QUEBEC – Montreal-based Stornoway Diamond Corp. is making good progress on its Renard diamond project in the north-central part of the province. Project financing, building the access road, and final permitting are all moving forward.
Thanks to favourable weather, construction of the Renard mine road began at the end of March and is now 22% complete. Seven of the 16 permanent bridges are in place. All-season vehicle access to the project site is scheduled for October 2013. The $77-million cost is covered by a credit facility set up by the province.
The federal environmental review concluded that the Renard project is “not likely to cause significant adverse environmental effects.” The period for public comments on the Renard project is drawing to a close on June 10, 2013. Following that the project will become eligible to receive its federal approval, the last of the major permitting milestones. The mining lease and certificate of authorization were received from the province last year.
Stornoway’s strategy for financing the Renard development is based on a combination of debt, equity and the forward sales of diamonds.
“Despite challenging market conditions, the project has been well received by potential financing partners based on, among other things, its scale of resource, accessibility, strong social acceptability, and long potential mine life,” said Stornoway president and CEO Matt Manson. “Our aim is the completion of this financing on a schedule that allows us to utilize the Renard mine road for mine construction as soon as it becomes available for all-season traffic later in the year. This schedule offers Stornoway the opportunity to develop the Renard project over a period when the diamond market is expected to strengthen markedly, and when the global mining sector has entered a period of cost stabilization and contractor availability.”
Please visit StornowayDiamonds.com to explore career and business opportunities at the project.