DRAFT

VICTOR DIAMOND MINE FOLLOW UP PROGRAM AGREEMENT

EIGHTH ANNUAL REPORT 2014 REPORTING PERIOD

Submitted to:

De Beers Canada Inc. 900-250 Ferrand Drive Toronto, Ontario M3C 3G8

Submitted by:

Amec Foster Wheeler Environment & Infrastructure a Division of Amec Foster Wheeler Americas Limited 160 Traders Blvd., Suite 110 Mississauga, Ontario L4Z 3K7

September 2015 TC140504

Victor Diamond Mine Follow Up Program Agreement Eighth Annual Report – 2014 Reporting Period September 2015 DRAFT

EXECUTIVE SUMMARY

This is the eighth annual Follow Up Program Agreement (FUPA) report for Victor Diamond Mine (VDM) covering the 2014 reporting period. FUPA is a program designed to monitor and verify the accuracy of federal Environmental Assessment (EA) predictions relating to the VDM, and to determine the effectiveness of applied environmental protection measures. The federal EA for the VDM was carried out pursuant to the Canadian Environmental Assessment Act (CEAA) at the Comprehensive Study level of investigation, as documented in the Comprehensive Study Report (CSR) dated June 2005. The First Annual FUPA Report, tabled in draft in March 2009, covered the 2006 and 2007 construction period. Subsequent annual FUPA reports have covered the ongoing mine operations phase for the years 2008 through 2014.

Parties to the FUPA are Her Majesty the Queen in Right of Canada (the Government of Canada), De Beers, and the Attawapiskat First Nation (AttFN). Participants, or potential participants, to the Agreement include the Province of Ontario, the Fort Albany First Nation (FAFN), the Kashechewan First Nation (KFN), the Moose Cree First Nation (MCFN), the Taykwa Tagamou Nation (TTN), the MoCreebec Council of the Cree Nation, the Town of Moosonee, and the Mushkegowuk Council. FUPA allows for Participants, or potential participants, to become Parties to the Agreement. To date, no additional Parties have been added to the Agreement.

The VDM encompasses the exploration, planning, design, permitting, construction, operation, and eventual closure and reclamation of an open pit diamond mine and associated processing plant in the James Bay Lowlands. The mine site is located approximately 90 km west of the First Nation (FN) community of Attawapiskat and is accessible seasonally by winter road and year-round by air.

The principles of the FUPA involve the tenets of: open and honest participation; respect for the environment and traditional activities of the local FNs; full consideration of scientific and traditional knowledge; sustainable development; continual improvement; application of the precautionary principle; and the use of adaptive management strategies (AMS) and programs.

Environmental aspects to be included in the FUPA program include:

 Atmospheric systems;  Surface water systems;  Groundwater systems;  Terrestrial systems;  Malfunctions and accidents;  Traditional pursuits, values and skills;  Heritage resources;  Environmental health; and  Business, employment and training.

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A major commitment of the FUPA is the preparation of an Annual Report. The purpose of the Annual Report is to summarize and interpret activities and monitoring results from the previous year, and to compare these results and longer-term data trends to expected conditions determined through the EA; and to make the data and interpretations available for review by the Parties and Participants. The Annual Report is to include, but is not restricted to, information on the following aspects:

 Summary of monitoring results and trends;  Summary of studies and research;  Summary of compliance reports;  Rolling summary of mine operational activities;  Actions taken or planned to address compliance problems;  Verification of the accuracy of the EA;  Determination of the effectiveness of mitigation measures;  Summary and evaluation of Adaptive Environmental Management measures;  Summary of public concerns and responses to those concerns;  Summary of new technologies investigated; and  A plain language executive summary in both English and Cree.

The central theme in all of the above is that the Annual Reports are to be written as high level summary documents. Details are made available through the various compliance and study reports on request. This Eighth Annual FUPA Report, as stated above, covers the 2014 operation phase of the mine. Year 2015 data will be reported in the Ninth Annual Report.

The report is structured into the following principal sections:

Section 1 - Introduction;

Section 2 - Summary of Mine Operations Facilities and Activities;

Section 3 - Summary of Monitoring Results and Data Trends;

Section 4 - Summary of Compliance Reports;

Section 5 - Summary of Study and Research Programs;

Section 6 - Actions Planned or Taken to Address Effects or Compliance Problems;

Section 7 - Verification of the Accuracy of the Environmental Assessment;

Section 8 - Determination of the Effectiveness of Mitigation Measures;

Section 9 - Summary and Evaluation of Adaptive Environmental Management Measures;

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Section 10 - Summary of Public Concerns and Responses to Public Concerns; and

Section 11 - Summary of New Technologies Investigated.

The introduction (Section 1) provides a general background of the VDM and to FUPA. The summary of mine operations facilities and activities in Section 2 identifies: the major components for both the mine site and its related off-site infrastructure that were in place as of the end of 2014; together with related information regarding permitting as well as business, employment and training programs associated with the mine. Permitting carried out in 2014 included a small number of permit renewals, amendments and revocations, together with four new permit applications related to waste management operations and transmission line maintenance. Business, employment and training efforts were focused mainly on the community of Attawapiskat, and to a lesser extent on the communities of the Kashechewan, Fort Albany, Taykwa Tagamou and Moose Cree First Nations. The value of contracts awarded to First Nation companies and joint ventures in the year 2014 was $67 million, which brings the cumulative total since the start of operations to $328.5 million, or $528 million since the start of construction of the VDM. These values exclude subcontractor work on the James Bay Winter Road. Actual revenue generated by the First Nation from these contracts is not known as De Beers is not privy to the Joint Venture agreement terms. Training has been a cornerstone of Aboriginal employment at the VDM, and during 2014 there was greater than 50% First Nation participation in the Victor workforce.

Section 3 is the main body of the report and provides an overview of the various monitoring programs, their results and interpretation. There was a major focus during the EA and during follow-up permitting on the potential effects of mine dewatering on area muskeg systems, the potential for increased rates of mercury release to surface waters, the discharge of chloride in well field water to the Attawapiskat River, and effects of mine disturbance on caribou. All monitoring results obtained thus far are essentially consistent with EA predictions and regulatory standards.

As of 2014:

 Muskeg systems have not been adversely affected (showing signs of drying out) as a result of mine dewatering; except for small, localized areas surrounding bedrock outcrops (bioherms) and areas where bedrock is very near surface, as predicted in the EA.

 Total and methyl mercury concentrations continue to be well below federal Canadian Environmental Quality Guidelines (CEQG) for the protection of aquatic life. Filtered methyl mercury levels in the Nayshkootayaow and Attawapiskat Rivers are at or below levels which would be of potential concern for fish eating birds and mammals such as bald eagles and otters (0.05 ng/L).

 A very minor increase in methyl mercury concentrations has generally been observed in downstream Granny Creek system waters over the period of monitoring, related to

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localized sulphate releases. This localized increase appears to have resulted in an increase in the body burden mercury concentrations of small fish (Pearl Dace) in South Granny Creek. This increase in small fish body burdens in some instances is difficult to distinguish from background concentrations, and the effects of seasonal variation. De Beers is taking steps to further investigate and mitigate this localized effect.

 The slight increase in mercury body burdens observed in North Granny Creek in previous years has decreased to background levels, indicating that the localized impact is potentially short term. Further assessment of trends will be developed as monitoring continues.

 Actual mine dewatering rates to date have been lower than predicted in the federal EA (and slightly lower than those of 2013), to the current stage of development, suggesting that the hydrogeological model was conservative.

 Mine dewatering rates and chloride concentrations in the Attawapiskat River have remained below EA predictions.

 Caribou continue to use the area around the VDM site.

In the occasional instance where monitoring results may deviate from EA predictions or regulatory standards, more detailed explanations are provided as to the circumstances of the condition.

Section 4 provides a listing of all compliance reports issued for the 2014 reporting period. The list is extensive and the general content of the various compliance reports (or letters) defines the subject matter of the reports. No attempt has been made to summarize the contents of individual compliance reports as this would yield a description of several hundred pages, which is not the intent of this document. The vast majority of these reports relate to conditions specified in provincial permits, and particularly to activities which involve the taking and discharge of water.

Section 5 summarizes study and research programs beyond those specifically required by permits. Of particular note, is the ongoing muskeg hydrogeology / hydrology study, including aspects relating to mercury dynamics, that is being undertaken jointly by a team of specialists from four Ontario universities. This is a very large, multi-year program that is designed to look at the details of potential mine dewatering effects on muskeg systems, and the associated effects on mercury forms and transport. Much of this work has been and will be published in peer- reviewed scientific journals. The ongoing caribou radio-telemetry program has continued to provide much valuable information on Woodland Caribou movements and habitat use. Radio collars were fitted to female caribou in each of 2004, 2007, 2010 and 2013 (no collars were placed in 2014).

Sections 6 through 9 provide an overview on VDM environmental performance relative to expectations defined through the EA and permitting processes, including the application and effectiveness of mitigation measures designed to protect the environment.

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Section 10 provides a summary of public concerns and response to those concerns which have been documented since completion of the federal EA. Detailed comments on the Seventh Annual FUPA Report, from various parties, have been addressed under separate cover.

Section 11 considers new technologies investigated during the reporting period. During the 2014 monitoring period, no new technologies were considered for use or investigated.

Page v                                                                                                                                                                             (0.5 ng/L)                                                                        Victor Diamond Mine Follow Up Program Agreement Eighth Annual Report – 2014 Reporting Period September 2015 DRAFT

TABLE OF CONTENTS Page

EXECUTIVE SUMMARY ...... i

1.0 INTRODUCTION ...... 1 1.1 FUPA Framework ...... 1 1.2 FUPA Program Content ...... 2

2.0 SUMMARY OF MINE OPERATIONS FACILITIES AND ACTIVITIES ...... 4 2.1 Mine Site ...... 4 2.2 Off-site Transmission Lines ...... 6 2.3 Winter Roads ...... 6 2.4 Permitting ...... 6 2.5 Environmental Monitoring Systems and Programs ...... 7 2.6 Business, Employment and Training ...... 7 2.7 Closure Plan Implementation ...... 8

3.0 SUMMARY OF MONITORING RESULTS AND DATA TRENDS ...... 10 3.1 Atmospheric Systems ...... 10 3.1.1 Point Source Emissions ...... 10 3.1.2 Point of Impingement Air Quality ...... 12 3.1.3 Greenhouse Gas Emissions ...... 15 3.1.4 Noise ...... 16 3.1.5 Artificial Light ...... 17 3.1.6 Climate...... 17 3.2 Surface Water Systems ...... 18 3.2.1 Point Source Discharges ...... 18 3.2.2 Stockpile Runoff and General Site Drainage ...... 23 3.2.3 Receiving Water Quality ...... 25 3.2.4 Creek and River Flows ...... 28 3.2.5 Fish Habitat...... 31 3.2.6 Benthos and Fisheries Resources ...... 32 3.3 Groundwater Systems ...... 39 3.3.1 Groundwater Pumping Rates ...... 39 3.3.2 Groundwater Quality ...... 40 3.4 Terrestrial Systems ...... 40 3.4.1 Wetlands ...... 40 3.4.2 Caribou and Moose ...... 45 3.4.3 Large Predators and Furbearers ...... 49 3.4.4 Migratory Birds...... 50 3.5 Malfunctions and Accidents ...... 51 3.5.1 Spill Prevention, Protection and Response ...... 51 3.5.2 Fire Prevention, Protection and Response ...... 53

TC140504 Page vi Victor Diamond Mine Follow Up Program Agreement Eighth Annual Report – 2014 Reporting Period September 2015 DRAFT

3.5.3 Slope Stability and Stockpiles ...... 54 3.5.4 Karst Voids ...... 55 3.6 Traditional Pursuits, Values and Skills ...... 56 3.6.1 Fishing, Hunting and Trapping – AttFN Lands ...... 56 3.6.2 Fish and Wildlife Availability – AttFN Lands ...... 57 3.6.3 Fishing, Hunting and Trapping – Regional FN Lands ...... 57 3.6.4 Fish and Wildlife Availability – Regional FN Lands ...... 57 3.7 Heritage Resources ...... 57 3.7.1 Attawapiskat FN Lands ...... 57 3.7.2 Transmission Line – Otter Rapids to Kashechewan ...... 57 3.8 Environmental Health ...... 58 3.8.1 Accidents Along Winter Roads ...... 58 3.8.2 Drinking Water and Country Foods ...... 58 3.9 Business, Employment and Training ...... 58 3.9.1 Business ...... 58 3.9.2 Employment ...... 58 3.9.3 Training ...... 59

4.0 SUMMARY OF COMPLIANCE REPORTS ...... 60 4.1 Certificates of Approval - Air Emissions (MOECC) ...... 60 4.2 Permits to Take Water (MOECC) ...... 60 4.2.1 Pit Perimeter Well System ...... 60 4.2.2 Open Pit Sump ...... 61 4.2.3 Other Well Systems ...... 62 4.2.4 Winter Roads ...... 62 4.2.5 Other ...... 62 4.3 Certificates of Approval – Wastewater Discharge (MOECC) ...... 62 4.3.1 Fen Systems ...... 62 4.3.2 Processed Kimberlite Containment Facility – Granny Creek ...... 62 4.3.3 Well Field – Attawapiskat River ...... 63 4.3.4 Sewage Treatment Plant ...... 63 4.3.5 Landfill and Bioremediation Facility ...... 63 4.3.6 Other ...... 63 4.4 Aggregate Permits (MNRF) ...... 64 4.5 Federal Permits and Authorizations ...... 64

5.0 SUMMARY OF STUDY AND RESEARCH PROGRAMS ...... 65 5.1 Groundwater Studies ...... 65 5.1.1 Pumping Tests ...... 65 5.1.2 Modelling ...... 65 5.2 Muskeg Systems ...... 66 5.2.1 Hydrogeology / Hydrology ...... 66 5.2.2 Climate Change in Muskeg Environments ...... 74 5.2.3 Water Quality ...... 75

TC140504 Page vii Victor Diamond Mine Follow Up Program Agreement Eighth Annual Report – 2014 Reporting Period September 2015 DRAFT

5.2.4 Plant Communities...... 75 5.2.5 Breeding Bird Surveys ...... 75 5.3 Aquatic Ecosystem ...... 75 5.4 Caribou ...... 76 5.4.1 Aerial Surveys...... 76 5.4.2 Radio Telemetry Surveys ...... 76 5.5 Mercury ...... 76 5.5.1 Mercury Availability and Transport Mechanisms ...... 76 5.5.2 Potential for Enhanced Mercury Release ...... 77 5.5.3 Receiving Water Conditions ...... 77 5.5.4 Potential for Bio-magnification in Fish ...... 77 5.6 Traditional Pursuits, Values and Skills ...... 77 5.6.1 Traditional Ecological Knowledge ...... 77 5.6.2 Hunter Surveys ...... 77 5.6.3 Other Initiatives ...... 77 5.7 List of Victor Mine Related Papers and Publications ...... 77

6.0 ACTIONS PLANNED OR TAKEN TO ADDRESS EFFECTS OR COMPLIANCE PROBLEMS ...... 80 6.1 Atmospheric Systems ...... 80 6.2 Surface Water Systems ...... 80 6.3 Groundwater Systems ...... 81 6.4 Terrestrial Systems ...... 81 6.5 Malfunctions and Accidents ...... 82 6.6 Traditional Pursuits, Values and Skills ...... 82 6.7 Heritage Resources ...... 82 6.8 Environmental Health ...... 82 6.9 Business, Employment and Training ...... 82

7.0 VERIFICATION OF THE ACCURACY OF THE ENVIRONMENTAL ASSESSMENT ... 83 7.1 Atmospheric Systems ...... 83 7.2 Surface Water Systems ...... 84 7.3 Groundwater Systems ...... 86 7.4 Terrestrial Systems ...... 86 7.5 Malfunctions and Accidents ...... 88 7.6 Traditional Pursuits, Values and Skills ...... 89 7.7 Heritage Resources ...... 90 7.8 Environmental Health ...... 90 7.9 Business, Employment and Training ...... 90

8.0 DETERMINATION OF THE EFFECTIVENESS OF MITIGATION MEASURES ...... 91 8.1 Atmospheric Systems ...... 91 8.2 Surface Water Systems ...... 91 8.3 Groundwater Systems ...... 92

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8.4 Terrestrial Systems ...... 92 8.5 Malfunctions and Accidents ...... 93 8.6 Traditional pursuits, Values and Skills ...... 93 8.7 Heritage Resources ...... 94 8.8 Environmental Health ...... 94 8.9 Business, Employment and Training ...... 95

9.0 SUMMARY AND EVALUATION OF ADAPTIVE ENVIRONMENTAL MANAGEMENT MEASURES ...... 96 9.1 Atmospheric Systems ...... 96 9.2 Surface Water Systems ...... 96 9.3 Groundwater Systems ...... 96 9.4 Terrestrial Systems ...... 96 9.5 Malfunctions and Accidents ...... 96 9.6 Traditional pursuits, Values and Skills ...... 96 9.7 Heritage Resources ...... 97 9.8 Environmental Health ...... 97 9.9 Business, Employment and Training ...... 97

10.0 SUMMARY OF PUBLIC CONCERNS AND RESPONSES TO PUBLIC CONCERNS .. 98 10.1 Atmospheric Systems ...... 98 10.2 Surface Water Systems ...... 98 10.3 Groundwater Systems ...... 100 10.4 Terrestrial Systems ...... 100 10.5 Malfunctions and Accidents ...... 101 10.6 Traditional Pursuits, Values and Skills ...... 101 10.7 Heritage Resources ...... 102 10.8 Environmental Health ...... 102 10.9 Business, Employment and Training ...... 102

11.0 SUMMARY OF NEW TECHNOLOGIES INVESTIGATED ...... 104

12.0 REFERENCES ...... 105

LIST OF APPENDICES

A List of Acronyms

TC140504 Page ix Victor Diamond Mine Follow Up Program Agreement Eighth Annual Report – 2014 Reporting Period September 2015 DRAFT

LIST OF TABLES Page

Table 1: Employment Statistics 2014 Summary ...... 109 Table 2: In-stack Limits and Annual Test Results for 2014 as Defined in Table 1 of Certificate of Approval ...... 109 Table 3: Incinerator Point of Impingement Emissions Summary (2014) ...... 110 Table 4: Total Dustfall Monitoring (2014) ...... 110 Table 5: Snow Sampling (2008 - 2014) ...... 111 Table 6: Hi-Vol and Lo-Vol Ambient Air Sample Results (2014) ...... 112 Table 7: Passive SO2 and NO2 De Beers Victor Mine - 2014 ...... 113 Table 8: Northeast Fen Compliance Performance (2014) ...... 114 Table 9: Total Mercury – Fens (Unfiltered) ...... 115 Table 10: Total Mercury – Fens (Filtered) ...... 116 Table 11: Methyl Mercury – Fens (Unfiltered) ...... 117 Table 12: Methyl Mercury – Fens (Filtered) ...... 118 Table 13: Prototype Well and Well Field Discharge Compliance Performance (2006 – 2014) ...... 119 Table 14a: Mercury Content in Well Field Discharge ...... 120 Table 14b: Mercury Content in Well Field Discharge Graphical Presentation ...... 121 Table 15: Sewage Treatment Plant Compliance Performance (2014) ...... 122 Table 16a: Total Mercury – Ribbed Fen Surface Waters (Sampled as Peat Pore Water 2007 - 2014) (Filtered) ...... 123 Table 16b: Methyl Mercury – Ribbed Fen Surface Waters (Sampled as Peat Pore Water 2007 - 2014) (Filtered) ...... 124 Table 17: Muskeg System Ribbed Fen General Chemistry Results – All Years ...... 125 Table 18: Receiving Water Quality (2014) ...... 126 Table 19: Total Mercury – Granny Creek (Unfiltered) ...... 130 Table 20: Total Mercury – Granny Creek (Filtered) ...... 131 Table 21: Methyl Mercury – South Granny Creek ...... 132 Table 22: Methyl Mercury – North Granny Creek ...... 133 Table 23a: Total Mercury – Nayshkootayaow and Attawapiskat Rivers (Unfiltered) ...... 134 Table 23b: Total Mercury – Nayshkootayaow and Attawapiskat Rivers (Filtered) ...... 135 Table 24a: Methyl Mercury – Nayshkootayaow and Attawapiskat Rivers (Unfiltered) ...... 136 Table 24b: Methyl Mercury – Nayshkootayaow and Attawapiskat Rivers (Filtered) ...... 137 Table 25: Granny Creek Measured Average Annual and Monthly Flows – Station 04FC011 ...... 138 Table 26: Tributary 5A Measured Average Annual and Monthly Flows – Station TRIB-5A . 138 Table 27: Nayshkootayaow River Measured Average Annual and Monthly Flows – Station 04FC010 ...... 139 Table 28: Summary of Monitoring Wells and End Formations ...... 139 Table 29: Summary of Victor Site Area Monitoring Programs Involving Muskeg Systems .. 140 Table 30: Elevation Monitoring Stations – Ground Settlement to the End of 2014 ...... 141 Table 31: 2012 Breeding Bird Survey Results ...... 142

