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De Beers delays Snap Lake project

Permitting process blamed for hold up

Thorunn Howatt
Northern News Services

Yellowknife (Aug 29/01) - Diamonds are forever and so, it seems, is the process that would permit approval for De Beers' Snap Lake Diamond Project.

Deb Beers was optimistic in its predictions when it targeted late 2004 for production.

The company applied last January to build Canada's first underground diamond mine at a site 220 kilometres northeast of Yellowknife.

"It's not like we can get the permits and use the road the next day," said company spokesperson Jocelyn Fraser.

De Beers hopes to submit an application for approval from the Mackenzie Valley Environmental Review Board by October.

Even if it receives regulatory approval by 2003, it doesn't see being able to transport construction equipment and supplies over the winter road that same year.

"We'll do a phased approach to production," said Fraser.

Fraser said the company will use the extra time to plan for staffing.

The review board is expected to make a decision about hearings later this week.

The proposed mine's footprint will take up about 250 hectares.