Kitikmeot (Aug 21/06) - The Jericho diamond mine is "breaking new ground" in Nunavut."

Those were the words from Prime Minister Stephen Harper during the grand opening of Tahera Diamond Corporation's mine.

From left, Ray Mercer, a worker at Jericho Diamond Mine, Jim Prentice, middle, Minister of Indian and Northern Affairs, and Prime Minister Harper. - David Ryan/NNSL photo

"This type of success will help build the new North," said Harper to a crowd of 175 employees, dignitaries and guests.

He said his government is committed to helping mines develop in the territory.

An extension in the mineral exploration tax credit will help to solidify recent exploration gains in the North, said Harper.

The change will give companies more time to explore for minerals in Nunavut and throughout Canada and still claim the tax credit. Tahera Diamond Corporation's chair and chief executive officer, Peter Gillin, said success wouldn't have happened without support from a number of groups, including the Kitikmeot Inuit Association, and the territorial and federal governments. Jericho is the first project to successfully fulfil the obligations set out under the Nunavut land claims agreement for mine development, said Gillin.

"The Jericho diamond mine is a clear successful product of that process," he said.

Jericho began commercial production on July 1, after more than a year and a half of construction. It is expected to have an eight year operating life with 700,000 tonnes of kimberlite expected to be mined per year. During the first half of this year, 210,000 tonnes of kimberlite were processed, yielding 127,000 carats of diamonds.

Premier Paul Okalik said he is encouraged to see Tahera open.

"I must say I'm impressed with the number of Inuit who are working here already."

Jericho's goal is to have 60 per cent Inuit workers employed at the mine.

Nunavut is committed to developing more projects, but it is also determined to provide environmental protection to the lands and waters in the territory, said Okalik.

"The Jericho diamond mine is a fine example of what could be accomplished," he said, noting it is the first major development project in Nunavut to complete an environmental assessment process through Nunavut's land claim bodies. Jericho diamond mine is Nunavut's first diamond mine and Canada's third.