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LIST OF FIGURES Page

Figure 1 Project Location ...... 143 Figure 2 General Site Plan ...... 144 Figure 3 Air Quality and Noise Monitoring Sites around Victor Mine ...... 145 Figure 4 Dustfall Measurements at Victor Diamond Mine 2006 - 2014 ...... 146 Figure 5 Ratio of NEF / HgCON – Methyl Mercury (filtered) July / October Combined Data ...... 147 Figure 6 Pumping Rates and Chloride Concentration at VDW Wells ...... 148 Figure 7a Interpreted Drawdown Contours (m) in Upper Bedrock Aquifer (2013 and 2014 Data) ...... 149 Figure 7b Distal Monitoring Well Locations ...... 150 Figure 8 Surface Water Monitoring Stations ...... 151 Figure 9 Nayshkootayaow and Attawapiskat River Total and Methyl Mercury Trends (filtered values) ...... 152 Figure 10 Water Flow and Level Monitoring Stations - Site Locations ...... 153 Figure 11 Granny Creek Flow Station 04FC011 – Flows for 2006 to 2014 ...... 154 Figure 12 North Granny Creek Water Level Station Data (2007-2014) ...... 155 Figure 13 South Granny Creek Water Level Station Data (2007-2014) ...... 156 Figure 14 Nayshkootayaow River and Granny Creek Flow Supplementation Systems ...... 157 Figure 15 Nayshkootayaow River Flow Station 04FC010 – Flows for 2006 - 2014 ...... 158 Figure 16 Prorated Attawapiskat River Flows Calculated for the Victor Site (prorated from Station 04FC001, Attawapiskat River below Muketei River) ...... 159 Figure 17 North granny Creek Exposure Area and Reference Area Sampling Stations ...... 160 Figure 18 Total Mercury Body Burden Data General Additive Model for Pearl Dace – Granny Creeks and Tributary 5A ...... 161 Figure 20: Fish Sampling Areas 2007 - 2014 ...... 163 Figure 21 Least Square Plots of Total Mercury Body Burden Data for Trout Perch – Attawapiskat River ...... 164 Figure 22 Total Mercury Body Burden Data General Additive Model for Trout Perch – Attawapiskat River ...... 165 Figure 23 Comparison of Total Mercury in YOY Trout Perch – Attawapiskat River ...... 166 Figure 24 Comparison of Total Mercury in Age 1+ Trout Perch – Attawapiskat River ...... 167 Figure 25 Infrastructure and Monitoring Near the Pit ...... 168 Figure 26 Groundwater Elevations in Pit Perimeter Monitoring Wells ...... 169 Figure 27 Groundwater Elevations at Muskeg Monitoring Site MS-8 ...... 170 Figure 28 Muskeg Monitoring Cluster Locations and 2006 IKONOS Satellite Image Coverage ...... 171 Figure 29 2014 Pldeiades Satellite Imagery Coverage and Muskeg Monitoring Locations.. 172 Figure 30 Typical Muskeg Monitoring Program Cluster Arrangement (MS-7) ...... 173 Figure 31 Muskeg Monitoring MS-8 ...... 174 Figure 32 Aerial Survey Flight Line Transects ...... 175

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Figure 33 Average of all Aerial Survey Density Surfaces of Caribou Sightings and Tracks (December 2005 – March 2014) ...... 176 Figure 34 Average of All Aerial Survey Density Surfaces of Moose Sightings and Tracks (December 2005 – March 2014) ...... 177 Figure 35 Caribou Calving Areas Combined and Probable Parturition Locations for all Sets of Collars (2004 – 2014) ...... 178 Figure 36 Caribou Overwintering Areas for All Sets of Collars (2004 – 2014) ...... 179 Figure 37 Average of all Aerial Survey Density Surfaces of Wolf Sightings and Tracks (2005 – 2014) ...... 180 Figure 38 Caribou Overall Home Range Areas ...... 181

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1.0 INTRODUCTION

This is the Eighth Annual Follow Up Program Agreement (FUPA) report for the Victor Diamond Mine (VDM) covering the 2014 calendar year reporting period. The VDM (also referred to herein as the “Mine”) encompasses the exploration, planning, design, permitting, construction, operation, and eventual closure and reclamation of the open pit diamond mine and associated processing plant in the James Bay Lowlands. The mine site is located approximately 90 km west of the FN community of Attawapiskat and is accessible seasonally by winter road and year-round by air (Figure 1). A general site plan is shown on Figure 2.

Notable milestones in the development of the VDM for reference purposes include:

 Commencement of advanced exploration in the winter of 2000;

 Engineering studies for the mine commenced in 2001 and were largely completed by the end of 2005, with engineering for some mine components continuing into the construction phase;

 Initiation of the federal Environmental Assessment (EA) process in August 2003 and completion in August 2005. Environmental baseline studies in support of the federal EA and provincial permitting were initiated in 1999;

 Completion of provincial class EAs relating to electricity projects, and to resource stewardship and facility development projects.

 Provincial and federal permits to support mine construction and operation were obtained during the period of 2005 through 2008;

 Commencement of mine construction in January 2006 with construction completion during the fourth quarter of 2007;

 Commencement of process plant commissioning during the fourth quarter of 2007 and continued into 2008, with commercial production starting officially on August 1, 2008.

1.1 FUPA Framework

The VDM FUPA program is designed to monitor and verify the accuracy of federal EA predictions, to determine the effectiveness of applied environmental protection measures, and the need, if any, for further protective measures. The federal EA for the VDM was carried out pursuant to the Canadian Environmental Assessment Act (CEAA) at the Comprehensive Study level of investigation, as documented in the Comprehensive study Report (CSR) dated June 2005. The FUPA also provides for regular communication and consensus building between the Government of Canada, the Government of Ontario, De Beers, the local First Nations (FN), and the Town of Moosonee; and a mechanism for dealing with unplanned events.

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The principals of the FUPA involve the tenets of:

 Open and honest participation;  Respect for the environment and traditional activities of the local FNs;  Full consideration of scientific and traditional knowledge;  Sustainable development;  Continual improvement; application of the precautionary principle; and  The use of AMS and programs.

The Parties or signatories to the FUPA are: Her Majesty the Queen in Right of Canada (the Government of Canada), De Beers, and the Attawapiskat First Nation (AttFN). Participants, or potential participants, to the agreement include the: Province of Ontario, Fort Albany First Nation (FAFN), Kashechewan First Nation (KFN), Moose Cree First Nation (MCFN), Taykwa Tagamou Nation (TTN), MoCreebec Council of the Cree Nation, Town of Moosonee, and Mushkegowuk Council. FUPA allows for Participants, or potential participants, to become Parties to the Agreement. As of the date of preparation of this report, FUPA has been signed by the AttFN and De Beers but still remains unsigned by the federal government, although it has been agreed to in all of its details by the Parties.

1.2 FUPA Program Content

As part of the FUPA, the Parties committed to meeting at least twice per year (although to date this has not happened), and to develop working groups to address specific environmental aspects, most notably: wetlands; Woodland Caribou; traditional pursuits, values and skills; and eventual mine closure. Without the FUPA being formally signed by the federal government, it has not yet been possible to obtain representation for these working groups. De Beers however, continues to meet regularly with the AttFN Environmental Management Committee (EMC) where all matters of environmental interest, including FUPA, are discussed. There has been some dialogue with Environment Canada based on their reviews of previous annual reports.

Environmental aspects to be included in the FUPA program include:

 Atmospheric systems;  Surface water systems;  Groundwater systems;  Terrestrial systems;  Malfunctions and accidents;  Traditional pursuits, values and skills;  Heritage resources;  Environmental health; and  Business, employment and training.

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A major commitment of the FUPA is the preparation of an Annual Report. The purpose of the Annual Report is to summarize and interpret, activities and monitoring results from the previous year, as well as to provide an analysis of any developing long-term trends linked to earlier data, for review by the Parties and Participants. The Annual Report is to include, but is not restricted to, information on the following aspects:

 Summary of monitoring results and trends;  Summary of studies and research;  Summary of compliance reports;  Rolling summary of mine operational activities;  Actions taken or planned to address compliance problems;  Verification of the accuracy of the EA;  Determination of the effectiveness of mitigation measures;  Summary and evaluation of Adaptive Environmental Management measures;  Summary of public concerns and responses to those concerns;  Summary of new technologies investigated; and  A plain language executive summary for the final report in both English and Cree.

The overall format and structure of this FUPA report purposefully follows that developed for the previous Annual Reports, and is designed to provide the reader with an easy reference to the bulleted lists shown above. The central theme in all of the above is that the Annual Reports are to be written as high level, summary documents. Where appropriate, historical trends have been noted and historical data are summarized for information of the readers. If the Parties or Participants wish to view further details, these are to be made available through the various compliance and study reports.

The First Annual FUPA Report, tabled in draft in March 2009 (AMEC 2009a), addressed the 2006 and 2007 construction period. Subsequent annual FUPA reports have covered the ongoing mine operations phase for the years 2008 through 2014. This Eighth Annual Report addresses the 2014 calendar year mine operations phase.

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2.0 SUMMARY OF MINE OPERATIONS FACILITIES AND ACTIVITIES

2.1 Mine Site

Construction of the mine was essentially complete by the end of 2007 and the first kimberlite was processed in December of that year to commission the processing plant. Established site facilities as of the end of 2014 included the following (Figure 2):

 Open pit mine for kimberlite ore extraction;

 Muskeg, mine rock and overburden stockpiles for the disposal of mine pit materials (partially completed);

 Well field, mine dewatering system, including the pipeline discharge arrangement to the Attawapiskat River and associated water discharge facilities;

 Open Pit Phase 1 Mine Water Settling Pond, and associated Northeast Fen (NEF) water treatment system;

 Mill building, crusher building, ancillary buildings, and electrical substation;

 Fine Processed Kimberlite Containment (PKC) facility and water treatment facility (formerly the Central Quarry [CQ]), including the completion of all Cell 1 dam raises (4) of the Phase 1 PKC storage and water treatment facility operations, and construction of the initial raise of the Cell 2 containment dykes;

 Development of coarse PK and low grade ore stockpiles (partially completed);

 Site road network, permanent airstrip, and freight yard;

 Permanent 224 person operations camp and recreational complex (with some construction-phase dormitories retained for contractors and visitors);

 Explosives manufacturing and storage facilities;

 Potable water and sewage treatment facilities, including a potable water supply well;

 Fuel tank farm;

 Standby emergency power generators;

 On site power distribution systems;

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 Waste management systems – incinerator, bioremediation area and non-hazardous waste landfill;

 Aggregate pits (a sand pit located approximately 16 km west of the mine site), and the South Quarry (SQ) limestone quarry south of the mine open pit – neither in operation but retained for contingency purposes in 2014 along with the North Aggregate Pit (which has been approved but is not developed);

 A regional network of groundwater monitoring wells and river flow monitoring stations;

 Attawapiskat River water intake and discharge facilities and associated water lines, to supply water for mill processing, other industrial uses and potable water, as well as water for creek and river flow supplementation;

 South Granny Creek diversion;

 Nayshkootayaow River flow supplementation water supply system; and

 Granny Creek flow supplementation system.

Mine site activities carried out during 2014 consisted of:

 Continued development of the open pit and associated ore extraction;

 Open pit dewatering;

 Kimberlite ore processing and the discharge / disposal of processing wastes (fine and coarse PK);

 Development of containment dikes forming Cell 2 of the PKC facility (completed in the fall of 2014);

 Ongoing stockpiling of open pit wastes (limestone waste rock removal);

 Transport operations (air, winter road and on-site all-season roads);

 General site activities related to camp operations including potable water supply and domestic sewage treatment;

 Water line systems operations associated with open pit dewatering, ore processing, potable water supply, and creek and river flow supplementation

 Ongoing waste management; and

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 Progressive reclamation of sections of the perimeter berms of Cell 1 of the PKC facility.

By the end of 2014, the open pit maximum depth, of approximately 140 m below ground surface in the eastern kimberlite pipe remained unchanged from 2013, while the western kimberlite open pipe / pit segment was developed to a maximum depth of approximately 95 m. The surface area (footprint) of the open pit remained at approximately 86 ha. The total quantity of kimberlite ore processed in 2014 was 3.2 million tonnes, at an average mill processing rate of 8,963 tonnes per day (355 days). Mine dewatering was carried out at rates varying from about 9,455 to 90,830 m3/d, with the average dewatering rate over the year being 79,484 m3/d. Overall, combined dewatering well pumping rates were approximately three percent lower in 2014 than in 2013.

The major construction activities undertaken in 2014 were limited to the construction of the initial lift for FPK Cell #2 and expansion of the mine rock and coarse PK stockpiles.

2.2 Off-site Transmission Lines

No off-site transmission line installation work was undertaken in 2014. All off-site transmission line installation work was completed in 2009. Maintenance of portions of the Otter Rapids to Moosonee transmission line was undertaken in 2014, to remove hazard trees and to complete minor upgrades to the line before it is transferred to Hydro One Networks Incorporated.

2.3 Winter Roads

Off-site winter road activities carried out during 2014 included the following:

 Annual re-establishment and maintenance of the James Bay Coastal Winter Road by the Kimesskanemenow Corporation;

 Annual re-establishment of the South Winter Road from Attawapiskat to the VDM site; and

 Annual re-establishment of the James Bay Winter Road Extension, and the Moosonee transfer station and truck staging area, to facilitate the off-loading, storage and transfer of materials to and from the Ontario Northland Railway system and the James Bay Winter Road truck carriers.

The winter road network for the mine site was constructed, maintained and managed as described in the CSR.

2.4 Permitting

The major environmental permitting to allow for mine site construction, operation and servicing, was completed by 2008. Permitting carried out during 2014 included:

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 Renewal of Permit to Take Water (PTTW) #1810-99FHAD for Well Field Dewatering (expired March 31, 2014). A short term renewal was granted under PTTW #4767-9HKJ38 that expired August 2014.

 Renewal of PTTW #4767-9HKJ38 for Well Field Dewatering (expired August 2014). A short term renewal was granted under PTTW #6342-9NEJVH that expires August 30, 2015.

 Renewal of PTTW #8752-9E5SAY for Well Drilling (expired March 31, 2014). A short term renewal was granted under PTTW #3143-9HJTC4 that expired August 2014.

 Renewal of PTTW #3143-9HJTC4 for Well Drilling (expired August 2014). A short term renewal was granted under PTTW #6381-9NEKKS that expires August 30, 2015.

 Application (December 2013) for transmission line corridor maintenance. Minor right-of- way clearing / maintenance, removal of hazardous trees, and minor transmission line upgrades for the Otter Rapids to Moosonee transmission line. Approvals were granted (Forest Resource Licenses 552764 and 552765, issued January 27, 2014; Work Permit MO-13-008 issued January 31, 2014; Ministry of Natural Resources and Forestry (MNRF) Letter of Authorization (LOA) issued January 31; and Ontario Parks LOA, issued January 23).

 Application (October 22, 2014) for an Environmental Compliance Approval for a Demolition Landfill. The landfill is proposed to accept inert, non-putrescible demolition wastes at VDM closure, consistent with the CSR.

 Application (January 13, 2014) for an Environmental Compliance Approval for a Use of Biosolids as Part of Progressive Reclamation at the Victor Diamond Mine.

 Victor Diamond Mine Closure Plan, Amendment #3 (filed December 18, 2014).

2.5 Environmental Monitoring Systems and Programs

Environmental monitoring systems and programs that were either continued into the current reporting period (2014) from prior years, or established and operated during 2014, are described in Section 3.

2.6 Business, Employment and Training

Business, employment and training efforts were focused primarily on the community of Attawapiskat, and to a lesser extent on TTN, KFN, FAFN and MCFN. The value of contracts awarded to FN companies and joint ventures in the year 2014 was $67 million bringing the cumulative total since the start of VDM operations to $328.5 million, or $528 million since the start of construction. The above values exclude subcontractor work on the James Bay Winter Road in

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2014. Actual revenue generated by the various FN from these contracts is not known as De Beers is not privy to the Joint Venture agreement terms.

Employment of local residents has to date been very successful as shown in Table 1. The reader should also refer to Section 3.9.2 for further details on business, employment and training.

The need for training and academic upgrading continued into 2014 to ensure FN employment participation in the Mine. VDM has developed a formal training program, the Victor Training Pipeline that offers a minimum of 20 training positions each year dedicated to the communities with whom De Beers has signed Impact Benefit Agreements (IBAs). The Training Pipeline commenced in 2012. Extensive training continued in 2014 and on average 37 FN members were employed as trainees in various positions. Prior training initiatives are documented in earlier annual FUPA Reports.

In addition, the VDM offered many other on-the-job training positions. All training programs contained a job readiness component to prepare the individual for employment at the Mine and elsewhere. Various training sessions including mandatory training, such as cardio pulmonary resuscitation. Other capacity development initiatives like financial management are offered in the community of Attawapiskat at the training facility.

2.7 Closure Plan Implementation

In 2013, a contract was negotiated with Laurentian University to undertake two undergraduate theses on an existing vegetation plot at the south overburden stockpile facility. This work has been renewed / extended and expected to continue for several years. In addition, longer term plots were started at the Mine Rock Stockpile and PKC. The following are the recent publications and/or undergraduate theses arising from previous research agreements with this university:

 Jennifer Button – Creating a Growing Matrix to support Nitrogen Fixing Plants Using Kimberlite Tailings from the De Beers Victor Diamond Mine, April 2012 (Undergraduate thesis).

 Daniel Campbell – The Development of Mine Revegetation Protocols for the Hudson Bay Lowland, Canada (Conference paper, 2013).

 Daniel Campbell and Jaimee Bergeron – Natural Revegetation of Winter Roads on Peatlands in the Hudson Bay Lowland, (Arctic, Antarctic, and Alpine Research, Vol 44, No. 2, 2012 pp. 155-163).

 Daniel Campbell and Angie Corson – Testing Protocols to Restore Disturbed Sphagnum- dominated Peatlands in the Hudson Bay Lowland (Official Scholarly Journal of the Society of Wetland Scientists Volume 33, Number 2 pages 291-299, 2013).

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 Brittany Rantala-Sykes – Growth and Restoration Potential of Five Nitrogen Fixing Species on Soil Amendments of Waste Rock and Materials from Victor Mine, April 2012 (Undergraduate thesis).

 Melissa Lefrancois – Optimum Fertilization of Phosphorus to support Plant Growth within the Waste Material Peat Mixtures at De Beers Victor Diamond Mine, Ontario April 2014. Research undertaken in 2013 and final report written in 2013. (Undergraduate thesis).

 Andrea Hanson – The effects of Fertilization and Mulch on the Reclamation of Peat and Overburden Mixes at the De Beers Victor Diamond Mine, Ontario April 2014. Research undertaken in 2013 and final report written in 2013. (Undergraduate thesis).

 Daniel Campbell and Angie Corson – Can Mulch and Fertilizer Alone Rehabilitate Surface- disturbed Subarctic Peatlands, Ecological Restoration Vol. 32, No. 2, 2014 pp 153-160.

 Conference Presentation - Campbell, D., Corson, A., & Bergeron, J. 2014. Rehabilitation of peatlands in the Hudson Bay Lowland after winter road disturbances. 20th Symposium of the Peatland Ecology Research Group, Québec City, QC.

Amendment #2 to the VDM Closure Plan was deferred from 2009 until 2010 (submitted June 2010). This was filed by the Ministry of Northern Development, Mines and Forestry on May 9, 2011. Through the updated cost estimates in that plan, the financial security for mine closure was increased to $47.3 million from the previous value of $42.9 million. However, through updated modeling based on observed groundwater response to the mine dewatering operation, it was possible to reduce the predicted duration of active post-operational mine closure from five years to three years. An administrative compilation of all the closure plan revisions to date was subsequently prepared and distributed to interested parties early in 2012.

