IKALUKTUTIAK/CAMBRIDGE BAY - The new owner of the Jericho diamond mine has announced its budget for exploration work aimed at ultimately reopening the mothballed mine, which employed 200 people and closed in early 2008.

Shear Minerals says it will spend an initial $4.6 million on drilling at Jericho this summer.

"We're not here just to prove up what we already have. Our end goal is to add carats," said Pamela Strand, president and CEO of Shear Minerals.

"We will be hiring from the communities. Not sure on the numbers yet. It will fluctuate depending on if we've got the drills turning or not. A busy month would probably be close to 40 people."

Jericho is located 350 km southwest of Cambridge Bay.