SOMBA K'E/YELLOWKNIFE
Excitement is building for the return of GNWT-certified Polar Bear diamonds.
A portion of Ekati Diamond Mine rough diamonds and diamond parcels, pictured here on April 12, will be sold to Approved NWT Diamond Manufacturers such as new secondary diamond industry entrant Deepak International Ltd. - Thandiwe Vela/NNSL photo
|
Deepak International Ltd., the private company which recently purchased two airport-side diamond manufacturing buildings on Archibald Street, formerly known as "Diamond Row," is expecting to open the two facilities as certified Polar Bear Diamond factories in June.
Renovations are already underway at the two buildings, which are being gutted, refurbished, and stocked with all new equipment, said Deepak president and CEO Deepak Kumar.
Kumar, who started his diamond distribution company in Rae-Edzo, called the re-opening of the NWT diamond manufacturing facilities this year an "historical event.
"It is historical because we are able to re-establish our manufacturing industry in Yellowknife. We are able to put our skilled people back to work. We are able to train new people, our Northern youth and we're able to attract more Northerners into the diamond workforce," Kumar said.
"At the same time, it is going to create a lot of attraction and attention towards Yellowknife and the NWT in the global marketplace. We are able to change the perception that Yellowknife is not the place for cutting and polishing. We will prove that Yellowknife is the best place to do cutting and polishing."
The company has hired 30 people already to work at the factories, including polishers, cutters, supervisors and management staff. The factories will employ more than 60 people once fully running, Kumar said.
Production rates at the factories will not be determined until the operation is fine-tuned at the factories, he said.
Prior to the new entrant, Crossworks Manufacturing, a subsidiary of HRA Group of Companies, was the sole authorized diamond manufacturer in the NWT. Crossworks does not use the Polar Bear trademark.
Deepak has signed agreements allowing it to exclusively use the GNWT-certified Polar Bear Diamond trademark.
"The Government of the Northwest Territories-certified Polar Bear Diamond is the most sought after diamond in the global market place because it's conflict free, it meets the highest quality standard, it's cut and polished in the Northwest Territories and it comes from Canadian mines," Kumar said. "This is the best diamond in the world. I've received thousands of e-mails from folks (retailers) saying that people can't wait to get the polar bears."
At a press conference last week, Dominion Diamond Corporation chairman and CEO Robert Gannicott said the company is a subscriber to the GNWT's program to reserve a portion of diamonds mined in the territory to authorized NWT manufacturers.
"We've agreed to make diamond parcels available for Northern manufacturers," he said.
The GNWT is working with Dominion on negotiating rough supply agreements from both Diavik mine, which Dominion has a 40 per cent stake in, and Ekati Diamond Mine, in which Dominion last week finalized its purchase of an 80 per cent stake.
"We have a proponent that's interested in getting into the cut and polish here in Yellowknife," Ramsay said about Deepak. "The marketing efforts would be his, but with the Polar Bear brand we do believe that that is a iconic brand and if done correctly, we feel that that could be very successful in the global marketplace and we're excited to see that come back here."
Premier Bob McLeod said marketing the Polar Bear Diamond brand globally was the original vision the GNWT had when diamonds were first discovered.
The two polishing factories were taken by the GNWT after the previous owner, which was the last to use the Polar Bear brand, went into receivership in 2010, owing more than $42 million to creditors, including $5.8 million to the GNWT.
Kumar believes one of the reasons why Deepak International Ltd.'s operation will be successful is because it is a privately-funded venture, with no taxpayer dollars involved, he said.