Amendment #3 to the VDM Closure Plan was submitted in September 2014, and was filed by the Ministry of Northern Development and Mines (MNDM) on December 18, 2014. Through the updated cost estimates in that plan, the financial security for mine closure was increased to $53.2 million from the previous value of $47.3 million.

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3.0 SUMMARY OF MONITORING RESULTS AND DATA TRENDS

3.1 Atmospheric Systems

3.1.1 Point Source Emissions

VDM point source air emissions are limited to those generated by the incinerator. An incinerator has been used at the VDM due to its extreme remote location without all-season access, and because the wet ground conditions were not suited to the development of a conventional landfill. A source separation program is used for operation of the incinerator to exclude those wastes such as batteries and electronics which might contribute to elevated parameters of concern.

Continuous monitoring and stack sampling results are summarized below.

3.1.1.1 Continuous Emission Monitoring – Incinerator

Certificate of Approval (C. of A., Air) #4556-6LULPN, dated March 9, 2006 provides for Continuous Emission Monitoring (CEM) systems for the solid waste incinerator to measure total hydrocarbons (THC), residual oxygen, carbon monoxide, sulphur dioxide, nitrogen oxides and combustion temperatures. The CEM system monitors are equipped with continuous recording devices, and an operations manual was in place to define acceptable ranges for equipment operation relative to CEM system monitoring.

The function of the CEM systems is to ensure that the incinerator is operated in a manner which provides optimal combustion, so as to reduce emissions to low levels. There are no specific reporting requirements for CEM systems operation, but CEM operating data are to be retained on site for Ministry of the Environment and Climate Change (MOECC) inspection, or other data requests.

CEM system equipment was installed and operational as of August 2006, and was subsequently optimized to achieve desired levels of performance. Data are retained on site.

3.1.1.2 Stack Sampling – Incinerator

ORTECH Environmental conducted the annual compliance stack testing on the VDM incinerator, in accordance with C. of A. #4556-6LULPN requirements. An inspector from the MOECC was on site to observe these tests. Testing in 2014 was conducted between October 4 and October 6, and involved measurement of the following contaminants:

 Total suspended particulate (TSP);  Metals (cadmium, lead and mercury);  Volatile and semi-volatile organics;  Hydrogen chloride (HCl);  THC;

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 Combustion gases (NOx, SO2, O2); and

 CO2, CO.

During the 2014 compliance testing programs, all in-stack parameters were within prescribed MOECC limits, with the exception of TSP (Table 2). TSP measured 55.1 mg/m3, which is over the standard of 17 mg/m3. TSP has been highly variable in previous years, and as such the facility still does not meet the vendors’ performance guarantees which were based on Ontario incinerator standards. It is believed that a significant proportion of the elevated particulate matter readings is not due to actual particulate matter generated by the incinerator, but is instead a by-product of salts generated from the combustion process and the scrubber system. At the property boundary, incinerator emissions only represents 0.33% of the Ontario point-of-impingement criteria (POI) for suspended nuisance particulate, and no environmental impact is expected from these emissions.

De Beers has been in discussions with the MOECC regarding the TSP values and has developed mitigation strategies to lower the TSP concentrations. It is noteworthy that sewage sludge was incinerated in 2014 during the compliance testing program. De Beers has submitted a permit application to use partially treated sludge from the aerobic digester as nutrient and organic matter for progressive reclamation of facilities. This would divert the sewage sludge waste stream (maximum of 35% of incinerated waste stream) from the incinerator and is expected to reduce potassium salts.

De Beers continues to evaluate and optimize the incinerator performance with the long term goal of meeting the C. of A. regulatory values.

Lead was historically elevated above the 142 µg/m3 limit in 2009 and 2010, but with subsequent improved waste source segregation has been well within discharge limits since that time, showing a value of 40.2 µg/m3 for 2014.

Cadmium levels have remained below the emission standard of 14 µg/m3, in all years except 2010. Cadmium levels in 2014 measured 2.57 µg/m3, indicating that the source segregation program continues to be successful.

Mercury levels have remained below the emission standard of 20 µg/m3, in all years. Mercury levels in 2014 measured 0.21 µg/m3, or 1.1% of the compliance criteria of 20 µg/m3.

All other parameters were within compliance limits (Table 2). Further details regarding incinerator stack sampling results can be found in the De Beers Canada Inc. Victor Mine Site 2014 Incinerator Compliance Testing Program Performed in Accordance with Certificate of Approval (Air) Number 4556-6LULPN, dated December 3, 2014.

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3.1.2 Point of Impingement Air Quality

3.1.2.1 Incinerator Emissions

As for previous years, all 2014 off-property, incinerator-linked POI concentrations were found to be well within the applicable criteria, including particulate emissions (Table 3).

3.1.2.2 Dustfall Jars

Dustfall jars were first set up north, south, east and west of the VDM site in May, 2006 (Figure 3). From 2009 onward, dustfall jars were operated only for the period of May through October of each year, in accordance with the document Air Quality Monitoring Plan Rev. 2, Certificate of Approval (Air) #9452-78ZP4M, Condition 10.1, Victor Mine, filed with the MOE Timmins District office. The purpose of the dustfall jars is to measure dust loadings to the natural environment at the property boundary during the non-winter period. Dust loadings derive mainly from vehicular traffic on all- season gravel roads, during dry periods, as well as from other sources such the stockpiling of materials. Water truck sprays are used to control road dust.

As the roads are comprised of limestone rock-fill, and as the material stockpiles are chemically inert, the principal concern for dust loadings is for possible adverse effects to local plant growth due to surface dust coating.

Dustfall monitoring data for the period of 2014 are presented in Table 4. For comparative purposes all results for 2014 have been well within the regulatory limit of 7 g/m2/30 day period (O. Reg. 419/05, Schedule 3) that has been applied to metal mines since 2010. This limit is for comparative purposes only, as the limit does not specifically apply to diamond mines. The dust from diamond mines is less likely to be harmful to the environment compared with the dust from metal mines.

Figure 4 emphasizes the seasonal aspect of the dustfall monitoring data in some years. The data show no clear trend to indicate that downwind sites, south and east of the site, are dustier than upwind sites to the north and west. Dustfall decreased following the end of the construction period in 2008 and following the additional use of a large capacity water truck commissioned in 2010, and has remained well below the reference regulatory standard of 7 g/m2/30 day period since that time.

3.1.2.3 Snowpack Data

Snowpack data were also obtained from sites located north, south, east and west of the VDM site, as per Figure 3. Samples are collected at the end of March each year as a composite of three sub-samples, spaced at 10 m intervals.

The data represent cumulative dust loadings over the entire winter, and analyte concentrations (Table 5) are affected by accumulated snowfall over the winter, as well as by melt events, wind direction and other factors. Data are compared to Provincial Water Quality Objectives (PWQO)

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for the protection of aquatic life for comparative purposes only. These standards apply to area receiving waters but do not apply to snow samples.

Snow pack samples are taken to provide an indication of the potential for snowmelt to affect local receiving waters, such as Granny Creek. The main source of contaminants in the snow is dust generated by mining and hauling activities over the course of the winter (although material deposited from long distance air transport is also present). It also needs to be appreciated that the concentration of parameters in the snowpack is a function of the state of the snowpack. As the winter progresses, dust accumulates over time, and as the snowpack begins to melt and consolidate towards the end of the winter (March) the concentration of contaminants in the snowpack will therefore increase. The PWQO values are used only as a benchmark, as the objectives apply to receiving waters and not to snowpack.

Snow samples from the winter of 2013/2014 were collected on March 21, 2014. Overall, snow sample parameter concentrations met PWQO values for protection of aquatic life except (as in previous years) for pH, which is typically below pH 6.5 for snowpack, and for a few of the metals. With the exception of iron, average snowpack metal concentrations, where they exceed PWQO values, only exceed these values by a small amount. Also, it is clear from the data that there is a strong correlation between metal concentrations and total suspended solids (TSS) concentrations, as would be expected. Correlation coefficients for cobalt, chromium, copper, and iron, with TSS, for example, were 0.79, 0.72, 0.58, and 0.85 respectively, indicating that a high proportion of the observed metal concentration values is explained by the relationship with suspended solids concentrations.

3.1.2.4 High-volume (and Low-volume) Sampling

High-volume (hi-vol) and low-volume (lo-vol) air sampling systems function to determine the mass concentrations of suspended airborne particulate (<100 microns), and associated heavy metals, at (or near) the property boundary, by drawing a known volume of air through a pre-weighed filter medium.

The CSR provided for periodic air sampling with hi-vol samplers during the mine lifespan. Once the sampling program was submitted and approved in accordance with MOECC permitting requirements (C. of A. #4134-6J8TGK), both hi-vol and lo-vol sampling units were installed. Sampling stations were established at locations that provided reasonable access at the time. Although access has improved, station locations have not been altered in order to maintain the historical database. The hi-vol samplers require grid power and the only property boundary location for which grid power is available is at the north boundary near the Attawapiskat River pumphouse, northwest of the mine site (Figure 3). There are no power sources available at any of the other property boundary locations.

The low-vol samplers do not require grid power (can run on battery power). The south boundary station was established at the former exploration camp which remained in use through the early Victor Mine operations phase (Figure 3). A lo-vol sampler was also set up in association with the

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hi-vol sampler at the Attawapiskat River pumphouse location to allow correlation of lo-vol and hi-vol sampling results.

Hi-vol samples obtained in 2014 were collected on 24 occasions, at approximately 6-day intervals, between the dates of May 5 and October 26, 2014. The number of samples and sample locations for the high-volume (and low-volume) air samplers comply with C.of A. #4134-6J8TGK and the MOECC approved air quality monitoring plan and Best Management Plan for the site. Each hi-vol sample consisted of a 24-hour composite. The samples were analyzed for TSP, mercury, cadmium and lead. Mercury, cadmium, and lead are analyzed because of their potential to bio-accumulate, and because they are typically included in air quality modeling and analysis for mining projects. Also, the intent of the annual FUPA reports is to confirm EA predictions. EA air quality predictions were confined to these three metals. Results are expressed as μg/m3, averaged over a 24-hour period as per O.Reg. 419/05 requirements. Measurements of all four parameters were all well below applicable regulatory standards (Table 6).

Lo-vol samples were collected on 24 to 30 occasions from Stations Lo-vol-02 and Lo-vol-04, also at generally 6-day intervals, between the dates of May 5 and October 26, 2014. As with the hi-vol sample results, all data were well below applicable O.Reg. 419/05 requirements, with all heavy metals occurring at non-detectable levels (Table 6). Fifty percent of the Lo-vol-04, and 50% of the Lo-vol-02 TSP samples were at or below the method detection limit. Mercury analysis for the low- volume samples could not be undertaken as the filter is too small to complete analysis for both cadmium and lead, and mercury.

3.1.2.5 Passive SO2 and NO2 Sampling

The air quality monitoring program defined through C. of A. #4134-6J8TGK also requires passive,

30-day average, SO2 (sulphur dioxide) and NO2 (nitrogen dioxide) sampling at (or near) the property boundary. These passive systems were installed in 2008 at locations adjacent to the dustfall monitoring locations (Figure 3). This program follows standardized protocols from the Province of Alberta, as Ontario does not have formalized methods for this type of monitoring at remote sites such as the VDM.

SO2 and NO2 data results for samples collected during 2014, for the months of May through October, are shown in Table 7. The tabled data are for 30-day average results. There are no

MOECC 30-day standards for SO2 or NOx gas concentrations. Schedule 3 of O.Reg. 419/05 provides local air quality standards for 24-hr average concentrations for these two parameters, which can be used as a general point of comparison. The O.Reg. 419/05 24-hour standards are 3 3 275 μg/m for SO2 and 200 μg/m for NOx (approximately 105 ppb and 106 ppb respectively). The measured site values were well below these threshold values, with maximum measured values of 0.5 ppb NOx and 0.4 ppb SO2.

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3.1.2.6 Wetland Monitoring

The first five-year interval study of plant community compositions, for principal VDM area muskeg community types (i.e., northern ribbed fen with broad flarks, horizontal fen, domed bog, and flat bog) was carried out in 2007 with a second survey carried out in 2012. The data from the first monitoring series provide a baseline against which the longer-term effects of dust emissions, mine dewatering, or other effects of VDM on muskeg plant communities can be assessed.

Overall results of the assessment show that:

 Species richness has not declined since operations began;  The relative cover of vascular plants has not increased;  The relative cover of Sphagnum (moss) species has not decreased; and  There was no correlation between community structure and distance to the mine site.

The data indicate that there were as many or more species recorded in 2012 than in 2007 (Table 3-2, Stantec 2012). The number of recorded species was greater in 2012 compared with 2007 in three of the four wetland types monitored (domed bog, flat bog and horizontal fen). The number of species recorded in ribbed fen types was unchanged.

The relative cover of vascular plants decreased between 2007 and 2012 for all four habitat types (Table 3-3, Stantec 2012). The percent relative cover for vascular plants decreased by 20 to 23% in the bog habitats, and by 6-29% in the fen habitats (Table 3-3, Stantec 2012). This is directly contrary to the effect expected if dewatering activities were affecting plant communities

The closest wetland in the study was approximately 2.5 km from the VDM and is within the groundwater drawdown zone, and it does not show a negative change. Also, as shown on Figure 4 (dustfall monitoring), dustfall has remained low in the post construction period. It can be concluded that VDM dust generation is not having an impact on the structure of wetlands near the VDM. The next wetland monitoring study is planned for 2017.

Further details regarding the wetland monitoring study are available in the document entitled Victor Mine Project: 2012 Vegetation and Breeding-Bird Assessment, by Stantec Consulting Ltd., dated December 2012.

3.1.3 Greenhouse Gas Emissions

3.1.3.1 Fuel Consumption and GHG Emissions

Greenhouse gas (GHG) emissions from fuel consumption were estimated in the CSR at

72,400 tonnes of CO2 per year (t/a) for the mine operations phase. This estimate was based on:

 On-site diesel fuel consumption of 15,000,000 L/a, equivalent to 40,040 t/a of CO2 emissions;

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 Truck transport diesel fuel consumption of 120,000 L/a, based on 500 round trips per year, of 378 km each way, at a fuel consumption rate of 0.3175 L/km, equivalent to 320 t/a of

CO2 emissions; and

 An equivalent CO2 emission rate of 32,030 t/a for off-site power generation from diesel fuel equivalents, based on a site power demand of 18.7 megawatts (MW) from off-site sources, and assuming that 39.22% of this power demand derives from fossil fuel combustion (diesel equivalent, as a provincial average), together with a 2% allowance for line losses.

Other types of fuel were ignored as their use at site is minor compared with diesel fuel use.

Measured site diesel fuel consumption during 2014 was 12,004,399 L. The number of transport truck round trips during 2014 was 576. Based on these values, calculated site CO2 emissions during 2014 for on-site diesel fuel use and truck traffic between the VDM site and Moosonee, totalled 32,031 t. This value is lower than the 40,360 t/a estimate in the CSR.

Mine site power demand from off-site sources averaged approximately 13.4 MW during 2014, which is less than the average sustained power demand of 18.7 MW predicted in the CSR, indicating that CO2 production from mine-related off-site power production was less than predicted in the CSR by a proportional amount. Ontario also no longer uses coal fired generators, reducing the provincial CO2 production rate for grid power below the CSR estimate.

3.1.3.2 Carbon Exchange Rates

This item was addressed in Section 3.1.3.2 of the First Annual FUPA Report and there has been no appreciable increase in the amount of excavated peat available for carbon exchange during 2014, beyond what was tabulated in the First Annual FUPA Report. The measured total organic carbon content of all excavated peat at the VDM site therefore remains at approximately 91,000 t, which is less than the approximately 100,000 t predicted in the CSR.

3.1.4 Noise

The CSR required representative noise monitoring during year two of construction (i.e., 2007) and for the first full year of mine operations (i.e., 2008 / 2009), and at three year intervals thereafter, in both summer and winter. Consequently noise data were collected and analyzed for the 2011/2012 calendar year and summarized in the Fifth Annual FUPA Report. The next monitoring period was scheduled for the 2014 calendar year, the results of which are provided below.

3.1.4.1 East and Northwest Transects

The following information is taken from De Beers Canada – Victor Mine Acoustic Environment Monitoring Report (NNS, 2015).

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For the Victor site, ambient noise surveys were carried out in each of August 2014 and February 2015, along two transect lines extending outward from the centre of the Mine site (Figure 3). One transect extended northwest with noise monitoring stations positioned at 2.5 km (Station NW25), 5.0 km (Station NW50) and 7.5 km (Station NW75) from the Mine centre. A second transect extended east-southeast of the Mine centre, with noise monitoring stations also positioned at 2.5 km (Station E25), 5.0 km (Station E50), and 7.5 km (Station E75) from the Mine centre. The 5.0 km stations are located just inside the outer boundary of the Victor wildlife buffer zone. Weather data were obtained from VDM environmental weather station.

The highest daytime sound level was recorded at the 2.5 km (northwest transect) and the highest nighttime sound level was recorded at the 7.5 km marker, also on the northwest transect. The lowest sound level recorded during the daytime was recorded at the 5km location of the northwest transect and at the 7.5 km location on the east transect. Overall, the results observed for the 2014/2015 investigation were similar to historical sound level ranges and profiles.

3.1.4.2 Winter Road Transects

Noise surveys associated with the winter road were conducted from February 13 to 18, 2015 along north and south transects positioned perpendicular to the road, at distances of 0.5, 1.0 and

2.0 km from the road. Sound levels (Leq, 1 hr, dBA average) on the north transect were similar between stations with noise levels ranging from 19 to 32 dB. The south transect also had sound levels that were similar between stations; however, overall sound levels were higher than for the north transect. The highest daytime and nighttime sound levels were recorded at the 0.5 km station, south of the Winter road (39 and 33 Leq, 1 hr, dBA average, respectively). Traffic was found to have some impact on sound levels; however, wind had a much larger impact. The 2015 sound data are reported here because the winter 2015 data are a continuation of the 2014/2015 sound monitoring program.

3.1.5 Artificial Light

To the extent practicable, site lighting has been directed inwards towards mine site activity areas and away from peripheral buffer zones, as provided for in the CSR. There are no regulatory requirements and site-specific light measurements have not been taken in connection with the VDM. There are no known effects on the surrounding area.

3.1.6 Climate

A weather station was established on the VDM site in March, 2000. The station was set up to measure: wind speed and direction, temperature, relative humidity, net radiation, precipitation, and snow depth. Barometric pressure and pan evaporation were added to the system in 2002. A new upgraded weather station was installed at site in April, 2008. The new station provides data on all of the parameters listed above, as well as for solar radiation and heat flux.

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Since the summer of 2010, the VDM site has also hosted and acted as a base of operations for an MOECC climate research station that is located about 15 km south of the mine. This is part of a long-term global warming / carbon flux study. The mine has also acted as a base of operations since that same time for an MNRF research program on muskeg permafrost. Through this program a number of long-term monitoring stations have been installed near the mine, to monitor the effects of climate change on these features.

3.2 Surface Water Systems

3.2.1 Point Source Discharges

3.2.1.1 Southwest Fen

The Southwest Fen (SWF) served as part of the wastewater treatment system for water discharged from CQ operations during 2006 pursuant to C. of A. 3374-6G7J2Y (December 13, 2005). CQ water discharge operations were concluded on December 2, 2006. C. of A. 3374-6G7J2Y was revoked on March 3, 2009 and all related monitoring was discontinued. Much of the SWF is overprinted by Cell #2 of the PKC facility and the Coarse PK Stockpile.

3.2.1.2 Northeast Fen

The NEF previously served as part of the wastewater treatment system for the removal of TSS and the uptake of residual nutrients (nitrate, ammonia and phosphorus) for waters discharged from a number of different site areas and facilities. Discharge from a number of these sites no longer occurs.

During 2014, the only effluents received by the NEF were area runoff from the Phase 1 Mine Water Settling Pond, area runoff from the mine rock stockpile, and landfill leachate. Effluent from the Phase 1 Mine Water Settling Pond consisted of a small amount of well development water (discontinued in late 2014), area runoff, and muskeg drainage as there was no mine water discharge from the open pit to the Phase 1 Mine Water Settling Pond in 2014. Virtually all collected precipitation and runoff that fell within the open pit perimeter drained subsurface through the adjacent rock to the mine well field dewatering system, as in previous years. Operation of the NEF passive wetland treatment system is governed by C. of A. #4056-6W8QBU dated January 3, 2007, and as amended May 31, 2007.

