Diamond mines look north for new workers

Two diamond mines in Northwest Territories are vowing to recruit new workers locally rather than continue a longstanding practice of seeking candidates in southern Canada.

Diavik Diamond Mines Inc., operator of the Diavik Mine, and De Beers Canada, owner of the Snap Lake Mine, reported plans in late November and early December, respectively, to add employees next year in anticipation of production increases.

But the mining companies said they will concentrate on locating and training new employees who live in Northwest Territories.

150 new hires for Diavik

Diavik Mines said it is gearing up to hire 150 new employees as it prepares to start up underground operations in early 2010.

The mine, which currently employs about 600 workers, also will begin a two-year process of phasing out its current open-pit mining operations, with the goal of being entirely underground by 2012. The transition from an open pit to an underground mine cost C$800 million and required building everything from underground tunnels to expanding the mine's water treatment and power plants above ground.

Diavik Mines, which is owned by Rio Tinto plc and Harry Winston Diamonds Corp. in a 60-40 partnership, has pledged to make northern residents and aboriginal people an important part of the upcoming round of hiring.

Snap Lake to add 175 workers

De Beers Canada said it is ramping up production at the Snap Lake mine, and expects the territory's newest diamond mine, which opened in 2007, to achieve full output by the end of 2012. The international diamond miner said it will hire 175 more workers by the end of 2010.

The Snap Lake mine is located 220 kilometers, or 137 miles, northeast of Yellowknife.

Along with the production ramp-up, the company aims to complete construction of a permanent accommodation complex for mine employees. De Beers put the camp's construction on hold in 2008 in response to the economic slowdown. The project will require an additional 30 construction workers to assemble newly constructed modular units at Snap Lake between February and October.

"Our decision to increase production is consistent with our business strategy to align production with global demand," said Jim Gowans, president and CEO of DeBeers Canada. "Although our industry might not see the same sales levels in the next few years that we enjoyed in 2007 and early 2008, we anticipate a steady growth in demand over the next three or four years, and the long term looks bright."

Snap Lake has employed up to 662 workers, of which about 44 percent live in the north and 29 percent is aboriginal, according to De Beers spokeswoman De Beers spokesperson Cathie Bolstad.

Miner ends free travel from Alberta

Diavik Mines also said it no longer provides transportation to the mine for workers living in southern Canada.

Diavik is located 300 kilometers, or 186 miles, northeast of Yellowknife in the Lac de Gras area. It is one of three diamond mines in Northwest Territories, and went into production in 2003.

With no all-weather road access, travel to the remote Diavik Mine is by air only, and as a result, Diavik previously provided employees with work-related round-trip transportation.

"We have, over time, also transitioned several senior mine site roles to four days on-three days off Yellowknife-based work rotations, from two weeks on-two weeks off, southern-based work rotations," the mine operator said in a statement.

Diavik Diamond Mines will continue to pick up workers in Wekweti, Gameti, Wha Ti, Behchoko, Lutsel K'e, Kugluktuk, Yellowknife, Hay River, and Fort Smith and more recently in Fort Simpson. The mine operator is also considering expanding its network of northern pick -up points.

Training will play key role

De Beers also said it is pursuing a new training initiative with education partners that will enable Northwest Territories residents to become underground mine workers certified to Canadian standards.

The miner reported achieving accreditation recently to certify underground mine employees at the Snap Lake Mine to the Ontario Common Core standard. With this new certification ability, it is now able to partner with the Mine Training Society, Aurora College and the Government of Northwest Territories Department of Education, Culture and Employment to advance and enhance its current underground mine training program in the Northwest Territories.

Diavik Mines is also targeting beginners for future hires, having earmarked 25 of its 150 new jobs to be entry-level positions, with training offered.

Miners focus on the North

The changes are part of a broader commitment by Diavik Mines and De Beers Canada to do their best to hire northern residents and to encourage their workers to live in northern communities. Currently, 525 Diavik workers reside in Northwest Territories and West Kitikmeot, Nunavut communities. These priority hires represent two-thirds of the mine's existing work force, and is double the operator's initial estimate of employing about 265 northern workers.

In addition to these steps, through a memorandum of understanding, the diamond mines are working with each other and the Government of the Northwest Territories to further develop a skilled northern work force. Earlier this year, through the MOU, the territorial government conducted a survey of mine workers in Northwest Territories that Diavik Diamond Mines hopes will provide a better understanding of workers' northern residency concerns and assist it in responding.

"It will also provide us with opportunities to determine how best to provide improvements for current and potential employees," the mine operator said.

Other initiatives under the MOU include efforts to jointly review and optimize community flight schedules, and to develop common training programs and training standards.

Mike Vaydik, general manager of the NWT & Nunavut Chamber of Mines, said the miners' plans are part of their ongoing attempts to hire northerners.

"This was identified as a priority in the socioeconomic agreements they signed with GNWT when the mines received their licenses to operate," Vaydik said. "It is also part of the MOU signed by GNWT and the three mines."

In addition to employment and business opportunities, the territorial government seeks cultural, community and sustainable development benefits through the socioeconomic agreements it has with the diamond mines.

A significant outgrowth of the effort, so far, is the territory's emerging secondary diamond industry, which includes cutting and polishing facilities and internationally recognized training programs.