Richard Gleeson
Northern News Services

NNSL (Nov 01/99) - The deadline is clear and close.

If construction of Canada's second diamond mine is to begin this winter, the federal government will need to give it environmental approval by Nov. 8.

If that does not happen, the winter ice-road window will be sliding shut and, Diavik has hinted, so may be the company's commitment to build the mine.

The water board scheduled water licence hearings for Dec. 13-14. To meet that deadline, environmental approval is required 35 days ahead of time, or Nov. 8, said board chairman Gordon Wray.

A water licence is required for construction and operation of the mine.

"We can't wait until the last minute on this stuff," said Wray. "By scheduling this six weeks from now, either the decision will be made and we will go ahead (with the hearing) or it won't be made and we won't go ahead."

Wray said if the Nov. 8 deadline is not met, the hearings will be rescheduled for the new year.

The ice road Diavik is hoping to use to transport the fuel, material and equipment it will need for construction opened Jan. 28 last winter and closed March 31.

Diavik has already entered into contracts -- conditional on obtaining approval -- for the goods and services it will need.

Gordon Harris of the Canadian Environmental Assessment Agency said Environment Minister David Anderson was briefed on the project last Monday.

Harris said he did not know who Anderson would consult after the briefing or how long it would take for him to make a decision.

"Once it leaves us it is in a different realm completely," said Harris. "It's in the political realm."

If all runs smoothly with the water licence application, Wray said it would take 10 to 14 days for the board to have a licence prepared.

The licence would then be sent to Minister of Indian and Northern Affairs Robert Nault. He would have the option of either approving or rejecting the licence.

At a minimum, then, it will be about three weeks after the hearing that a licence will be issued. If it is, Diavik would then go to its board of directors to ask them to consider the terms and conditions of the approvals and ask for them to commit to spending the almost $1 billion it will take to build the mine.