The principal parameters of concern in effluents received by the NEF, from a C. of A. compliance perspective, are TSS and ammonia. Ammonia is derived from blasting agents used for mining in the open pit.

C. of A. #4056-6W8QBU provides for sampling in the NEF for pH, oil and grease, TSS, total dissolved solids, total and un-ionized ammonia, temperature, chloride, sulphate, calcium, magnesium, iron, total phosphorus, sodium, ICP metals, Rainbow Trout and Daphnia magna

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acute lethality, and mercury. The frequency of sample collection varies from three times weekly to monthly, depending on the parameter being tested.

Final effluent compliance limits apply to pH (≤9.5), TSS (maximum monthly average and daily limits of 15 mg/L and 30 mg/L, respectively), oil and grease (maximum daily limit 15 mg/L), and toxicity (maximum 50% mortality).

Monitoring data from 2014 are summarized in Table 8. Monitoring data for total and methyl mercury are provided separately in Tables 9, 10, 11 and 12. C. of A. limits were met in all cases during 2014 (Table 8), with the exception of three daily exceedances above the limit of 30 mg/L TSS measured on April 21 (41.2 mg/L), 25 (47.0 mg/L) and November 7 (37.0 mg/L), and one monthly average exceedance above the monthly limit of 15 mg/L for April (16.6 mg/L). The annual average TSS was 4.05 mg/L. Late winter (e.g. April) samples often show elevated values for TSS because of the difficulty in obtaining samples, without disturbing underlying sediments under a thick ice cover. There is effectively little or no flow through the NEF in late winter.

The NEF passive wetland treatment system also functioned well for the removal of residual nutrients (no in-pit water was being treated in 2014). As such, there is no source of ammonia except perhaps drainage from the mine rock stockpile. Unionized ammonia was less than the PWQO of 0.02 mg/L with all samples at or below 0.002 mg/L (Table 8). PWQO thresholds apply to surface receiving waters and not to fen systems, but are used for comparative purposes. Sulphate levels were elevated, averaging 60.2 mg/L, but were lower than the 74.5 mg/L and 85.41 mg/L results observed in 2013 and 2012, respectively. Elevated sulphate levels have implications for methyl mercury dynamics as discussed below.

Analytical results for total and methyl mercury for the NEF are presented in Tables 9, 10, 11 and 12. All results were within applicable federal (and provincial) guidelines for the protection of aquatic life, with the exception of a NEF unfiltered methyl mercury sample taken in April/May 2013 which is not consistent with the other 2013 methyl mercury results and appears anomalous in nature (unfiltered value of 6.05 ng/L and filtered value of 2.85 ng/L). Total mercury concentrations were comparable between the NEF and control fen stations (Southeast Fen, SEF; and Northwest Fen, NWF). Overall, methyl mercury concentrations, while still meeting guidelines, were elevated in the NEF compared with the two control fens.

Methyl mercury concentrations in the NEF are believed to be elevated as a result of increased sulphate levels, as described in previous annual reports. Sulphate reducing bacteria utilize sulphate as an electron acceptor, and hence higher sulphate levels tend to promote increased rates of conversion from total mercury to methyl mercury (Ullrich et al. 2001; Jeremiason et al. 2006). Sulphate concentrations in the NEF during 2014 averaged 60.2 mg/L. This value compares with average sulphate concentrations of 47.9, 32.2, 30.5, 60.0, 84.5 and 74.5 mg/L for the years of 2008 through 2013, respectively. The optimal sulphate range for mercury methylation is 20 to 50 mg/L (Ullrich et al. 2001). Samples from control fen sites typically contain <0.1 mg/L of sulphate.

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Ongoing elevated sulphate values observed for the NEF indicate that sulphate containing waters are still draining to the NEF, most likely from the Mine Rock Stockpile and from well development waters intermittently discharged to the Phase 1 Mine Water Settling Pond during part of 2014. It is noteworthy that the ratio of filtered methyl mercury concentrations observed during the open water period (July and October) between the NEF and the HgCON declined substantially in 2014 from peak values observed in 2011 and 2012 (Figure 5), indicating that mercury methylation rates in the NEF may be attenuating. This effect could be the result of partial depletion of the small stores of inorganic mercury originally present in the upper fen sediments. Alternatively, the build- up of sulphide (as opposed to sulphate) in fen sediments could be occurring to a point that is beginning to inhibit mercury methylation (Benoit et al. 1999, Webb et al. 1998).

Further details regarding final effluent quality of the NEF are provided in De Beers Canada Inc., Victor Mine, Northeast Fen 2014 Annual Report per Condition 8(3) of Certificate of Approval #4056-6W8QBU dated April 18, 2015. Data specific to mercury are provided in Mercury Performance Monitoring 2014 Annual Report, as per Conditions 7(5) and 7(6) of Certificate of Approval #3960-7Q4K2G, dated June, 2015.

De Beers is continuing to investigate the sources of sulphate loadings to the NEF, and methods to reduce, or otherwise mitigate, such loadings. Details are provided in Section 5 of the Mercury Performance Monitoring 2014 Annual Report, and in earlier annual mercury reports.

3.2.1.3 Well Field Discharge to the Attawapiskat River

Well field discharge to the Attawapiskat River (Final Discharge station) during the 2014 reporting period was governed by C. of A. #3960-7Q4K2G, dated March 13, 2009, and its predecessors. This permit is linked to PTTW #6342-9NEJVH and its predecessors (PTTW #4647-9HKJ38, #1810-99FHAD and #5521-8CSNK), which provide for a well field water taking of up to 130,000 m3/d together with a contingency taking of an additional 20,000 m3/d, for a maximum total permissible taking of 150,000 m3/d.

During 2014, all final discharge data were consistent with permit limits (Table 13). From a total of 158 samples, the average TSS value for 2014 was 1.99 mg/L, far below the daily and monthly permit limits of 30 mg/L and 15 mg/L respectively. The maximum daily TSS value in 2014 was 13.2 mg/L.

In terms of general trends, the data in Table 13 show that average TSS values continue to be low. Values for pH increased somewhat until 2010, and have since stabilized averaging 7.71 in 2014.

Chloride concentrations have generally increased over time, although the average of 1,248 mg/L for 2014 is slightly lower than that for 2013 (1,263 mg/L). The permit limit is 1,500 mg/L as a monthly average. A gradual increase in chloride concentrations was predicted by the 2007 groundwater solute transport model (HCI 2007) as updated by the 2012 solute transport model (Itasca 2012). The predicted increase is a function of drawing proportionately more water from deeper formations as the open pit develops.

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Figure 6 provides more detailed data for the well field discharge and final discharge at the pump house. This figure shows an overall gradual, but variable increase in well field chloride concentrations with time. In addition to well field discharge water, the final discharge at the pump house may contain a small portion of effluent from the fine PKC facility. During 2008 and 2009 fine PKC effluent discharge comprised approximately 5% of the discharge to the Attawapiskat River. Since 2011 with greater recycle back to the processing plant, the fine PKC percentage contribution to the total Attawapiskat River discharge has been zero to 1%.

Thus far, maximum chloride concentrations in the well field discharge have continued to be at or below concentrations predicted in the CSR and subsequent provincial permitting, wherein chloride concentrations were expected to peak at approximately 1,300 mg/L during 2010, before gradually dropping back to about 800 mg/L at the end of the mine life, but with the potential for chloride concentrations to go as high as 1,800 mg/L (HCI 2004). The revised solute transport model predicts chloride concentrations will continue to increase to approximately 1,500 mg/L by late 2016 when the relative proportion of dewatering from the lower aquifer increases, and will remain at this level until operations cease (Itasca 2012). This is in line with the CSR prediction which stated that under more conservative assumptions of higher chloride concentrations at depth, well field discharge chloride concentrations could be as high as 1,400 to 1,800 mg/L (HCI 2004). Previous versions of FUPA stated a maximum of 1,900 mg/L (quoted from the CSR), but the CSR contains a typographical error in stating 1,900 mg/L. The document that was referenced in the CSR in relation to the maximum chloride concentration was HCI 2004, which shows a maximum of 1,800 mg/L. The CSR and ECA provide for blending of discharge water with Attawapiskat River water prior to final effluent discharge should chloride concentrations increase to levels above 1,500 mg/L as a monthly average.

Total ammonia concentrations in the well field discharge in 2014 averaged 0.97 mg/l with a maximum of 1.85 mg/L (40 samples). Survival of rainbow trout and Daphnia magna in standardized toxicity tests had passing results for all samples in 2014 and has remained at or near 100% survival for all years.

Sampling of the well field discharge for mercury has been ongoing since November 2007. All values for the period of November, 2007 to December, 2014 have remained low (well below CEQG guidelines) for both total and methyl mercury, as shown in Table 14a and 14b. Filtered total and methyl mercury concentrations in the well field discharge have thus far, on average, been at or below background concentrations measured in the Attawapiskat River. There are no evident temporal trends in the data and methyl mercury is at or below the detection limit.

Further details regarding the well field discharge are provided in Victor Mine Well Field Dewatering Discharge, Annual Performance Report; January 2014 to December 2014 per Conditions 7(3) of Certificate of Approval No. 3960-7Q4K2G dated April 15, 2015.

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3.2.1.4 Fine Processed Kimberlite Containment Facility

Operation of the PKC facility is governed by C. of A. #6909-76ZGYP. Final effluent from the PKC facility is either re-circulated back to the process plant, discharged along with the well field water to the Attawapiskat River (see above), or discharged to North Granny Creek (with seasonal and flow restrictions in accordance with the C. of A.). In 2014, PKC facility effluent discharge did not occur to the Attawapiskat River, but limited discharge did occur to North Granny Creek between October 2 and November 8, during a period of high runoff and creek flow conditions (Section 3.2.4.1). All discharges were consistent with C. of A. parameter concentration limits.

3.2.1.5 Sewage Treatment Plant

Operation of the VDM membrane bioreactor (MBR) sewage treatment plant (STP) is governed by C. of A. #9003-6MHGXE, dated March 10, 2006. The plant consists of two separate MBRs; one to service 650 persons, and a second parallel plant to service 230 persons. The 230 person MBR remained on standby in 2014 (in case of required maintenance on the 650 person MBR). It was put into service from April 22 to 25 while the 650 plant was undergoing maintenance. The final effluent from the STP is monitored on a weekly basis for 5-day biological oxygen demand (BOD5), TSS, total phosphorus, total ammonia, nitrite, nitrate, E. coli, pH, temperature and discharge volume.

STP effluent performance for 2014 is summarized in Table 15. BOD5 and TSS did not exceed either of their respective daily objective / limits or their monthly limits. The average total phosphorus was within objective of 0.3 mg/L, with the exception of 6 results ranging from 0.34 to 7.84 mg/L. It is believed that these higher than normal total phosphorus value resulted from temporary problems with the alum addition system. De Beers continued to use phosphate free detergents for camp residents and at the site laundry through 2014, to help reduce phosphate loadings.

Twenty-one of 53 ammonia nitrogen samples exceeded the daily objective of 2 mg/L with results ranging from 2.17 to 19.20 mg/L. Twenty of 53 nitrate-nitrogen samples also exceeded the daily objective of 10 mg/L with results ranging from 11.0 to 22.5 mg/L. Elevated concentrations of ammonia and nitrate were the result of plant upsets and operating periods after membrane changes.

As described in the applications for the STP approval and C. of A. #6909-76ZGYP (PKC facility), the discharge point for the fully treated wastewater from the STP has been transferred from the NEF to the PKC facility. Treated STP wastewater was directed to Cell #1 of the PKC facility beginning on August 9, 2011. This PKC facility provides additional treatment and attenuation of the treated effluent from the STP. For example, average annual ammonia-N for the fine PKC facility measured 0.192 mg/L in 2014, compared with a value of 4.05 mg/L for the STP effluent. Similarly, the average annual dissolved phosphorus concentration for the fine PKC facility measured <0.05 mg/L in 2014, compared with a total phosphorus value of 0.337 mg/L for the STP effluent. Fine PKC nitrate concentrations are not measured, but would be expected to show

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similar reductions. All effluent to the environment from the STP, by way of the fine PKC facility were therefore fully consistent with STP final objectives and limits.

Further details pertaining to operational performance of the camp sewage treatment system are provided in Camp Sewage Treatment Plant Annual Performance Report, January to December 2013 As Per Condition 9(6) of Certificate of Approval No. 9003-6MHGXE, submitted to MOE Timmins District Office, March 28 2015.

3.2.1.6 Minor Point Source Discharges

There were no other minor point discharge sources in operation during 2014.

3.2.2 Stockpile Runoff and General Site Drainage

3.2.2.1 Stockpiles

Stockpiles in place as of the end of 2014 included:

 A small overburden stockpile adjacent to the east side of the previous CQ developed from stripping of the quarry during early 2006. Use of this material for progressive reclamation of the FPK Cell #1 dykes began in 2014;

 Linear stockpiles of muskeg along the margins of the site airstrip;

 An overburden stockpile developed adjacent to the southwest margin of the open pit;

 A larger overburden stockpile developed adjacent to the north and northeast margins of the open pit;

 A coarse PK stockpile being developed south of the plant site area; and

 A mine rock stockpile being developed northwest of the open pit.

Stockpile locations are shown in Figure 2.

All stockpiles are monitored visually for erosion and subsequent migration of TSS. All stockpile sites are separated from Granny Creek (the only proximal watercourse) by a minimum 200 m perimeter zone of intact muskeg, with two exceptions. The first is in the area of the deep overburden trench adjacent to North Granny Creek where the overburden stockpile has been deliberately constructed closer to the creek to protect the creek against the potential for ground settlement, as described in Section 6.4.3.2.1 of the CSR. The initially predicted rate of ground settlement in this area, expected to result from mine dewatering, did not occur (Section 3.4.1.3). The second exception to the 200 m buffer is in a short section southwest of the mine pit, where a low overburden stockpile was placed against the north side of the diversion dike for the South

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Granny Creek channel re-alignment as an additional barrier against possible creek flood waters from entering the mine pit.

Operating experience at the VDM has shown that muskeg buffers effectively remove TSS values to very low levels of generally <5 mg/L and frequently to <2 mg/L, which is below background values typically observed for the Granny Creek system.

Section 6.4.3.1.2 of the CSR provided for a buffer zone of intact muskeg surrounding mineral waste stockpiles to manage the potential for offsite TSS migration, with such buffer zones to be flanked with perimeter runoff collection ditches to allow for monitoring. Site experience during the construction phase has shown that perimeter runoff collection ditches are generally not required for water quality management (primarily for TSS control), and that such ditches would be unnecessarily disruptive to the environment, as per the First Annual FUPA report. The only exception to this statement is in relation to sulphate migration and mercury methylation, which De Beers is currently investigating. Options are being investigated on how best to better control sulphate drainages, to keep such drainage from contacting muskeg environments where enhanced mercury methylation can occur.

3.2.2.2 General Site Drainage

In addition to point source discharge monitoring programs referenced in Section 3.2.1, water quality of general area drainage is monitored at three ribbed fen stations located on or near the VDM site (Stations MS-V1-R [also referenced as MS-2-R], MS-V2-R and MS-V3-R) as well as at MS-8-R), and at several more remote sites (Figures 7a and 7b). Ribbed fen sites were selected for comparison because ribbed fens, more than other muskeg types, tend to collect water from surrounding drainages and therefore provide the most representative data on overall site drainage.

Water quality data from the suite of ribbed fen sites is presented for mercury in Table 16 and for a suite of general parameters in Table 17. C. of A. #3960-7Q4K2G dated March 13, 2009 (and its predecessors) provides for surface water sampling of total and methyl mercury from these and other site area ribbed fen stations on a quarterly basis, except where prevented by frozen ground conditions. In addition, to assist with data interpretation De Beers collects samples from these same stations for analysis of chloride, conductivity, nitrate, dissolved organic carbon (DOC), pH, sulphate, total phosphorus, calcium, iron, magnesium and sodium.

The data show low concentrations of both total and methyl mercury across all years, including 2014. Average annual total mercury values (filtered) ranged from 1.12 to 3.13 ng/L and average methyl mercury concentrations (filtered) ranged from <0.02 to 0.07 ng/L. For comparison, the CEQG values for total and methyl mercury for the protection of aquatic life are 26 and 4 ng/L, respectively.

Analytical results from ribbed fen stations for chloride, conductivity, nitrate, DOC, pH, sulphate, total phosphorus, calcium, iron, magnesium and sodium were broadly comparable among the

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different stations (Table 17). The only stations that stand out are MS-8R and to a lesser extent MS-13R. Station MS-8R shows variably elevated concentrations of chloride, sulphate, magnesium and sodium compared with the other stations. MR-S13 shows generally lower values for pH and higher values for DOC compared with the other stations. The data for MS-8R suggest that this station is periodically influenced by groundwater upwellings. There were likely natural groundwater upwellings in the immediate vicinity of MS-8R in the predevelopment condition, but this condition was reversed by mine dewatering in 2009, and the area remains under-drained (Figure 7a). Variable data for MS-8R since 2009 may therefore be the result of fen track drainages which originate further to the west, outside of the influence of mine dewatering.

3.2.3 Receiving Water Quality

3.2.3.1 Granny Creek System

Water quality in the Granny Creek system is monitored at eight locations at various frequencies for multiple parameters as shown in Figure 8 and Table 18. The data are compared against PWQO and CEQG for the protection of aquatic life. Throughout 2014, these provincial and federal water quality guidelines were met for all parameters with the exception of pH, cadmium, cobalt, copper, iron, and silver. Exceedances are described below:

 Values for pH exceeded the lower value of PWQO and CEQG at five stations in 2014. Regionally low background pH values are typical due to the nature of muskeg terrain.

 Cadmium values exceeded PWQO and CEQG values in one of seven samples from North Granny Creek downstream of the NEF, and in one of 12 samples for South Granny Creek upstream of the SWF.

 Elevated iron values were of frequent occurrence at all stations due principally to high DOC values. This is a background condition that was observed during the pre-mining baseline condition, and is currently observed at both upstream and downstream stations.

 Cobalt concentrations occurred above PWQO at two stations (North Granny Creek upstream of the confluence, and South Granny Creek upstream of SWF) on three occasions (total) in 2014, with at least one of these values being associated with an exceptionally high TSS value (downstream of the site at North Granny Creek (upstream of the confluence). Lead occurred above CEQG on one occasion and silver was above PWQO and CEQG on one occasion (same sample).

The occasional exceedances for cadmium, cobalt, lead and zinc were slightly above guideline values.

Mercury has received specific attention at the VDM because of concerns expressed over the potential adverse effects of mine dewatering on local wetland (muskeg) systems, and associated

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mercury chemical dynamics. Total and methyl mercury concentrations in the Granny Creek system during 2014 were consistent with PWQO and CEQG, as shown in Table 18.

More detailed data pertaining to total and methyl mercury concentrations within the Granny Creek system are provided in Tables 19 through 22 and their associated trend graphs.

Average total mercury concentrations in 2014 for North and South Granny Creeks varied from 2.60 to 3.01 ng/L for unfiltered samples (Table 19), and from 1.61 to 1.84 ng/L for filtered samples (Table 20). These concentrations are well below the total mercury CEQG value for the protection of aquatic life (26 ng/L). Average total mercury concentrations in 2014 are very similar for upstream and downstream samples in both creek branches. The graphs included with Table 19 and Table 20 also demonstrate that while total mercury concentrations can vary substantively throughout the year due to seasonal and hydrological effects, there are no evident long-term trends for total mercury in the comparison of upstream to downstream stations for either North or South Granny Creeks.

Methyl mercury concentrations for unfiltered and filtered samples collected from upstream and downstream in South and North Granny Creek, are shown in Tables 11 and 12. The values are again variable, depending on seasonal and hydrologic influences. However, and unlike total mercury (where there is no evident trend between upstream and downstream stations) the trend of elevated downstream methyl mercury concentrations in North Granny Creek appears to have stabilized (Tables 11 and 12). While elevated methyl mercury concentrations are noted in downstream North Granny Creek waters (averaging 2.4 times background over all of the years sampled); these values are still very low and well below the federal guideline (CEQG) of 4 ng/L. Long-term average upstream and downstream South Granny Creek methyl mercury values are very similar: <0.05 ng/L for the upstream station for filtered values, and <0.07 ng/L for corresponding downstream values (Table 11).

Downstream increases in North Granny Creek methyl mercury appear to be related to sulphate drainages associated with the mine site area. These drainages occur primarily in association with the NEF, and are not believed to be linked to muskeg dewatering effects, as all available evidence shows that the peat horizons in the general mine site area continue to be saturated (AMEC Foster Wheeler 2015a). Sulphate drainage effects are localized.

