Jeff Colbourne
Northern News Services

NNSL (Aug 05/98) - Diamonds International Canada Ltd. (DICAN) has been named Canada's first diamond sorter and valuator.

The new Yellowknife-based firm will assess the value of diamond rough and collect royalties for the federal government from BHP's Ekati mine when it goes into production in October.

"This is an important step in the development of a diamond industry in the Northwest Territories," said Stephen Kakfwi, minister of resources, wildlife and economic development.

DICAN is jointly owned by Aboriginal Diamonds Group Limited (ADG) with 51 per cent of the shares. ADG is owned equally by three NWT aboriginal development corporations -- Nishi-Khon Enterprises Inc. is owned by the Dogrib Nation; Deton'Cho Corporation is owned by the Yellowknife Dene First Nation; Kitikmeot Corporation is owned by the Kitikmeot Inuit Association.

"The involvement of aboriginal businesses in this contract is significant. The transfer of knowledge and expertise on diamonds is important for the future participation of Northerners in the NWT diamond industry," said Kakfwi.

The other 49 per cent of DICAN is held by a privately-owned British corporation, WWW International Diamond Consultants. It is made up of a specialist team of rough-diamond valuators and rough-diamond industry consultants.

Their job is to provide technical and management expertise to DICAN on an exclusive basis and to transfer technical knowledge and abilities to Canadians. DICAN was chosen by a seven-member panel which included representatives from the Department of Resources, Wildlife and Economic Development, the territorial finance department, Department of Indian and Northern Affairs and the Government of Western Australia.

"As we draw closer to the day the first Canadian diamonds are mined, I am pleased to know that we will have an experienced firm, chosen by consensus with our northern partners and containing strong Canadian and Aboriginal components to help us build this vital new industry in the NWT," said DIAND minister Jane Stewart last Friday.

Yellowknife's diamond sorting and valuation facility, out of which DICAN will operate, will be similar to a small Fort Knox located near the airport.

Mike Loper, security manager for BHP, said in an earlier interview that the building will probably be a two-story high, 450-square-metre complex.

It will have no windows on the bottom floor, bullet-proof windows on the upper side and mini-windows upstairs, none of which can be opened.

"Then a very good intrusion-detection system all the way around the building, double fencing, double outriggers on top of the fence, razor barb on top of the fence and lots of lights," said Loper.