DIAMOND CUTTING – Gahcho Ku to support secondary industry

NORTHWEST TERRITORIES - An agreement was announced in Yellowknife on Aug. 15 for rough diamonds coming from the Gahcho Ku mine. DE BEERS CANADA (operator and 51% owner) has agreed that 10% of the cuttable diamonds from the mine will be sold to manufacturers approved by the territorial government and meeting the criteria of the company's sales and marketing arm, Diamond Trading Company (DTC). The balance of the Gahcho Ku project (49%) is held by MOUNTAIN PROVINCE DIAMONDS.

De Beers will establish a venture in Yellowknife to sort stones from Gahcho Ku and its Snap Lake mine. Diamonds from each mine will be separately valued for royalty purposes. De Beers' Snap Lake and Gahcho Ku diamonds will be prepared for sale to DTC clients by the DTC in London. De Beers will provide training for NWT residents in diamond sorting.

See also the De Beers website at www.DeBeersGroup.com or www.DeBeersCanada.com.