Tlicho sign agreement with De Beers
Company and First Nation move forward on planned Gahcho Kue mine
Daron Letts
Northern News Services
Published Monday, February 3, 2014
NORTHWEST TERRITORIES
The Tlicho Government signed an impact benefit agreement with De Beers for its proposed Gahcho Kue mine, which the company is developing with 49 per cent partner Mountain Province Diamonds.
The agreement, which was signed Jan. 24, establishes a framework by which the Tlicho and De Beers may collaborate over the life of the mine and furnishes the Tlicho with training opportunities and employment on the project.
"Besides the financial agreement, it's really the training and benefits that are provided through employment from the mine site and also the contracts, possibly, for our business side to further employ Tlicho people, that are really significant" Behchoko Chief Clifford Daniels told News/North.
"We asked to have educational benefits within the mine itself to help educate the old or new miners.
That's one thing we were really impressed with."
According to De Beers, Gahcho Kue will employ close to 700 people during the two years of construction and close to 400 people during its operational phase. The estimated mine life is approximately 11 years, during which an estimated 31 million tonnes of ore containing an estimated 49 million carats will be mined 280 km northeast of Yellowknife.
The Tlicho First Nation encompasses more than 4,000 members, more than half of whom are of employment age, Daniels estimates.
"The Gahcho Kue project is located within ... an area which the Tlicho have traditionally used and occupied and the protection of the land, water, wildlife and our way of life has guided our negotiating team," stated Grand Chief Eddie Erasmus in a Jan. 27 news release.
"This agreement confirms our relationship with De Beers, so that we will work together over the life of the mine to ensure there are many training, employment and business opportunities from the project for Tlicho citizens.
"It also includes financial provisions that enable the Tlicho Government to participate in the opportunities that the project provides."
The impact benefit agreement marks the first time the Tlicho Government negotiated with a company independently from the federal and territorial governments.
"It's been a long time coming. This process began in November, 2012, and we signed last (month). That's how negotiations go. Some are short, some are long. But, I think we've come to an agreement so we're comfortable. Hopefully that 11-year project benefits everyone involved," Daniels said.
The project was approved Oct. 22 by Aboriginal Affairs and Northern Development Minister Bernard Valcourt.
The issuance of a land use permit and water licence from the Mackenzie Valley Land and Water Board would allow the companies to begin the mine's anticipated two-year construction process.
If it proceeds, the project would represent the territory's fourth diamond mine.