3.2.3.2 Nayshkootayaow River

Water quality in the Nayshkootayaow River system is monitored quarterly at three separate locations (Figure 8) for parameters shown in Table 18. As with the Granny Creek system, the data are compared against PWQO and CEQG values for the protection of aquatic life. Throughout 2014, provincial and federal water quality guidelines were met for all parameters except iron (several occasions), and silver (one occasion), (Table 18). Iron showed regular exceedances in 2014, as it has in all past years including the predevelopment baseline condition. Elevated iron concentrations are indicative of natural conditions, and are not a function of mine-related influences.

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Total and methyl mercury results for the Nayshkootayaow River are shown in Tables 23 and 24. All values are very low, consistent across the stations, and well within CEQG values. Graphical data are presented in Figure 9. Filtered results for all stations were comparable and well within the range of historical data for the respective stations, indicating no effect on background mercury concentrations for either total or methyl mercury.

In addition to being well below the CEQG of 4 ng/L for the protection of aquatic life, methyl mercury concentrations in the Nayshkootayaow River were also at or below the bioaccumulation threshold of 0.05 ng/L for filtered methyl mercury samples cited by the United States Environmental Protection Agency (US EPA 1997) for the protection of fish-eating wildlife species such as Bald Eagle and River Otter.

3.2.3.3 Attawapiskat River

Water quality in the Attawapiskat River system is monitored at four separate locations (Figure 8), for parameters and frequencies (monthly or quarterly), shown in Table 18. As with the Granny Creek and Nayshkootayaow River systems, data are compared against PWQO and CEQG values for the protection of aquatic life. Throughout 2014 provincial and federal water quality guidelines were met for all parameters with the exception of regular exceedances for iron and the minor exceedances summarized below:

 One exceedance each of chromium (PWQO) at two of the Attawapiskat stations (AR-US upstream of site, and AR-DS downstream of site);

 One exceedance each of silver (PWQO) at two of the Attawapiskat stations (AR-US of site, and AR-DS of site);

 Three exceedances of lead (CEQG) at two of the Attawapiskat stations (two at AR-US of site, and one at AR-DS of site), with one of the upstream values also exceeding PWQO; and

 One exceedance of copper at the AR-DS site, associated with an elevated TSS value that exceeded both CEQG and PWQO thresholds.

Total and methyl mercury results for the Attawapiskat River are shown in Tables 23 and 24, along with results for the Nayshkootayaow River. Graphical data are presented in Figure 9 for filtered samples. All values are generally low, consistent across the stations, and well within CEQG values. The 2014 filtered and unfiltered results were consistently within the historical ranges for each station, again indicating no effect on background mercury concentrations for either total or methyl mercury in the Attawapiskat River.

Methyl mercury concentrations in the Attawapiskat River were also at or below the bioaccumulation threshold of 0.05 ng/L for filtered methyl mercury samples cited by the US EPA 1997 for the protection of fish-eating wildlife species such as Bald Eagle and River Otter.

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3.2.4 Creek and River Flows

Local creek and river flows are monitored to confirm maintenance and function of aquatic habitat in relation to mine dewatering effects (Granny Creek system and Nayshkootayaow River), and also to aid in the assessment of mine-related wastewater discharge effects on local receiving waters (Granny Creek system and Attawapiskat River).

3.2.4.1 Granny Creek System

Granny Creek is a small watershed with a total catchment area of 91.6 km2, measured at flow monitoring station 04FC011, just upstream of its confluence with Nayshkootayaow River (Figure 10). Flows for Granny Creek are measured in each branch of the creek (North and South Granny Creeks – Stations NG-001 and SG-001, respectively), just above their mutual confluence, and in the Granny Creek main channel just below the confluence of the two creek branches (Station 04FC011). Stations NG-001 and SG-001 were set up in September 2005. Station 04FC011 was established in June 2000.

Water level data from the three creek stations are measured continuously using pressure transducers and data loggers, with water levels being converted to flows through comparisons with site specific flow / water level rating curves. Manual measurements are taken monthly in winter when there is ice cover because rating curves are not accurate under ice cover. Monthly and mean annual flow data for the 04FC011 Station are shown in Table 25 for the period of record, with detailed (daily) flow data shown in Figure 11 for the period of 2006 through 2014. Comparable data are also available for Stations NG-001 and SG-001, but are not shown here.

Data gaps have historically occurred due to sensor damage or malfunctions with most damage occurring in association with ice movement. System modifications were made in 2008 to improve overall system reliability. The telemetered systems provide real time stage values, which are converted to discharge.

The data show marked seasonal extremes in flow - from effectively zero flow in late winter in some years (2004, 2007 and 2008), to flows in excess of 100,000 m3/d during spring melt conditions and in association with some wet fall conditions. Average flows for October to December in 2014 were higher than typical. The peak spring freshet occurred in May, which is consistent with most other years. Flows were lower than average throughout much of the rest of the year. Flow supplementation has been provided to the Granny Creek system, starting in October 2008, in accordance with provincial permitting requirements as discussed below. The measured average annual flow of 63,830 m3/d for 2014 was slightly above the average for years 2009 through 2013 (58,149 m3/d) when flow supplementation also occurred.

In addition to the three creek flow monitoring stations, six water level recording stations were also established (three on each creek branch upstream of flow Stations NG-001 and SG-001). These water level recording stations were set up between October, 2006 and January, 2007, and their purpose is to monitor creek water levels (and inferred fish habitat availability) in upstream creek

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areas where the channel profile and velocity are not suitable for flow measurement (channel gradient too flat, channel too poorly defined, and flows obstructed by frequent beaver dams). Creek water levels are measured continuously using pressure transducers and data loggers, the same as for creek flow monitoring stations, augmented by manual monthly winter measurements when there is ice cover. Water level data for the Granny Creek stations are provided in Figures 12 and Figure 13. No long-term trends are evident in the data for either creek branch. Occasional elevated readings are seen as a result of increased pressure on transducers from ice build-up.

In terms of overall system management objectives, commitments were made through the CSR and through the provincial permitting process to protect Granny Creek against mine dewatering flow reduction effects that could potentially effect fish and fish habitat. In the winter of 2008, a flow supplementation pipeline system was constructed to ensure that minimum flow thresholds are maintained in Granny Creek to protect creek fisheries resources (Figure 14). The pipeline system draws water from the Attawapiskat River and is capable of providing up to 8,000 m3/d of added flow to each of North and South Granny Creeks.

System operation is governed by PTTW #6342-9NEJVH, which provides for a minimum flow supplementation rate during the winter months (December 1 to the onset of the spring melt of the following year) of 2,000 m3/d to each of North and South Granny Creeks. During the non-winter (open water) months flows in Granny Creek, as measured at the creek confluence flow station 04FC011, are to be maintained at a minimum threshold of not less than 16,000 m3/d. Flow supplementation occurred during the entire first quarter of 2014 and continued until May 14, 2014, when discharge exceeded 16,000 m3/d. Flow supplementation in 2014 also occurred from June 30 to September 4, and commenced again on October 31 and continued for the remainder of the year.

A flow measurement station on Tributary 5A was established in June 2007 as a control station for the Granny Creek system. This creek is located outside of the potential zone of mine dewatering effects and drains to Tributary 5, which in turn drains to the Nayshkootayaow River from the south bank, south of the VDM site. Tributary 5A has a watershed area of 29.9 km2, and is broadly comparable to each principal branch of the Granny Creek system in size and form. The monitoring system on Tributary 5A consists of one flow monitoring station (Station TRIB-5A), and two water level recording stations (Stations TRIB5A-U/S and TRIB5A-D/S), (Figure 10). Flows and water levels at these stations during 2008 to 2014 were monitored in the same way as for the Granny Creek system.

Winter flows for Tributary 5A in 2014 were effectively zero (Table 26), indicating that winter flows for the Granny Creek system were artificially maintained above a zero flow threshold by flow supplementation. Tributary 5A flows for the other months, when prorated to a watershed area of 91.6 km2, were proportionately higher in the months of May, June, September and October, and proportionately lower in July, August, November and December. Granny Creek flows were supplemented during these latter four months in 2014.

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3.2.4.2 Nayshkootayaow River

The Nayshkootayaow River is a moderate sized river system with a total watershed area of 2,180 km2. Four flow monitoring stations have been established on the river: two upstream of the VDM site (Stations NR-001 and NR-002), one opposite the mine site (Station 04FC010) and one station further downstream (NR-003), (Figure 10). Station 04FC010 was established in June 2000, as part of the initial baseline study program. Stations NR-001, NR-002 and NR-003 were set up in May 2004, August 2006 and May 2004, respectively.

As with the Granny Creek flow stations, water level data from the four river stations are measured continuously using pressure transducers and data loggers, with water levels being converted to flows through comparisons with site specific flow / water level rating curves. Manual measurements are taken monthly in winter, as for the Granny Creek system. Monthly and mean annual flow data for the 04FC010 Station are shown in Table 27 for the period of record, with detailed (daily) flow data shown in Figure 15 for the period of 2006 through 2014.

The data for 2014 show below average flows for January to April, followed by above average flows in May and June, below average flows in July and August, and above average flows for the remainder of the year. Overall, average flows for the year were comparable to those of other years.

A flow supplementation system was installed in the winter of 2007 to manage the potential for Nayshkootayaow River flow reductions resulting from well field dewatering and was functional as of 2008. The flow supplementation system involved construction of an approximately 11.3 km long buried pipeline, connecting to the Attawapiskat River pumphouse, and capable of delivering up to 28,000 m3/d of flow supplementation water from the Attawapiskat River to the Nayshkootayaow River, by way of Tributary 3. The capacity of the system is more than sufficient to offset predicted well field induced flow losses to the Nayshkootayaow River system, with flow supplementation expected to be solely, or mainly, used in the winter months, when Nayshkootayaow River flows are typically at their lowest under natural conditions.

Flow supplementation for the winter of 2013/2014 began on October 27, 2013 and ended May 14, 2014. Flow supplementation also occurred during a low precipitation period in the summer, from July 28 to August 4, 2014, and again from August 12 to September 4, 2014. Supplementation began again on October 31, 2014 in preparation for the 2014/2015 winter.

3.2.4.3 Attawapiskat River

Attawapiskat River flows opposite the VDM site are calculated by prorating flows from Water Survey of Canada (WSC) Station 04FC001 located upstream on the Attawapiskat River, just below its confluence with the Muketei River. The watershed area at the WSC station measures 36,000 km2, whereas north of the VDM site, the Attawapiskat River has a watershed area of 43,500 km2. Flow data for Station 04FC001 was available from Environment Canada (EC) for the

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period of 1968 to 2014 at the time this report was prepared. Calculated river flows opposite the VDM site for period of 2006 through 2014 are shown in Figure 16.

River flow data show a pattern consistent with other regional hydrologic systems. The Attawapiskat River demonstrates low winter flows, followed by a strong peak during the spring freshet, reduced summer flows and a generally smaller fall peak flow. This pattern continued for 2014.

3.2.4.4 North River

Groundwater modeling conducted as part of the federal EA process initially indicated a potential for well field dewatering to adversely affect flows in the North River later in the mine life. Consequently, two continuous flow monitoring stations were set up in October, 2004 and September, 2005 on the North River (i.e., Stations NT-001 and NT-002, respectively). As with stations on the Granny Creek and Nayshkootayaow River systems, flows at the North River stations were initially measured continuously and supported by manual monthly flow measurements in winter.

The June, 2007 and March, 2008 groundwater model updates each showed that well field dewatering was not expected to adversely affect flows in the North River so regular monitoring of those locations ceased. Historic data are available on request.

3.2.5 Fish Habitat

3.2.5.1 Granny Creek System

Well field pumping has the potential to adversely affect Granny Creek flows and water levels, and hence the availability of fish habitat through the interception of waters which would otherwise drain to the creek as runoff and shallow groundwater seepage, as well as through direct seepage losses from the creek itself. During 2014, well field pumping was carried out at an average rate of 79,300 m3/d, which is considerably less than the 130,000 m3/d (plus a 20,000 m3/d contingency) allowed for by PTTW #6342-9NEJVH.

Granny Creek flow and water level data are discussed in Section 3.2.4.1. Granny Creek flows for 2014 showed strong seasonal variations; with a freshet in May, and a drier summer and wetter autumn compared against long-term averages (Table 25). While creek flows varied substantially, creek water levels and available fish habitat tended to be much less variable and were broadly consistent from year to year and throughout the seasons. This is due to the flat terrain and the effects of beaver impoundments (Figures 12 and 13). Habitat constraints occur in winter under ice cover, when substantial portions of the creek can freeze to or near the bottom, which is a natural occurrence. During the winter, it appears that fish species (principally minnow species) retreat to deeper over-wintering pools.

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As described in Section 3.2.4.1, Granny Creek flows are supplemented by water pumped from the Attawapiskat River, to help maintain fish habitat. The flow supplementation system provides for: 1) maintaining Granny Creek non-winter flows, as measured at the Granny Creek confluence station 04FC011 above the 3-year return period summer low flow month threshold of 16,000 m3/d; and 2) providing flow supplementation to each of the two main creek branches (North and South Granny Creeks) at a rate of not less than 2,000 m3/d during the winter period.

With supplementation, Granny Creek fish habitat functions were preserved throughout the 2014 reporting period, as per PTTW #6342-9NEJVH. Winter flow was maintained in these creeks, while the reference Tributary 5A naturally froze to the point that there was no measurable flow for much of the winter.

3.2.5.2 Nayshkootayaow River

Nayshkootayaow River flows experienced lower than typical flows from January to April, a later than typical spring freshet, low flows in July and August and higher flows during the remainder of the year (Table 27). The principal concern for Nayshkootayaow River flows in relation to mine dewatering is for low flow conditions, when there is a potential to reduce natural river flows by greater than 15%. The Nayshkootayaow River flow supplementation system (installed during the winter of 2007) is designed to offset any significant mine dewatering effects to the river during low flow conditions. Accordingly, flow supplementation to the Nayshkootayaow River during the winter of 2014 was provided at an average rate of approximately 17,400 to 20,100 m3/d. The 17,400 m3/d value is the HCI-Itasca 2008 model predicted flow loss to the Nayshkootayaow River that is expected to develop as a result of well field dewatering at the maximum predicted mine dewatering rate of 130,000 m3/d. The 17,400 m3/day value was subsequently revised to approximately 11,000 m3/d in the 2012 model update (Itasca 2012). Winter flow supplementation began on October 27, 2013 and ceased on May 4, 2014. Flow supplementation rates during the winter of 2013/2014 were maintained above the 17,400 m3/day supplementation threshold. Threshold flow rates in Nayshkootayaow River were above required amounts.

Non-winter flow supplementation was initiated on July 28, 2014 and continued until August 4. Supplementation began again on August 12, and continued until September 4. Supplementation began again on October 31 and continued for the remainder of the year. Consequently, there was no observed adverse effect of well field dewatering on Nayshkootayaow River fish habitat during the reporting period.

3.2.6 Benthos and Fisheries Resources

The federal Environmental Effects Monitoring (EEM) program is a requirement of the Metal Mining Effluent Regulations (MMER). The EEM is a science-based program designed to assess the effects, if any, of effluent discharges on fish and aquatic habitat, including effects on benthic organisms. Although the VDM is not a metal mine and is not legally subject to the MMER, during the federal EA for the mine, De Beers made a commitment to conduct a biological monitoring program that would be consistent with the federal EEM program. The frequency of assessment

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was established to coincide with the aquatic monitoring schedule set out by the MOECC as part of C. of A. #6909-76ZGYP (for Granny Creek) and C. of A. #3960-7Q4K2G (for the Attawapiskat River), federal EEM guidance documents (every three years), and the occurrence of effluent discharge from the PKC facility to NGC in a particular year (applicable to C. of A. #6909-76ZGYP).

The first EEM cycle monitoring program for the Granny Creek system commenced during the fall of 2011. The second EEM cycle monitoring program for the Granny Creek system was carried out in 2014 as part of an expected sequential cycle of monitoring to be continued into the future at three year intervals, with an emphasis on benthic invertebrate communities and supporting environmental variables in reference and near-field exposure areas (Amec Foster Wheeler 2015b).

The first EEM cycle monitoring program for the Attawapiskat River was conducted in the fall of 2008 with second and third cycle programs being carried out in the 2011 and 2014, respectively.

Additional aquatic system sampling for fisheries occurs in relation to the Victor Mine mercury performance monitoring program, as per Conditions 7(5) and 7(6) of C. of A. #3960-7Q4K2G. This program includes annual sampling of small fish from Granny Creek, the Nayshkootayaow River and the Attawapiskat River, and sampling at three year intervals for large fish from the Nayshkootayaow and Attawapiskat River systems and from Monument Channel (Amec Foster Wheeler 2015c). Monument Channel is a remote control site near the community of Attawapiskat.

Specific aquatic resource studies/reports that were completed in 2014 are the following:

 2014 Aquatic Environmental Effects Assessment and Benthic Invertebrate Monitoring Study, De Beers Victor Mine, North Granny Creek Receiving Waters, as per Condition 8(6) of Certificate of Approval #6909-76ZGYP, (issued May 2015),

 2014 Aquatic Environmental Effects Monitoring Study, De Beers Victor Mine, Attawapiskat River Receiving Waters, as per Condition 6(16) of Certificate of Approval #3960-7Q4K2G (issued May 2015), and;

 De Beers Canada Inc. Victor Mine Mercury Performance Monitoring 2014 Annual Report as Per Conditions 7(5) and 7(6) of Certificate of Approval #3960-7Q4K2G (AMEC 2015d issued June 2015);

The following sections summarize the details of these reports.

3.2.6.1 EEM Studies

Granny Creek System

Water quality, sediment quality and the benthic invertebrate community data for 2014 were assessed at a near-field exposure area of North Granny Creek (NGC), and at an upstream

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reference area of NGC between October 5 and 7, 2014 (Figure 17). The reference and exposure areas were located as follows:

 Five replicate control stations were situated approximately 1.3 km upstream of the PKC facility discharge and downstream of the point of discharge for supplementation flow in NGC and were grouped as NGC-REF (Figure 17).

 Five replicate stations were situated directly downstream of the PKC facility discharge point in NGC (upstream of the NEF) and were grouped as the exposure area (NGC-EXP) (Figure 17).

Generally, all parameters achieved PWQO and CWQG values at all replicate sampling stations with a few exceptions. Sediment composition was also generally comparable between exposure and reference areas and provided similar habitats with respect to benthic invertebrates, with no indication of an increase in metals concentrations within sediments in the depositional area downstream of the PKC facility discharge, when compared to the upstream reference area.

Total invertebrate density (TID) and family richness for benthos were greater at the exposure area, when compared to the reference, in both 2011 and 2014. The difference in these endpoints is in a direction which infers a potential increase in biodiversity and abundance in the receiving environment. The observed increase in invertebrate density and family richness for benthos in the downstream exposure area, compared with the upstream reference site, is believed most likely to be an effect of slight differences in habitat availability and the relative level of total organic matter, rather than a response to the PKC facility discharge. The expected timing for the next monitoring cycle is 2017. Further details are presented in the De Beers Victor Mine, North Granny Creek Receiving Waters, 2014 Aquatic Environmental Effects Assessment and Benthic Invertebrate Monitoring Study, as Per Condition 8(6) of Certificate Of Approval #6909-76ZGYP.

Attawapiskat River

Monitoring during 2014 was undertaken between September 24 and October 9 at five replicate stations within each of the Attawapiskat River near-field and far-field exposure areas, and at two reference areas for comparisons of water and sediment quality, and benthic invertebrate and fish communities. The second Attawapiskat River reference area (ATT-REF2) was added to the program in 2014. This station is located on the north shore of the river, parallel to the discharge location and near-field exposure area. It is separated from the well field discharge location by an approximate 1,000 m cross-channel section of river and a chain of mid-channel islands, and is not influenced in any way by the well field discharge.

Receiving water effluent characterization information indicated that the mixing of well field effluent in the river occurs within less than 100 m of the discharge point, and that the near-field and far- field exposure areas are within the 1% effluent concentration threshold required by EEM.

