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Diavik Diamonds Project The Canadian Environmental Assessment Act Comprehensive Study Report DIAVIK DIAMONDS PROJECT June 1999 The Canadian Environmental Assessment Act Comprehensive Study Report DIAVIK DIAMONDS PROJECT June 1999 Diavik Diamonds Project Comprehensive Study Report EXECUTIVE SUMMARY “The elders have instructed Diavik and the government to take care of our land, the water and the caribou”. Rachel Crapeau Yellowknives Dene First Nation March 01, 1999 Yellowknife Public Technical Sessions INTRODUCTION Diavik Diamond Mines Inc. (Diavik) and Aber Diamond Mines Ltd. have formed a joint venture to mine four diamond-bearing kimberlite pipes at Lac de Gras, located about 300 km northeast of Yellowknife, Northwest Territories (NWT). The proposed Diavik Diamonds Project is subject to federal legislation including the NWT Waters Act, the Territorial Lands Act, the Fisheries Act, the Navigable Waters Protection Act, the Explosives Act and the Canadian Environmental Assessment Act (CEAA). Diavik holds mining leases and mineral claims under the Canada Mining Regulations, which are administered through the Department of Indian Affairs and Northern Development. Responsible authorities (RAs) were determined to be the Department of Indian Affairs and Northern Development (DIAND), the Department of Fisheries and Oceans and the Department of Natural Resources Canada. The RAs, in consultation with the Government of the Northwest Territories (GNWT), federal authorities (FAs), potentially affected Aboriginal governments/organizations, communities and non-government organizations determined that the Diavik Diamonds Project would be reviewed at the comprehensive study level. This decision was based on previous experience with the BHP panel review and the description of the project provided by Diavik. A steering committee composed of Aboriginal representatives, the RAs and the GNWT was struck to provide guidance throughout the comprehensive review of this project including the public consultation process. Diavik submitted its environmental assessment report to the federal government in September 1998. This submission consisted of an environmental assessment overview, six environmental effects reports (climate and air quality, vegetation and terrain, wildlife, fish and water, heritage resources, and socio-economics), an Environmental Management System and an integrated socio-economic and environmental baseline report. The submission was based on geotechnical, environmental and socio-economic investigations, public consultation and discussions that took place between 1994 and 1998. The comprehensive study Report was subsequently prepared from Diavik’s environmental assessment submission with additional information derived from technical reviews and public consultations. Draft versions of the comprehensive study report were reviewed by the RAs, the steering committee, the Canadian Environmental Assessment Agency and a federal-territorial intergovernmental working group between March and May 1999. i Diavik Diamonds Project Comprehensive Study Report DESCRIPTION OF THE PROJECT Project Overview The proposed Diavik Diamonds Project would be situated on East Island in Lac de Gras. Project facilities would be situated on the island, with open mining pits behind water retention dikes located immediately offshore. A processed kimberlite containment facility, country rock areas, a diamond recovery plant, accommodation buildings, power generation facilities, mechanical and administration buildings and a 2,000 m airstrip would all be located on East Island. Other site development would include mine haul roads, access roads, service roads and quarry and borrow sites. The proposed Diavik Diamonds Project consists of four kimberlite pipes (A154 South, A154 North, A418 and A21) which have a combined geological resource of 37.4 million tonnes at an average grade of 3 to 4 carats per tonne. These pipes are all found beneath Lac de Gras and it is planned that temporary water retention dikes would expose these pipes for open pit and underground mining. If approved, construction on the project would commence in the year 2000, with the development of infrastructure and dredging, dike construction (including the North Inlet dike) and dewatering for the A418 and A154 open pits. After the start-up year, kimberlite would likely be mined and processed at a rate of approximately 1.3 million tonnes to an upper limit of 1.9 million tonnes per year depending on market conditions. Kimberlite processing would start in 2002, and continue until approximately 2025. Initially, the mining would be by open pit with underground mining beginning in 2014. Diavik has developed water management plans for all water at the mine site as well as waste management plans to minimize waste products. Activities related to mine closure would occur throughout the life of the mine such as site reclamation and the creation of fish habitat. It is expected that active mining would cease approximately in 2025 with final closure in 2030. Project Purpose and Need The primary purpose of the Diavik Diamonds Project would be to extract diamonds from four diamondiferous kimberlite pipes at Lac de Gras to provide an additional diamond source to international buyers and dealers. This purpose is intended to be consistent with Canada’s overall strategy of encouraging private corporations to generate national export commodities and tax revenues from natural resource development. The national objective is to encourage sustainable resource development for the benefits of increased employment, contracting opportunities and expanded services at the local, regional and national levels without causing significant adverse effects on the environment. ii Diavik Diamonds Project Comprehensive Study Report Alternatives As required under the Canadian Environmental Assessment Act, alternative means of carrying out the proposed project were considered by Diavik and by the RAs through independent analysis carried out during the technical review of the project. During the initial stages of project engineering scoping level studies were conducted to assess potential mining alternatives which included: 1) all underground mining without a dike, 2) underground mining with limited open pit mining within a dike and 3) open pit mining with limited underground mining within a dike. A comparison which included technical feasibility, economic viability and environmental effects as well as community perspectives was completed for these options. The preferred alternative proposed by Diavik was the third option of open pit mining with limited underground mining within a dike. The RAs concurred with this selection as the preferred mining method with the recommendation that mine plan improvements be considered by Diavik on an ongoing basis. Alternatives were also considered for the siting of major project facilities such as the processed kimberlite containment (PKC), country rock areas, accommodation buildings and diamond recovery plant areas. Finally alternatives were considered for the water management plan, water treatment technology, dike design, dike alignment and power generation. Public Consultation Diavik initiated community consultations in 1994 during its exploration phase and continued these consultations through April 1999. Consultation by the RAs has been carried out with affected Aboriginal governments/organizations, communities, and other parties following the guidance of the steering committee. A public registry has been maintained to ensure public access to records relating to the comprehensive study. Public consultation on Diavik’s environmental assessment submission was carried out between September 1998 and April 1999. Technical sessions were held between January 1999 and April 1999 in various communities. In addition, public technical sessions were held in Yellowknife from February 22 to March 5, 1999 and follow-up workshops and meetings were held to resolve outstanding issues. All meetings were recorded and summaries of the key issues raised at both Diavik meetings as well as government hosted technical meetings have been prepared and placed on the public registry. Diavik has funded a variety of traditional knowledge studies and has used community information gathered during the public consultation process to guide the development of environmental baseline studies, the development of the Environmental Management System, mitigation measures and the development of monitoring programs. iii Diavik Diamonds Project Comprehensive Study Report DESCRIPTION OF THE ENVIRONMENT Climate The climate in the proposed project area is representative of Arctic tundra with a continental polar climate. The area experiences long, cold winters, relatively short summers and only a moderate amount of precipitation. Vegetation and Terrain The predominant vegetation type/land cover type within the proposed project area is heath tundra, heath tundra with boulders and tussock/hummocks. Glacial till is the dominant surficial material and soils are of the Cryosolic order where permafrost occurs within 1 to 2 m of ground surface. Wildlife The area surrounding the proposed project supports an array of wildlife species including eighty-four bird species and sixteen mammal species. This region is used by the Bathurst caribou herd during spring migration to their calving grounds further north, and during the summer return and fall migration movements. Up to 100,000 caribou have been observed in the regional area during the spring migration. Wolves and an estimated thirty
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