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Diavik Diamond Mines president, Joe Carrabba, shakes hands with Mayor Gord Van Tighem after signing a deal putting Diavik in charge of completing the second pad of the Multiplex arena. - Mike W. Bryant/NNSL photo

Diavik to build second pad

Mike W. Bryant
Northern News Services

Yellowknife (Apr 02/04) - City Hall is hoping Diavik Diamond Mine's financial clout and engineering expertise will cut costs and move up construction of the arena's second pad to this year.

The two parties signed a memorandum of understanding Wednesday night which will, in effect, make Diavik the project manager of the second ice surface.

The agreement also calls for the second pad to be named after long-time resident and Order of Canada recipient, Clarence "Shorty" Brown.

The noted patron of kid's hockey programs was Yellowknifer readers' number-one choice for an arena name in a newspaper poll last year.

Shorty Brown was enroute to Yellowknife from Hawaii when Yellowknifer unsuccessfully tried to contact him about the honour yesterday. He was at that time still unaware of the accolade.

The city has agreed to put the Diavik logo on a prominent location outside the Multiplex as well.

"We're going to provide a lot of engineering services in the upcoming weeks to look at how we can accelerate things," said Diavik president, Joe Carrabba.

"We're going to look at our purchasing power as well in materials in construction and equipment."

Diavik is no stranger to the arena building business. It also lent its expertise to build Kugluktuk's arena.

It's not a done deal yet, however. Diavik will spend the next two weeks evaluating the scope, schedule, capital costs, and financial arrangements necessary to pay for the work.

If all looks well, Diavik will get to work immediately.

The agreement calls for Diavik to finance construction of the second pad. The city will pay Diavik back with funds already budgeted for the arena, but not available until 2006.

The city originally estimated the second pad will cost $4 million to build. Mayor Gord Van Tighem said having Diavik on board means the city can save money and fund additional recreation facilities.

"Their target is to have it for less than what we budgeted and for sooner than we budgeted," said Van Tighem.

"We still pay for it. It's just that with Facilities for Kids' input -- and Diavik's buying power -- maybe we'll end up less (in costs). Maybe we can start looking at soccer fields sooner and other things."

The MOU does have a clause stating Diavik will contribute $50,000 to Facilities for Kids to assist in their fundraising efforts for the arena.

They will also write off $150,000 in administration and engineering costs to the project.

Will give a boost

Facilities for Kids president Kevin Stapleton, said Diavik's helping hand will give his group an added boost in its efforts to raise money for recreation facilities.

They've already raised $210,000 for the second pad.

"We're not done yet," said Stapleton. "We're just getting started."