Surface water chloride levels within the near-field and far-field exposure areas remained elevated above background in 2014, as in previous years, but were well below the 120 mg/L federal

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guideline criterion for the protection of aquatic life, for long-term exposure. Concentrations of other solutes (sulphate, sodium and potassium) were also elevated. Of these parameters only sulphate has an associated protection of aquatic life guideline value, which has been developed for British Columbia. There are no applicable Ontario of federal guidelines for the protection of aquatic life for sulphate. Sulphate concentrations in the Attawapiskat River were well below the applicable British Columbia value for the protection of aquatic life (216 mg/L for waters with hardness of 31 to 75 mg/L). The observed increases in chloride, sulphate, sodium and potassium in the downstream river exposure areas is a direct result of the mine effluent discharge. Values are below concentrations predicted in the CSR.

Sediment substrates and total organic carbon sampled at ATT-REF2 were more comparable to the near-field and far-field exposure areas, than were those of the historic upstream reference area (ATT-US) in 2014. Sediment metal concentrations at exposure areas were similar to those of reference areas.

Total invertebrate density (TID) was greater in the Attawapiskat River near-field exposure area compared to both reference areas in 2014; however, this result was not identified in past cycles of the study. The greater TID in the near-field area was not accompanied by a decrease in the percent Ephemeroptera, Plecoptera, Trichoptera (EPT), or an increase in the percent chironomids when compared to the upstream reference area. Family richness was greater at the near-field exposure area, but only when compared to the upstream reference area. Family richness was greater at the near-field exposure area in each of 2011 and 2014. The Bray-Curtis Index (BCI) was significantly different between ATT-REF2 and each of the exposure areas in 2014, indicating dissimilar communities. The BCI dissimilarity between ATT-US and ATT-FF was not confirmed through two cycles (2008 and 2014), and is therefore not demonstrative of an effect as defined by EEM protocols. Communities at ATT-NF and ATT-US were significantly dissimilar in each of 2011 and 2014, but the magnitude of these effects remained well below the Critical Effect Size (CES) as provided in the Metal Mining Environmental Effects Monitoring Technical Guidelines (EC 2012).

Trout-Perch remained the most abundant small-bodied fish species available at near shore areas of the Attawapiskat River in 2014, similar to previous years. Mottled Sculpin were also captured as a secondary sentinel species in 2014.

Mottled Sculpin (Young-of-the-Year [YOY] and age 1+) as compared between ATT-NF and ATT-REF2 were similar for all endpoint descriptors except for the age 1+ condition which was greater at ATT-REF2 in 2014.

YOY Trout-Perch were slightly smaller in the near-field exposure areas when compared to ATT-REF2, but larger than the same species at ATT-US. Size was similar between the ATT-REF2 area and ATT-FF. As such, near-field YOY Trout-Perch fall between the upstream reference area and the adjacent reference area for size, potentially indicating natural variability for this species within the system.

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Age 1 + Trout-Perch had similar length frequency distributions between each of ATT-REF2, ATT-NF and ATT-FF, and mean length, weight and age were also similar between these areas. Trout-Perch condition (weight at length) and growth (weight at age) were similar between ATT-FF and ATT-REF2 indicating no geographical extent of effect. Condition and growth were greater at ATT-REF2 than ATT-NF in 2014, but ATT-NF and ATT-FF were not significantly different. The near-field area was also similar with respect to age 1+ Trout-Perch condition and growth when compared to ATT-US and therefore considering all lines of evidence, an effect on condition and growth of 1+ Trout-Perch by the effluent discharge has not been demonstrated.

The next (fourth) cycle of sampling is scheduled to be conducted in 2017 to investigate potential changes in the receiving water environment

3.2.6.2 Fish Body Burden Mercury Studies

As per C. of A. #3960-7Q4K2G, the mercury performance monitoring program includes analysis of both large-bodied and small bodied fish. Large-bodied sport fish are to be sampled from the Attawapiskat River, Nayshkootayaow River and Monument Channel at three-year intervals to investigate mercury body burden concentrations. Large-bodied fish were last sampled in 2013; hence there are no results to report for 2014. Northern Pike (Esox lucius) is targeted as the sentinel large-bodied piscivorous species for body burden mercury analysis.

Small-bodied fish are sampled annually to determine body burden mercury concentrations, and in 2014 were sampled from:

 North Granny Creek (NGC);

 South Granny Creek (SGC);

 Control Tributary 5A (ST-5A);

 Nayshkootayaow River (downstream of the Granny Creek confluence, NAY-DS6); and from

 Four stations on the Attawapiskat River (upstream of the mine site, ATT-US; approximately 500 m downstream of the well field discharge, ATT-NF; approximately 2 km downstream of the well field discharge point, ATT-FF; and the north shore of the river, parallel to the discharge location, ATT-REF2).

Sampling areas in the Attawapiskat River upstream of the mine site and at ATT-REF2, in the Nayshkootayaow River upstream of Tributary 3, and at Tributary 5A serve as reference (control) areas to near-field and far-field areas located downstream of the mine site and discharge locations. The presence of Pearl Dace (Margariscus margarita) is adequate to allow for comparisons for small-bodied fish between North Granny Creek, South Granny Creek and

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Tributary 5A. A second small-bodied species, Trout-Perch (Percopsis omiscomaycus), is used to compare upstream and downstream Attawapiskat and Nayshkootayaow River locations.

Large-bodied and small-bodied fish are collected from the above mentioned locations using the techniques of electroshocking, minnow trapping, angling and gill netting, as appropriate.

Detailed mercury analyses for large-bodied fish are presented in the 2013 Annual Mercury Performance Monitoring Report (AMEC 2014). Small-bodied fish tissue data are provided in the 2014 Annual Mercury Performance Monitoring Report (Amec Foster Wheeler 2015d).

For small bodied fish, to compare total mercury body burden levels between sites and years, a Before-After-Control-Impact (BACI) design was used with analysis of covariance (ANCOVA) incorporating total length as the covariate. Both length and weight were used in 2014. Interactions between period (year) and site (control impact) were analyzed for significance to determine if an effect due to the mine was evident (as indicated by a significant interaction term). In addition, trends in mercury levels over time were assessed using a Generalized Additive Model (GAM; Zuur et al. 2009) for small-bodied fish. The GAM is a useful approach that can deal with non- linear data and provide statistical tests to determine if change over time has occurred.

Due to the tendency of mercury body burden values to increase as fish grow, and the difficulty in obtaining similar length fish across all years, fish length was added to the model. Where significant differences were observed (overall alpha = 0.05) a post-hoc comparison test of the treatment groups was performed to help identify the nature of the differences. Where applicable, a Bonferroni correction was applied to adjust for multiple comparisons for each species.

Granny Creek System

In general, mercury levels in Pearl Dace increased between 2009 and 2014 for fish from NGC and SGC when corrected for total length; whereas mercury levels remained essentially the same for Pearl Dace from ST5A. The increase between 2009 and 2014 was statistically significant for Pearl Dace from South Granny Creek (SGC), but not for NGC.

The GAM for Pearl Dace showed an increase in body burden mercury concentrations for fish from NGC since 2008 specific to a standardized fish size of 60 mm, with a peak reached in 2011 and 2012, followed by gradual reduction through 2013 and 2014 (Figure 18). For SGC the trend analysis showed near steady state conditions from 2008 through 2012, but an increasing trend thereafter through 2013 and 2014. ST-5A showed a very slight increase in Pearl Dace body burden mercury concentrations from 2008 to 2014. A comparison of body burden mercury concentrations for Pearl Dace from Granny Creek and Tributary 5A for both age classes pooled, from 2008 to 2014, showed a trend similar to that observed by the GAM model.

Overall, the trend to decreasing body burden mercury concentrations in Pearl Dace from NGC observed in 2013 and 2014 is encouraging, and may reflect stabilizing filtered methyl mercury concentrations observed in downstream NGC (Table 22). The trend to increasing body burden

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mercury concentrations in Pearl Dace for SGC, on the other hand, is of potential concern and is in some instances is difficult to distinguish from background concentrations and the effects of seasonal variation. Downstream SGC filtered methyl mercury values increased to levels close to those of NGC in 2013, but declined to background levels in 2014 (Table 21). There does not appear to be an association between SGC Pearl Dace body burden mercury concentrations and downstream SGC methyl mercury concentrations. Methyl mercury is the mercury species most readily taken up by fish.

At least part of the explanation as to why body burden mercury concentrations have increased in aged 1+ years Pearl Dace from SGC may rest with the size and age of the 1+ year fish from SGC. Pearl Dace aged 1 + years captured at SGC were older and larger than their counterparts from NGC in 2014. No YOY Pearl Dace were captured from SGC in 2014. This age and size discrepancy occurred despite the utilization of comparable fishing techniques and efforts for both creeks. As such, no selectivity bias toward larger size or age was introduced through sampling and the reasons for such differences are not fully understood. Greater success in capturing this species in these water bodies has been found earlier in the field season (late August to mid- September), prior to substantial reductions in water temperature.

With regard to the cause of increased body burden mercury concentrations in Pearl Dace from the Granny Creek system compared with baseline conditions and the Tributary 5A control system, the root cause is believed to be enhanced mercury methylation within the lower portion of the Granny Creek watershed linked to sulphate release, as described in Section 3.2.1.2. De Beers is continuing to investigate the sources and options for controlling sulphate discharges to the muskeg, which appear to increase the bacterial activity that converts naturally occurring trace levels of metallic mercury to the more mobile methylated form.

Nayshkootayaow River and Attawapiskat River

Small-Bodied Fish

The high water conditions in 2014 prevented the capture of Trout Perch from the upstream Nayshkootayaow River station. Trout Perch were, however, captured from the Nayshkootayaow River downstream station prior to the high water conditions. Upstream / downstream comparisons of Trout Perch body burden mercury concentrations were therefore not possible for the Nayshkootayaow River in 2014. Trout Perch body burden mercury concentrations for fish from the downstream Nayshkootayaow River station have declined slightly from values first observed in 2008 through 2010, and have remained essentially stable (Figure 19) indicating no effect of mining operations on Trout Perch in the Nayshkootayaow River. Trout Perch body burden mercury concentrations from the Nayshkootayaow River were also comparable to those of the Attawapiskat River stations described below.

Trout-Perch were compared from the Attawapiskat River approximately 9 km upstream of the mine site (ATT-US), the Attawapiskat River 250 m downstream of the well-field discharge

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(ATT-NF), and the Attawapiskat River 2.5 km downstream of the well-field discharge (ATT-FF) (Figure 20).

A comparison of Trout Perch body burden mercury levels for the Attawapiskat River between 2009 and 2014 (baseline versus present) showed a significant decrease for fish from the ATT-NF site, a slight decrease for fish from the ATT-FF site, and a slight increase for fish from the ATT-US site (Figure 21). The latter differences were not statistically significant.

Results for Attawapiskat River Trout Perch for a standardized length of 50 mm were fairly similar across all years, with total mercury values from all areas staying relatively constant. At ATT-NF there was an increase in 2009 which then levelled off from 2010 to 2014. At ATT-FF and ATT-US, total mercury concentrations were slightly higher in 2008 and 2009, but began to decrease following 2009 (Figure 22). When separated by age class, body burden mercury concentrations for Trout Perch from the Attawapiskat River also remained relatively consistent from 2008 to 2014 for both YOY and age 1+ fish (Figures 23 and 24), with the exception of 2009 for age 1+ fish when mercury concentrations were lower.

The data collected thus far, when viewed in their entirety, show that there has not been a mine- related effect on small fish body burden mercury concentrations within the Attawapiskat River.

3.3 Groundwater Systems

3.3.1 Groundwater Pumping Rates

Groundwater discharges during 2014 were limited to those associated with well field dewatering to support open pit mining. Well field dewatering commenced on January 6, 2007 and continued through 2014 as shown in Figure 6. Pumping rates in 2014 were on average, slightly lower than those for 2013. Pumping in 2014 ranged from approximately 10,000 m3/d to 91,500 m3/d, with an annual average of 79,300 m3/d. This rate is 61% of the permitted daily maximum of 130,000 m3/d, excluding allowances for contingencies.

An extensive array of groundwater monitoring wells has been set up to monitor the response of the groundwater regime as shown in Figures 25 and 7a, b, and as listed in Table 28. Responses of pit perimeter monitoring wells to well field dewatering are shown in Figure 26. Figure 27 shows the response of the MS-8 series of monitoring wells to mine dewatering. The MS-8 series of wells is located approximately 3.5 km northwest of the open pit, and is the closest muskeg monitoring well station cluster to the open pit. This well series is contained principally with the area bounded by the 4 and 10 m Upper Attawapiskat Formation groundwater drawdown contours (Figure 7a). More complete data sets for all groundwater monitoring installations are presented in the quarterly reports prepared pursuant to PTTW #6342-9NEJVH, as listed in Section 4.2.2.

Figure 26 shows maximum water level declines in the open pit area bedrock aquifer of approximately 150 m below grade at well OPW-L, located on the west side of the pit. The overall response of these wells to changes in well field pumping rates is evident from the figure.

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Groundwater elevations in the four muskeg types (domed bog, flat bog, horizontal fen and ribbed fen) for the MS-8 series wells have varied seasonally, but have not declined over time (Figure 27), indicating that muskeg water levels have not been influenced by mine dewatering, even at sites relatively close to the open pit. Water levels in the underlying bedrock and overburden layers, however, have declined for the MS-8 series wells in response to mine dewatering.

The outer edge of the drawdown contour in the Upper Attawapiskat Formation bedrock aquifer expanded slightly in 2014 from that observed in previous years, but appears to be approaching near steady-state conditions (Figure 7a).

3.3.2 Groundwater Quality

Water quality data for chloride (an indicator used to monitor trends in groundwater salinity) are shown in Figure 6 for the period of 2007 through 2014. As described in Section 3.2.1.3, chloride concentrations gradually increased from about 450 mg/L early 2007, to an average of 1,248 mg/L in 2014. Chloride concentrations have thus far remained below those predicted by modeling during the EA and permitting stages, wherein chloride concentrations during 2010 were predicted to peak at approximately 1,300 mg/L, and then to gradually decline thereafter to about 800 mg/L by the end of the mine life. Under more conservative assumptions, the original EA modeling predicted that well field discharge chloride concentrations could reach levels of from 1,400 to 1,800 mg/L (CSR – Section 6.4.1.5.2; HCI 2004). Updated solute transport modeling conducted in 2012 predicted that well field chloride concentrations will gradually rise and peak at about 1,500 mg/L by 2016 and remain at that level to the end of the mine life (Itasca 2012).

3.4 Terrestrial Systems

3.4.1 Wetlands

3.4.1.1 Satellite Imagery

IKONOS colour, multi-spectral satellite imagery was initially obtained for an approximate 2,040 km2 area surrounding the VDM site on August 6 and August 9 2006 (Figure 28), prior to mine development. The imagery was orthorectified to an accuracy of ±1 m, and provides high quality resolution, in accordance with commitments made in the November 10, 2006 letter to Mr. Denis Lagáce of Natural Resources Canada (NRCan), entitled Wetland (Muskeg) Monitoring Plan – Victor Project. The muskeg monitoring program provides for full coverage satellite imagery to be obtained at five-year intervals, with spot areal coverage to be obtained at two-year intervals. The five-year interval satellite imagery was obtained using GeoEye-1 satellite imagery on September 8, 2012. Additional spot coverage satellite imagery was obtained in September 2013 (GeoEye-1) and again in September 2014 (Pleiades satellite imagery). The next 5-year cycle of detailed analysis will be completed in 2017.

For the purpose of the five year wetland assessment, the overall study area was defined by the interpolated 2 m predicted drawdown contour in the upper bedrock aquifer originally predicted by

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the 2008 hydrogeological model (HCI 2008). Propagation of the actual mine dewatering cone has been less extensive than originally predicted by HCI (2008), and the 2008 HCI model was updated in May 2012 (Itasca 2012). The near-field zone of influence (NF-ZOI) for actual mine dewatering used in this assessment, was defined as the area within the existing 2 m drawdown contour. The mid-field zone of influence (MF-ZOI) for the purpose of muskeg pond area comparisons between 2006 and 2012 was defined as the area between the NF-ZOI and the 2008 model predicted 2 m drawdown contour, referenced herein as the distal study area. A far-field zone centered approximately 23 km west of the VDM site was selected as a control site.

A maximum likelihood classification algorithm was used to generate digital number averages and variance information in order to assess the probability for each pixel in the image as belonging to the open water category as defined by the sample/training pixels. The maximum likelihood procedure produced a probability image (raster grid) in which each pixel in the overall study area is assigned a probability category for its inclusion into the open water category. These pixels were isolated though a re-class raster function in order to produce an image consisting of 2 simple categories; open water or not open water. Various filter techniques and other refinements were used to develop and verify the images. Further details are presented in Victor Mine Site Area Muskeg Pond Satellite Image Assessment: 2006 Compared with 2012, AMEC, September 2013.

Study findings showed that there was a general reduction in pond surface area expression between 2006 and 2012 in both the NF-ZOI site and the MF-ZOI site. For the MF-ZOI study area which lies outside of the mine dewatering ZOI, the collective measured pond area for 2012 was 88.9% of that measured in 2006. For the NF-ZOI, the collective measured pond area for 2012 was 82.4% of that measured in 2006. When corrected for regional background effects based on results for the far-field control zone, the observed reduction in pond expression for the NF-ZOI and the MF-ZOI were 14.0% and 7.5%.

The observed result is consistent with EA predictions, wherein some localized reduction in muskeg pond expression was expected to occur as a result of mine dewatering, but by and large, muskeg ponds within the ZOI were not substantively affected. Where specific larger ponds were observed to go dry in 2012 (or earlier), compared with 2006, virtually all of these ponds were located in areas of very thin marine sediment thickness.

3.4.1.2 Piezometer Installations

As described in Section 3.4.1.2 of the First Annual FUPA Report, a series of peatland (muskeg) groundwater monitoring installations were set up in bioherm zones surrounding the VDM site during the winter of 2006/2007. In total, nine monitoring clusters were established: designated as Station Clusters MS-1, MS-2, MS-7, MS-8(1), MS-8(2), MS-9(1), MS-9(2), MS-13, and MS-15. Cluster locations are shown in Figure 28 and 29 and listed in Table 29, with the most distant cluster (S-13) being located approximately 30 km west-northwest of the open pit.

At each cluster, a single peat horizon piezometer was set up in each of the four principal peatland (muskeg) community types (domed bog, flat bog, horizontal fen and ribbed fen). In addition, one

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multilevel piezometer was set up in the mineral soil horizon, and an additional well (or wells) was set up in the underlying bedrock. Typical piezometer / well arrangements are shown in Figures 27 and 28 for Clusters MS-7 and MS-8, respectively. Peat piezometer installations for any one cluster were necessarily spaced over a fairly large area in order to achieve representation of the four principal peatland community types. In addition, a further three sets of peatland piezometers, referenced as the MS-V Series (i.e., MS-V1, MS-V2 and MS-V3) were established in 2007 at locations closer to the VDM site. These MS-V Series stations provide representation of domed bog and ribbed fen community types only, as other muskeg community types were not generally present in the area closer to the VDM.

Each piezometer / monitoring well was fitted with a pressure transducer, which continuously records groundwater levels, with readings taken at minimum twice daily intervals. The data are downloaded manually at periods ranging from quarterly to annually depending on the monitoring schedule of respective wells. Groundwater samples for water quality analyses are collected annually in the fall from all MS and MS-V piezometers and groundwater well installations. Surface water samples are collected quarterly from all MS and MS-V series ribbed fen sites except where prevented by frozen ground (winter) conditions. A number (32) of peat layer piezometers were also installed in transects around the CQ during the winter of 2005/2006, as listed in Table 28.

Figure 27 shows a representative set of groundwater level data for a typical set of MS series piezometers and wells, for Cluster MS-8. The data show that piezometers positioned in the peat horizon (i.e., MS-8-1D, MS-8-1F, MS-8-1H and MS-8-1R) have all maintained their respective water table positions, and as such there was no desaturation of the overlying peat layer (muskeg environment) during the period 2007 through 2014. Inspection of the graphs for the bedrock wells shows a marked desaturation of the underlying bedrock and increasing desaturation of the marine sediments positioned between the bedrock and the overlying peat horizon. The data for all three horizons (peat, marine sediments and bedrock) show moderate to strong seasonal variations.

Water level and water quality data collected from peatland piezometers and associated groundwater well installations for 2014 were provided to the MOECC in various reports as listed in Section 4.2.2.

3.4.1.3 Ground Settlement

A deep (220 to 230 m thickness) overburden filled trench was identified during mine exploration bordering the northeast side of the open pit. Hydrogeological modeling conducted by HCI in 2007 predicted that mine dewatering could potentially result in ground settlement of up to 1.2 to 5 m near the deepest portion of the overburden trench at the end of mine life. As much as half of this settlement was predicted to occur at the end of the first year of mining. As a preventive measure, the area of thickest overburden has been overlain with a mineral waste stockpile.

