determined that the project is not likely to cause significant adverse environmental effects with the implementation of the mitigation measures outlined in the comprehensive study report. The Minister based his decision on the following information:

• the comprehensive study report, including the conclusions and recommendations, submitted by NRCan, DFO, TC and HRSDC;
• public comments received during the 30-day consultation period, and NRCan's, DFO's, TC's and HRSDC's response to the comments;
• the implementation of mitigation measures; and
• the implementation of a follow-up program.

De Beers Canada Inc. is planning to construct and operate a new diamond mine 90 km west of the First Nation community of Attawapiskat within the James Bay Lowlands of Ontario.

The project consists of the development of an open pit mine with an on-site ore processing plant, quarries and sand and gravel pits, workforce accommodation facilities, all-weather air strip, muskeg, overburden, processed ore and mine rock stockpiles. The project includes a number of off-site components such as, improvements to the existing coastal winter road between Moosonee and Attawapiskat, a new winter road between Attawapiskat and the mine site, new power transmission lines from Otter Rapids to Kashechewan and from Attawapiskat to the mine site, storage yard for equipment and supplies in Moosonee and office and training centres in Attawapiskat.

Construction of the mine will take three years, followed by an operating life of 12 years and five years to complete the reclamation phase.

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The Canadian Environmental Assessment Agency administers the federal environmental assessment process, which identifies the environmental effects of proposed projects and measures to address those effects, in support of sustainable development.

Media may contact:

Robert Deslauriers
Sr. Communications Advisor
Canadian Environmental Assessment Agency
Tel.: (613) 957-0396