Saturday, November 29, 2008

N.W.T. diamond mines, government pledge to expand northern workforce

The Northwest Territories' three diamond mines signed an agreement with the government Thursday, promising to work together to ensure more northerners are working in diamond mining.

Senior executives with BHP Billiton, Diavik Diamond Mines and De Beers Canada were in Yellowknife to sign a memorandum of understanding with Industry, Tourism and Investment Minister Bob McLeod and Education Minister Jackson Lafferty.

While the agreement is non-binding and does not make specific committments, it is being hailed as a unique opportunity — especially in a gloomy economic climate — for the three competing mines to work together and with the government.

"No single party owns all the levers to this problem," Diavik mine president Kim Truter said at Thursday's announcement.

"We've got to each pull our levers, and we've got to do it together. So that's why we believe in this initiative so strongly."

The Northwest Territories' three diamond mines are the Diavik mine, which is owned by parent company Rio Tinto, BHP Billiton's Ekati mine, and De Beers Canada's Snap Lake mine.

While the most substantial benefit of diamond mining in the N.W.T. is jobs, many mine workers are from southern Canada, and are being flown in and out of the mines from Edmonton.

Thursday's agreement talks about finding ways to relocate some of those workers to the North, as well as hiring more workers from within the territory and providing more education and training.

Lafferty said the agreement allows "the door to open wider, so we can allow more opportunities for other communities in the North."

Lafferty added that he's keen to see more jobs go to people in the northerly Mackenzie Delta region.

Most communities in the Mazkenzie Delta are currently not designated as pick-up points for workers travelling to the mines, unlike southern N.W.T. communities such as Hay River.

"In tough times, we need to make these mines [streamlined], pulling together," said De Beers Canada vice-president Chantal Lavoie.

"On our pick-up points, we can save all money, therefore expanding our catchment basin at essentially no cost."

The agreement was signed Thursday after 18 months of negotiations.

Since the N.W.T. government signed its first socio-economic agreement with BHP Billiton in 1996, the three mines combined have created more than 10,000 jobs for northerners, according to a government release.

About 60 per cent of jobs in mining operations are held by northern residents, the release added.

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