To measure ground subsidence in this area, seven subsidence monitoring stations were installed in November, 2007. One of the original stations (Station SS-3) was replaced by a more detailed SS-8 transect running parallel to the south side of North Granny Creek in the area of the deep

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overburden trench bordering the northeast side of the open pit. Another station (SS-4) was later destroyed by site infrastructure development. Existing station locations are shown in Figure 25.

Each station consists of one or more steel rods driven into the ground using a portable Pionjar drill. Stations were surveyed bi-annually until 2011 and have since been sampled annually, except for 2013 when bi-annual sampling was carried out.

Thus far the SS-1 through SS-7A stations have shown little to no ground settlement, with the exception the SS-1 station positioned on the northeast side of the open pit, where an overall settlement of 0.34 m has been recorded (Table 30). The northeast margin of the open pit is bordered by the deep overburden trench.

The eight central SS-8 transect survey stations (VM ED2 through VM ED9) were set up in pairs, with one member of each pair set up on the crest of the constructed berm bordering North Granny Creek, and the other member of each pair positioned in adjacent native ground. The two stations located at either end of the transect (i.e., Stations VM ED1 and VM ED10) are positioned in native ground. Stations located on a constructed berm were no longer being monitored from 2009 to 2012 as settlement within the constructed berm is not material to the issue of overall ground settlement. Station VM ED3 showed a slight increase in elevation in 2014 compared with the static (baseline condition). For stations established in native ground, there has been very little ground movement i.e., less than 0.25 m.

Ground settlement has consequently not occurred on the scale predicted (Table 30). One reason for this is that the model conservatively assumed that the bedrock surrounding the deep overburden trench would be instantaneously depressurized to the full depth of the trench (i.e., to a depth of 220 to 230 m) at the start of mining. By the end of 2014, bedrock surrounding the overburden trench had been depressurized to a maximum depth of about 140 m. Further appreciable ground settlement is not expected.

3.4.1.4 Vegetation Plot Surveys

Comments were made during the federal EA process that mine-related dewatering activities might have the potential to adversely affect VDM area muskeg environments, resulting in potential changes in the balance of non-vascular versus vascular plant species representation in affected areas. Vegetation monitoring sites around VDM were set up during June, 2007, as described in Section 3.4.1.4 of the First Annual FUPA Report. A second vegetation monitoring survey was conducted during 2012 to compare to 2007 baseline conditions and was summarized in the Sixth Annual FUPA Report.

Concerns expressed during the federal EA process included the following:

 Fens generally have groundwater inputs and as groundwater dewatering lowered the water table, less groundwater inputs could convert fen to bog habitat.

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 Bog habitats typically have less diversity and species richness could decline. As conditions become drier, vascular plants would have an advantage over non-vascular plants (e.g., mosses) and vascular plant percent ground cover could increase, resulting in a decline of Sphagnum (moss species) cover and richness. These effects could be more pronounced in fen communities and there could be a relationship between impacts and proximity to the VDM.

Eight monitoring station clusters were set up in 2007 within known bioherm zones, with selection designed to cover a range of near field, intermediate field, and far field sites (Figures 28 and 29). Bioherm zones were selected for study as these are the areas that are most likely to show the effects of mine dewatering, if any. These station clusters are the same station clusters referenced in Section 3.4.1.2, above. Each cluster had four different habitat types that were individually assessed - domed bog, flat bog, horizontal fen and ribbed fen, with the exception of the MS-2 series where horizontal fen habitat is not present. These plots are to be reassessed for vegetation community changes every five years except for the first monitoring interval of four years.

Overall, species richness generally increased between 2007 and 2012; domed bog by 16%, flat bog by 32%, horizontal fen by 22% while ribbed fens retained the same species richness. The relative cover of vascular plants decreased between 2007 and 2012; domed bog by 23%, flat bog by 20%, horizontal fen by 29% and ribbed fen by 6%. Peat moss relative cover generally increased between 2007 and 2012; domed bog by 21%, flat bog by 35%, horizontal fen by 27% and ribbed fen decreased by 11%. Relative (Sphagnum) moss cover was found to be the same (25 to 40%), regardless of habitat type and fens were not more affected than bogs. Changes in species richness and in relative expression of vascular plants showed no relationship with distance from the VDM. The above differences in species richness and expression of vascular plants observed between 2007 and 2012 need to be interpreted with caution, as even very slight differences between sample plot locations can affect species compositions because of the micro- topographic effects of muskeg hummocks and hollows on moisture regimes. The main conclusion of the 2012 work is that there has not been a notable increase in the representation of vascular plants, which would be expected if there had been a substantial drying of muskeg environments in bioherm zones. This observation is consistent with the hydrogeological data.

The 2007 baseline, along with 2012 results will be used in the future to assess any changes over time. Further details pertaining to the methods, results and discussion are provided in Victor Mine Project: 2012 Vegetation and Breeding-Bird Assessment, dated December 2012. The next scheduled assessment is in 2017 as per the FUPA however, EC has suggested that the next assessment take place in 2015.

3.4.1.5 Mercury Release from Wetlands

In follow-up to the federal EA and during the provincial environmental approval process, concerns were raised regarding the potential for increased mercury release from wetlands to area receiving waters, as a result of possible muskeg system desiccation and decomposition, linked to mine dewatering. In response to these concerns a spreadsheet, mass-balance model was developed

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to estimate the potential for increased mercury release from predicted levels of peat desiccation linked to well field dewatering. This analysis predicted comparatively minor increases in the rates of total and methyl mercury release from area peatlands to local surface waters, with the most probable average annual increase being about 7% for total mercury and about 3% for methyl mercury, as measured in the Nayshkootayaow River (AMEC 2008). These values are well below CEQG values of 26 ng/L for total mercury and 4 ng/L for methyl mercury. The projected increases were also well below natural background variability, and therefore, even if they did occur they would be very difficult to detect.

An extensive wetland mercury monitoring program has been established for the VDM site area as shown in Figures 28, 29, 30 and 31, and listed in Table 29. VDM area fen water quality results for the SWF, NEF, SEF and NWF fens, where the latter two fens are control stations, are described in Sections 3.2.1.1 and 3.2.1.2. Mercury data for area receiving waters are presented in Section 3.2.3.

As of the end of 2014, observed mercury values were indicative of natural background conditions with the exception of methyl mercury concentrations observed in the SWF and NEF, and in downstream North Granny Creek. Increased methyl mercury concentrations observed in these areas are believed to be attributable to the action of sulphate reducing (methylating) bacteria, as described in Section 3.2.1.2, and not to mine dewatering. These effects are very localized.

There is no indication in the broader site area mercury data of any increase in total or methyl mercury levels in either the muskeg or receiving water environments linked to mine dewatering. This includes the Nayshkootayaow River where upstream and downstream total and methyl mercury concentrations are virtually identical and at background levels (Section 3.2.3.2). Peatlands in the area were still saturated as of the end of 2014 (Sections 3.4.1.1 and 3.4.1.2).

3.4.2 Caribou and Moose

3.4.2.1 Direct Habitat Disturbance

In the CSR, it was predicted that direct disturbance to wildlife habitat would total approximately 8.7 km2 of habitat directly displaced by VDM construction activities, and a further 20.1 km2 of habitat that would be altered by transmission line and winter road construction. Satellite imagery taken from the Pleiades Satellite in September 2014 shows direct habitat disturbance to an area of 8.3 km2 which is less than predicted, but dimensions of the various mineral stockpile areas have not yet reached full development. Appreciable deviations from predicted CSR values are not expected. Habitat alteration associated with winter road and transmission line construction was less than predicted as described in Section 3.4.2.1 of the First Annual FUPA Report.

3.4.2.2 Aerial Surveys

Early and late winter aerial surveys, using a fixed wing MNRF Turbo Beaver, were completed in the winters of 2005/2006, 2006/2007, 2009/2010, 2011/2012, and 2013/2014. Early winter

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surveys are conducted in December and late winter surveys in either February or March, with a preference for February so as to minimize disturbance to females in the approach to calving season (Figure 32). Under FUPA, aerial surveys are to be undertaken every other year once the construction phase has been completed. This request for less than annual surveys was made by Elders of the AttFN who were concerned that more frequent (e.g., annual) aerial surveys would be too disruptive to caribou. The most recent aerial survey results of the 2013/2014 winter aerial surveys are summarized in more detail in the 2014 Caribou Report De Beers Canada Inc. Victor Mine dated December 2014. As in previous years, caribou and associated track data tended to be concentrated west-southwest of the VDM in the region closer to Missisa Lake (Figure 33); however, in December 2013 large numbers of caribou tracks were also encountered directly southeast of the VDM. Moose tracks were frequently recorded along river corridors in areas west and northwest of the mine (Figure 34), wolf tracks are variable but largely associated with moose occurrence (Figure 35).

3.4.2.3 Radio-telemetry

A caribou radio-collaring monitoring program was initiated in 2004 and continued through 2014. Details regarding methodology, analysis, results and discussion are found in several successive annual reports (AMEC 2008, 2009, 2011, 2012, 2013), including the latest 2014 Caribou Report De Beers Canada Inc. Victor Mine (AMEC 2014).

Global positioning system (GPS) satellite collars (Telonics TGW-3600 GPS/ARGOS) with programmed release mechanisms were attached to 10 adult female caribou in December 2004 during the baseline study. Additional adult female caribou were collared in March 2007, March 2010 and March 2013 (10 to 11 animals per capture year). The caribou were captured using a net gun from a helicopter by highly trained and approved capture teams (Big Horn Helicopters in 2004, Pathfinder in 2007, Highland Helicopters in 2010 and 2013), and the collars were fitted without use of tranquilizers. The collars in 2004, 2007 and 2010 were programmed to release on a specified date three years from the date of deployment. In March, 2013, 10 new Telonics collars were fitted to 10 female caribou and programmed to release four years from the date of deployment (February 2017). Seven of these collars were still active as of the end of December 2014; one animal was confirmed to have been shot on the James Bay coast by subsistence hunters, and two animals died of either natural causes and/or hunting. At this time a confirmed cause of death is unknown.

Of the 41 collars deployed to date: 3 animals have been confirmed to have been shot by hunters, 6 collars have had suspected malfunction issues, 8 animals have died of suspected predation or other natural causes, and the remaining 24 animals survived the data collection period. The collars were retrieved after release where feasible.

By taking regular satellite fixes of an animal’s location, GPS collars in conjunction with digital habitat data can be used to determine the movement rates, dynamics, behaviour and habitat preferences of a given individual. Movement and home-range analysis of GPS data were undertaken from 2005 to 2014. The core wintering and calving areas were compared from year

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to year to assess the degree to which females return to calving and over-wintering areas; detailed site fidelity analysis using monthly centroids of use was also undertaken. Kernel analysis to ascertain the home range for each GPS collared animal and the relative probabilities of habitat use within that home range is completed each year (Figures 36, 37, and 38).

The behaviour of collared caribou varies considerably; home ranges for individual caribou can be anywhere from 1,200 km2 to >110,000 km2 in size. Most females calve in the James Bay Lowlands; however in 2013 and 2014 several of the collared cows calved in the area typically used by the Pen Island herd near Cape Henrietta Maria. This suggests that both the forest-forest and forest-tundra Woodland Caribou ecotypes occur in the study area. Victor Mine is situated within a mixing zone where both ecotypes can occur concurrently during the winter in some years. Evidence that there might be more than one ecotype in this region was first referred to in the Traditional Ecological Knowledge (TEK) study where reference was made to a herd that travels to Cape Henrietta Maria, as well as one that is more sedentary around the Attawapiskat River.

Half of the animals collared in 2007 and the majority of animals collared in 2013 appear to belong to the forest-tundra ecotype, calving up on the Hudson Bay coast and moving significant distances between summer and winter ranges. The 2007 collared animals calved in proximity to Fort Severn whereas the animals collared in 2013 calved near Cape Henrietta Maria. This distribution is consistent with that observed during the MNRF calving surveys for the Pen Island Herd, where the two highest concentrations of caribou were observed southeast Fort Severn and at Cape Henrietta Maria (Abraham et al. 2012). The 2008 MNRF data suggests that the VDM study animals may seasonally associate with the Pen Island Herd in some years.

Several of the home-ranges overlap the VDM site suggesting that the collared caribou are still utilizing habitat in close proximity to the mine site (Figure 36). Throughout the VDM monitoring program, patterns of caribou site fidelity to calving areas have remained comparable for all phases of mine development from 2004 to 2014, with cows often returning to the same calving areas year after year, within a few kilometers. From 2004 to 2014, satellite data indicated that there was a general trend for the boreal caribou to move to the northwest in winter. Some collared animals selected over wintering areas south and southwest of the mine near Missisa Lake. Data from both GPS collars and aerial surveys indicates a level of fidelity to this area during the winter months.

Based on data obtained thus far, it appears that:

 Results suggest that both the forest – forest and forest–tundra woodland caribou ecotypes occur in the study area. Victor Mine is located in a mixing zone; where both ecotypes occur during the winter. Recent ecotype boundary assessment by MNRF provides quantitative rationale and support for the boundary placement depicting the forest-forest versus the forest-tundra range (MNRF 2014).

 The GPS collars have recorded animal locations in close proximity to the mine site and several animals have the VDM included in their 90% kernel home ranges. Observations

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of caribou close to the mine site suggest that the mine activities have not caused complete avoidance of the area.

 Because the caribou home ranges are very large, it is not expected that the VDM could have any measurable effect on the heavy metal concentrations in tissue; however, a study of metal concentrations was to be undertaken at the request of the AttFN representatives (Section 3.4.2.5). To date no caribou tissue samples have been provided by community members for analysis, despite several requests for the samples.

Collared females have repeatedly used calving areas within 10 to 50 km of the mine site, suggesting that mine activities have not triggered abandonment of these sites. It is not known whether there are females calving closer to the mine than 10 km. At times cows and calves are observed near the air strip during the summer months. Noise studies indicated that essentially background sound levels of 20 to 30 dBA were achieved at a distance of approximately 5 km from the VDM centre, indicating limited opportunities for noise disturbance.

3.4.2.4 Hunter / Fisher / Trapper Surveys

FUPA and the CSR provide for surveys of hunters, trappers, and fishers to be undertaken in Attawapiskat, as a minimum, starting in 2007 and at three year intervals thereafter for the life of the mine. Hunter surveys were undertaken by, or on behalf of, the AttFN in each of 2006, 2007, and 2008, which exceeded FUPA requirements. No hunter surveys were scheduled for 2009 or 2010. AttFN was unable to complete surveys from 2011 to 2014. It should be noted that all AttFN hunter survey data are provided to De Beers (and AMEC) in confidence. For further information, the reader should approach the AttFN directly.

De Beers has pursued but not yet implemented a volunteer employee survey to collect hunting data from employees. The employee survey is pending discussion with the FN on information confidentiality.

3.4.2.5 Tissue Sample Surveys

A wildlife tissue sampling protocol was developed and agreed to with the AttFN in June, 2007. The protocol provides for obtaining tissue samples for 25 individuals of each of Woodland Caribou, Moose, Canada Geese, Snow Geese and Beaver. Samples are to be collected and submitted by AttFN members as part of AttFN regular hunting activities, starting in 2007 and continuing annually for two further years; and subsequently at two or three year intervals thereafter (to be determined). Hunters are to be paid for their efforts in submitting the samples, and prescriptive definitions of sampling requirements are provided in the protocol. Tissue samples are to be analyzed for Contaminants of Concern (COC): arsenic, cadmium, chromium, copper, lead, mercury, nickel and zinc. Additional data on date harvested, location harvested, animal sex, etc., are also to be provided by the hunters. Tissue samples are to be aged, as appropriate.

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The 2008 AttFN wildlife survey indicated that few hunters were willing to submit samples for analysis, placing the entire program into question. Some incidental progress was made and De Beers was able to collect five samples of Beaver tissue in March 2011, with results presented in the Fifth Annual FUPA report. Additional Beaver tissue samples from eight individuals were collected between March 26 to April 6, 2013 during the 2013 period from the North Granny Creek area adjacent to the VDM and from Tributary 3. All eight Beaver heads were also retained for age determination. Due to the small sample size and the lack of aging data from the 2011 sampling effort, no correlations or statistically valid conclusions can be made from this data set. More data and a larger sample size from a variety of locations would be required to make statistically valid conclusions. This would require increased involvement from local FN trappers and increasing the awareness in local communities as to the benefits of such participation, as beavers are an advantageous species to use for the monitoring program due to their dietary patterns.

The hunter / trapper surveys are the responsibility of the AttFN. This survey has been discussed at Environmental Management Committee (EMC) meetings and De Beers understands that it has been a challenge to get FN resident participation. This topic will be revisited at upcoming EMC meetings.

3.4.3 Large Predators and Furbearers

3.4.3.1 Direct Habitat Disturbance

For monitoring data pertaining to direct habitat disturbance refer to Section 3.4.2.1.

3.4.3.2 Snow Tracking / Controlled Trapping Surveys

Based on past discussions held with the AttFN through the EMC, there has to date been little interest among AttFN members in pursuing snow tracking or controlled trapping studies, as there is little potential for mine-related impacts to large predators and furbearers. This portion of the FUPA study program has therefore been abandoned. There appears to be some interest in 2015 among AttFN community members in potentially undertaking hunter / trapper surveys and TEK studies as a better way of obtaining information on these aspects.

3.4.3.3 Aerial Surveys

Details of aerial surveys are described in Section 3.4.2.2. The December 2013 and February 2014 aerial survey results are reported in the Summary of Movements of Caribou Collared in 2010 & 2013 – De Beers Canada Inc. Victor Mine.

3.4.3.4 Hunter Surveys

As per Section 3.4.2.4 no AttFN hunter surveys were completed for 2014.

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3.4.4 Migratory Birds

3.4.4.1 Direct Habitat Disturbance

For monitoring data pertaining to direct habitat disturbance refer to Section 3.4.2.1.

3.4.4.2 Breeding Bird Surveys

The federal EA and FUPA requirements provide for conducting breeding bird surveys in the general vicinity of the VDM site at five year intervals, starting in 2007, with a second set of surveys in 2012. The 2012 survey results were reported in the sixth [2012] annual FUPA report. There are no new results to report for 2013 or 2014. For completeness, results from the 2012 report are repeated below.

Breeding bird surveys were conducted around the VDM during June 2012, at the same locations (ribbed fens and domed bogs) surveyed in June 2007. Surveys were conducted between June 16 to 18 and again from June 26 to 27, 2012. Ten minute point counts were undertaken between 5:00 am and 10:00 am at each site, in weather without precipitation and little wind, consistent with 2007 studies.

In 2012, 55 species were noted. Songbirds were most numerous with 31 species, shorebirds (8 species), waterfowl (5 species), other water birds (5 species), raptors (4 species) and other birds (2 species). Overall diversity and abundance were slightly higher in the ribbed fens (40 species, 212 individuals) than domed bogs (33 species, 195 individuals).

Five significant species were observed during 2012 surveys. Common Nighthawk was observed near camp. Bald Eagle was observed when flying between sites. A lone observation of Semi-palmated Sandpiper was likely an early southbound migrant. Olive-sided Flycatcher and Rusty Blackbird are both listed under federal and provincial species at risk legislation and appear common in the study area. Both Olive-sided Flycatcher and Rusty Blackbird were not classified as being at risk during the 2007 study.

The same number of species were noted in 2012 and 2007 (55); however, the 2007 count includes species detected at monitoring wells, where 11 of the species in 2012 were incidental sightings around the camp. Of the 55 species observed in 2007, 15 were not detected in 2012. Four species were detected at monitoring sites in 2012, but not in 2007. At both the domed bog and ribbed fen sites, the abundance of birds in 2012 was approximately two-thirds of abundance reported in 2007. Based on results of breeding bird survey, numbers from 2007 to 2012 suggest a possible decline in both overall diversity and abundance. With two years of surveys, it is not possible to discern whether numbers were exceptionally high in 2007 or unusually low in 2012. Further studies are required to detect any systematic changes in the breeding bird community, as year to year (and week to week) variations in species presence and abundance would be expected irrespective of any potential physical changes to the environment. This is evident from the data collected from the June, 2012 survey periods (June 16 to 18 and June 26 to 27), in which an

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average of only 37% of species were detected at the same sites, during both survey periods (Table 31).

Also, in comparing numbers of species with distance from the mine site, there is no evident relationship between the number of species observed for either domed bog or ribbed fen sites and distance from the mine centroid. If both sets of data are plotted, there is a slight positive relationship between numbers of bird species and distance for domed bog habitats (r2 = 0.13), and a slight negative relationship between numbers of bird species and distance for ribbed fen habitats (r2 = 0.02), with neither relationship being significant.

Further details pertaining to the breeding bird surveys are provided in Victor Mine Project: 2012 Vegetation and Breeding-Bird Assessment, dated December 2012.

3.4.4.3 Hunter Surveys

As per Section 3.4.2.4 no AttFN hunter surveys were carried out for 2014.

3.4.4.4 Tissue Sample Surveys

No tissue samples were recovered for waterfowl, principally for the reasons discussed in Section 3.4.2.5.

3.5 Malfunctions and Accidents

3.5.1 Spill Prevention, Protection and Response

A Construction Phase Spill Response Plan was developed by the VDM environmental staff on January 13, 2006. That plan was subsequently amended as a mine operations Spill Response Plan with several updates, the latest of which is dated February 9, 2014. The plan covers the VDM site and has related plans for the James Bay Coastal Winter Road, the South Winter Road and the Moosonee yard. The plan details:

 Purpose, scope and responsibility;  Facility overview;  Operating protocols  Reporting Environmental Incidents  Preparedness and prevention; and  Specific spill response.

The following materials were identified as being those which could be accidentally released into the environment:

 Petroleum products (fuel, oil, lubricating fluids);  Hazardous chemicals (domestic cleaners, chlorine, paint and degreasers);

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 Domestic sewage;  Ammonium nitrate (used in the manufacture of explosives);  Propane; and  Laboratory chemicals.

During 2014, facilities containing and/or dispensing such materials on site were inspected at a minimum of daily (main bulk fuel tanks, laboratory chemicals, hazardous chemicals - in part); weekly (aviation fuel storage facility, hazardous chemicals – in part, domestic sewage effluent line); or intermittently (ammonium nitrate, propane facilities). All potentially reportable spills or leaks of hazardous materials were documented and reported internally. Those that met criteria for reporting to the MOECC were reported to that Ministry.

During 2014 there were a total of 11 MOECC reportable discharges, comprised of the following:

 Hydraulic fluid (9 discharges ranging from 20 to 260 L);  Antifreeze (1 discharge of approximately 100 L); and  Fuel (1 discharge, 200 L).

The hydraulic fluid discharges ranged in volume from 20 to 260 L and a major effort continued throughout the year involving equipment operators, maintenance personnel and equipment vendors to reduce the frequency and scale of these events. All spilled hazardous materials were cleaned up and contaminated soil generated from these events was collected and stored for shipment off-site as hazardous waste. All of these discharges were reported to the Spills Action Centre (SAC), verbally and in writing.

On May 14, 2014, an excavator lost power. The operator stopped his equipment, exited the vehicle and noticed a fuel leak at the bottom of the fuel tank. Through investigation it was determined that the inspection door (where the fuel shutoff valve is situated) fell and hit a fuel valve, causing the spill. It is estimated that approximately 200 litres of diesel fuel had spilled. A pre-operational check completed prior to operating the equipment did not indicate a problem. It was determined that the door came open due to the vibration on the equipment. The mechanics repaired the issue and added this point of inspection to future equipment inspections/maintenance programs. The area was cleaned up and the material was placed in 45 gallon drums for shipment off site. The SAC was notified verbally and in writing.

On July 12, 2014 an employee, while walking in front of the Plant Boiler, noticed liquid running out of the boiler. The employee entered the building and noticed a glycol leak and shut the boiler down. It is estimated that approximately 100 litres of glycol (antifreeze) spilled outside the plant, resulting from failure of a rubber expansion joint on one of the pumps. The area was cleaned and the material was placed in a 45 gallon drum for shipment off site. The SAC was notified and a letter sent to the MOECC.

No spills or other issues occurred in relation to any other facility at the mine site during 2014.

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In addition to MOECC reportable spills, near misses were recorded for releases that were contained and cleaned before the material impacted the environment. A summary of every environmental incident, whether an MOECC reportable spill or otherwise, is reviewed with the members of the EMC whenever they meet. In addition, this information is provided in digital form to the AttFN Director of Lands and Resources, and incident reports are regularly placed on the EMC website for committee members to review (with digital copies sent to the AttFN). The Mine Monitor employed at the mine site by the AttFN frequently attends the clean-up work for more significant leaks and spills, or inspects the site shortly afterwards to verify that the clean-up was complete.

3.5.2 Fire Prevention, Protection and Response

A Construction Phase Emergency Response Plan was developed by the VDM environmental staff on January 23, 2006. That plan was subsequently amended as a mine operational Emergency Management Response Plan with several updates, the latest of which occurred in 2014. As per previous annual FUPA reports, the plan covers fire prevention, protection and response, among many other aspects. The plan details a number of items, which cover emergencies such as:

 Medical emergency or accident;  Fatality;  Spills (also see Spill Response Plan);  Fire / explosion;  Structure / containment facility failures;  Natural disasters (flood, earthquake, severe winds);  Extreme cold or whiteout conditions;  Equipment or people falling through ice;  Bomb threat and biological or chemical threat;  Missing or overdue aircraft, and aircraft accident;  Missing person(s);  Hostile actions, vandalism and threats against De Beers’ staff, contractors, or property; and  Wild animal incursion into facility / animal incident.

Fire prevention and protection protocols at the VDM site include:

 Smoke and fire detectors in all dormitories and office buildings;  Fire extinguishers in all buildings and work sites, regularly inspected;  Hot Work procedures for high risk work, including Fire Watch provisions;  Isolation of fuel storage areas, use of double-wall tanks, proper grounding, etc.;  Monitoring and reporting of forest fires to MNRF by Victor aircraft; and  Trained emergency responders.

There were no recorded fires of any significance at the VDM during 2014.

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3.5.3 Slope Stability and Stockpiles

The CSR provides for settlement plates and other surface monitors to be used, along with regular operator inspections and periodic geotechnical specialist reviews, to assess ground stability associated with the open pit and mineral waste stockpiles. Stockpiles requiring monitoring include the fine PKC facility dams, and the coarse PK, mine rock and overburden stockpiles.

Stripping of the open pit commenced in the winter of 2007. Pit development is scheduled to continue until approximately the end of 2018, and will reach an ultimate depth of approximately 220 m. At the end of 2014, the open pit had reached a maximum depth of approximately 140 m below grade. Visual inspection of the pit walls is carried out daily by the pit operators and weekly by engineers or geologists from the mine site Technical Department, in accordance with site safety protocols. Victor Mine also employs two automated systems for slope stability monitoring. These systems are the slope stability radar supplied by Groundprobe and the GeoMos robotic total station supplied by Leica.

The Slope Stability Radar (SSR) is a slope stability monitoring system capable of detecting rock movement. This system has been in place at Victor since late in 2014. A radar beam is scanned over the highwall surface to provide broad area coverage of potentially unstable regions from a suitable standoff position. Wall deformations or unusual movement patterns (acceleration or step changes) provide an early indication of wall instability. The SSR offers real-time monitoring and alarm setting capability and is a proactive early warning device that can be used to indicate slope instability and facilitate evacuation. The system is only able to provide line of sight deformation values.

The GeoMos system consists of robotic theodolites situated on the perimeter of the pit and is operated via a combination of hardline and wireless mesh network. The instrument tracks and measures strategically placed targets (reflecting prisms) along the high wall, transmitting data to the GeoMos station and comparing located positions to absolute co-ordinates and can thus provide vector displacement data. The mine currently employs two GeoMos robotic total stations so that complete line of site coverage can be achieved and long term slope stability can be monitored. Reflective prism targets are installed every 50 m horizontally, and every 20 m vertically, and additionally in areas of potential instability. The first GeoMos system came on line in 2012 and the second system came on line in 2014. There were no reported pit wall stability concerns in 2014.

By the end of 2014, overburden stockpiles had been developed north, northeast and southwest of the open pit, with the maximum height of these stockpiles being approximately 10.5 m with a combined area of approximately 160 ha. The mine rock stockpile elevation by the end of 2014 had achieved a maximum height of approximately 12 m and generally ranged from 4 to 12 m over an area of approximately 106 ha. These stockpiles are inspected and photographed monthly by helicopter during non-winter months. Small, localized slope failures occurred periodically around at the northeast overburden stockpile during the non-winter period in response to runoff flowing

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off the stockpile. However, the scale of these failures has been within planned limits, and there were no environmental or safety consequences associated with these minor runouts.

The main coarse PK stockpile is positioned directly south of the plant site, and continued to expand throughout 2014. Most of the coarse PK was initially used as construction material for site infrastructure and now is predominantly directed to the coarse PK stockpile and construction of the PKC cell expansion work. There were no recorded slope failures associated with this stockpile or the constructed PKC facility, in 2014.

3.5.4 Karst Voids

Construction enhancement measures to address the potential for karst voids were described in Section 3.5.4 of previous annual FUPA reports.

Monitoring carried out in 2014 consisted of:

 Quarterly interval surveys of the perimeter surfaces of the fuel tanks;  Tracking TSS levels in the well field discharge water; and  A Karst Study, undertaken in November, 2014 (Amec Foster Wheeler, 2015e).

At least once per year, De Beers undertakes a helicopter survey around the Victor Mine looking for any karst / sinkhole features. Any karst or sinkhole features that are identified from the air (or otherwise) are inventoried with the GPS location recorded and an internal memo submitted after the survey indicating all known occurrences. The identified features are included in the Annual Groundwater and Subsidence Report for Victor Mine (Amec Foster Wheeler 2015a), prepared for the MOECC, and provided to the AttFN. Natural sinkholes outside the cone of influence are not inventoried as part of this survey.

In addition, site environmental personnel are trained to watch for signs of drying muskeg ponds, developing sinkholes, or other indications of land effects related to the mine dewatering during their regular sampling and inspection flights in the area. These observations are recorded and mapped, and where there is a potential risk to people or animals, protective fencing is installed.

Thus far no settlement issues have been identified associated with the fuel tanks or other critical structures, such as cracking of concrete floors, foundations, etc.

TSS concentrations within the well field discharge provide a measure of potential soil movement within filled karst voids that may indicate flushing of karst conduits and new larger sinkhole development. For soil to become mobilized from filled karst voids in response to mine dewatering, the sediment would have to exit the system. The only means for sediment to exit the system is through the well field discharge. TSS concentrations in the well field discharge through 2014 have remained quite low, averaging 1.99 mg/L over the past year (Table 13), indicating that there has thus far been a negligible mobilization of ground sediments by the well field dewatering system. These TSS results are consistent with the karst study conducted in 2014.

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All sinkholes inspected during the 2014 karst study were small (generally less than 5 m across and less than 2 m deep) and appear to have been caused by the collapse of soft materials in the overburden (either wet sand or muskeg) into pre-existing karst features. None of the sinkholes received continuous inflows and the small size of the features suggests that large displacement of sediments is not occurring.

A review of De Beers’ reports on sinkhole appearance indicates that new sinkholes generally appear at the outer edge of the expanding drawdown cone in areas with thin overburden. No sinkholes have been identified under creeks or rivers. A total of 10 dry ponds with sinkholes were identified during the 2014 survey. The estimated number of ponds within the drawdown cone of the mine at the time of the survey is 4,300. The small size of the sinkholes and the small number of dry ponds within the drawdown cone indicates that the sinkholes that have appeared to date are not significant new features. It is expected that ponds with sinkholes will re-flood following the end of pumping at the mine, and whatever effect the sinkholes are having will be temporary.

Based on the examination of: sinkholes features at the site, available overburden thickness mapping, historical observations and paleokarst features in the open pit, the 2014 karst study concluded that sinkholes were only forming in areas of thin overburden where small paleokarst conduits existed prior to mining (larger paleokarst features appear to have been completely plugged by overburden during glaciation and lack sufficient void space to allow overburden collapse and sinkhole formation). Only a small number of sinkholes had been observed to date and given that the drawdown cone in the Upper Bedrock Aquifer appears to be approaching steady state, the karst report concluded that number of sinkholes forming in the remaining few years of mining is not expected to be large.

In terms of mitigation, none of the observed sinkholes were receiving continuous surface water inflows that promote significant sinkhole growth which could require immediate action. Furthermore, given that a) activities such as excavation and plugging of paleokarst features would require significant disruption to the muskeg in terms of winter road access for construction equipment, and b) these are short lived features that are expected to re-flood within a few years, the karst report recommended a contingency plan. This plan consists of annual surveys of the area for new sinkholes, monitoring existing sinkhole development, and fencing sinkholes in areas of potential snow mobile use (i.e. along former winter roads and near the mine site). The plan also includes contingency measures such as plugging should sinkhole development appear to threaten larger surface water features. The plan was presented to the Attawapiskat at a community meeting and has been formally reviewed by the MOECC. The plan will be finalized upon receipt of comments from the reviewers, and is cited in the mine dewatering permit issued in August 2015.

3.6 Traditional Pursuits, Values and Skills

3.6.1 Fishing, Hunting and Trapping – AttFN Lands

As per Section 3.4.2.4, no AttFN hunter surveys were completed for 2014.

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3.6.2 Fish and Wildlife Availability – AttFN Lands

Direct impacts to wildlife habitat through physical displacement were assessed using satellite imagery of construction and development areas (Section 3.4.1). Monitoring data pertaining to receiving water flow, fisheries availability, and wildlife availability are provided in Sections 3.2.4, 3.2.6 and 3.4.2, respectively.

3.6.3 Fishing, Hunting and Trapping – Regional FN Lands

Hunter, trapper and fisher surveys were to be carried out by, or on behalf of, the regional FN (i.e., the MCFN, KFN, FAFN, and TTN) with financial support from De Beers, provisionally starting in 2007, and at three year intervals thereafter. As of 2014, no such surveys had been carried out. De Beers continues to work with the potentially affected Aboriginal groups in an effort to arrange for the surveys to be carried out. Specifically, a consultant was retained by De Beers to work with the coastal communities in 2012 on a study of potential impacts on traditional game harvesting.

In addition to the hunter surveys, samples of wildlife tissues were to have been obtained, but no such samples have been obtained other than the samples of beaver tissue referenced in Section 3.4.2.5 for 2011 and 2013.

3.6.4 Fish and Wildlife Availability – Regional FN Lands

Direct impacts to wildlife habitat through physical displacement were assessed through the calculation of displaced habitat associated with transmission line construction and winter road widening (Section 3.4.1). Monitoring data pertaining to wildlife availability are provided in Section 3.4.2.

3.7 Heritage Resources

3.7.1 Attawapiskat FN Lands

While the Victor Heritage Management Plan continues to provide guidance on activities which could potentially affect cultural heritage resources, the greatest potential for any such effects was during the mine construction phase. No specific cultural heritage investigations were carried out in 2014 within AttFN traditional lands, and no cultural heritage resources were inadvertently encountered by any mine-related activities during the 2014 reporting period.

3.7.2 Transmission Line – Otter Rapids to Kashechewan

All transmission line construction was completed by the end of 2008. There were no activities in 2014 near the VDM. Maintenance of portions of the Otter Rapids to Moosonee transmission line was undertaken in 2014, to remove brush and hazard trees and to complete minor upgrades to the line before it is transferred to Hydro One Networks Incorporated.

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3.8 Environmental Health

3.8.1 Accidents Along Winter Roads

Emergency Management Plans were developed previously to support logistical operations along winter roads. All traffic accidents involving vehicles related to De Beers’ VDM operations are documented. No De Beers’ related traffic accidents occurred during the 2014 winter road season.

3.8.2 Drinking Water and Country Foods

Drinking water standards were met in all receiving waters with the exception of exceedances for iron, alkalinity and hardness, one occurrence of lead, and naturally low concentrations of pH. This is particularly true in Granny Creek which derives most of its drainage from naturally acid muskeg systems; and for iron, which is linked mainly to concentrations and dissolved organic acids that drain from natural muskeg systems. Similar iron and pH exceedances were observed in these systems in the pre-development background condition, and all such exceedances are due to natural background conditions.

No country food samples were received for analysis during the 2014 FUPA reporting period (see Section 3.4.2.5 for further details). The provision of tissue samples is the responsibility of the AttFN. Measures were taken to assist the AttFN in the collection of such data, including payment to individual hunters and fishers for submitting samples for analysis; but thus far the community has elected not to provide any samples for analysis, other than the beaver tissue samples collected in 2011 and 2013 during trapping of a small number of nuisance beavers which was directly commissioned by De Beers.

3.9 Business, Employment and Training

3.9.1 Business

When the mine progressed from the construction phase into the operational phase, the value and number of business contracts was reduced as expected, but it remains substantial. It has always been De Beers’ goal to maximize local business benefits. A Business Development Coordinator has been hired to manage this process, and De Beers’ commitment is to annually review business and contract opportunities with the communities. Annual success in this area is reported to the communities. Further details are presented in Section 2.6.

3.9.2 Employment

An Aboriginal Employment Coordinator was hired to help maximize Aboriginal employment during the construction stage and this continued into operations. The mine site established anti- discrimination policies and mandatory cross-cultural training as part of the new employee induction. An aboriginal employees’ committee has been established to liaise with mine

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management. Annual success in this area is reported to the communities. Further details are presented in Section 2.6.

3.9.3 Training

All employees at the mine site have a training file. This is intended to keep requirements such as Workplace Hazardous Materials Information System (WHMIS), safety and job specific certificates current, as well as to manage an individual’s career path. De Beers has established a number of on the job training programs for process plant trainees, warehouse and logistics trainees, along with exploration training. A heavy equipment simulator to be used for basic training and safety improvements has been purchased, and is in operation at the Victor Mine. There is also an established management trainee program.

Annual success in the area of training is reported to the communities. Further details are presented in Section 2.6.

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4.0 SUMMARY OF COMPLIANCE REPORTS

4.1 Certificates of Approval - Air Emissions (MOECC)

The following compliance reports were issued in respect of air emissions monitoring during the 2014 reporting period:

 Written Summary Required by Basic Comprehensive Certificate of Approval (Air/Noise) #9452-78ZP4M De Beers Canada Inc., Victor Mine as per Condition 5.0, submitted to Environmental Assessment and Approvals Branch Toronto Office, dated May 18, 2015;

 De Beers Canada Inc. Victor Mine Site 2014 Incinerator Compliance Testing Program performed in Accordance with Certificate of Approval (Air) #4556-6LULPN, submitted to MOECC Timmins District Office, dated December 3, 2014; and

 De Beers Victor Mine, Certificate of Approval (Air) #9452-78ZP4M Condition 10.1, 2014 Air Quality Monitoring Plan Annual Report, submitted to MOECC Timmins District Office, dated April 18, 2015.

4.2 Permits to Take Water (MOECC)

4.2.1 Pit Perimeter Well System

During initial construction of the pit perimeter well field, not all of the permitted wells were constructed. As mine operations progress, additional wells are needed to further optimize dewatering performance. The PTTW associated with this activity has been renewed according to the following:

 PTTW #2824-8D2HVW for well drilling expired December 20, 2013;  PTTW #8752-9E5SAY expired March 2014;  PTTW #3143-9HJTC4 expired August 31 2014; and  PTTW #6381-9NEKKS expires August 30, 2015.

The following compliance reports were issued in respect of PTTW for operations related to the provision of cooling water for the drilling pit perimeter wells during the 2014 reporting period:

 PTTW #6381-9NEKKS, Water Taking Reporting System (online) for 2014.

The PTTW associated with dewatering the open pit through use of the pit perimeter wellfield has been renewed according to the following:

 PTTW #5521-8CZSNK for Well Field Dewatering (expired September 30, 2013);  PTTW #1810-99FHAD issued September 30, 2013 and expired on March 31, 2014;  PTTW # 4767-9HKJ38 issued March 26, 2014, and expired August 31, 2014; and

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 PTTW #6342-9NEJVH issued in August 31, 2014 and expires in August 30 2015.

The following compliance reports were issued in respect of PTTW for operations carried out in relation to pit perimeter well field dewatering operations during the 2014 reporting period:

 PTTW #6342-9NEJVH, Annual Groundwater and Subsidence Report for 2014 period up to September 30 as per Condition 4.1.5 of PTTW #6342-9NEJVH, Victor Mine, report dated January 31, 2015.

 Compiled Quarterly Groundwater Data Reports as per Condition 4.1.6 of Permits to Take Water #1810-99FHAD, #4767-9HKJ38 and #6342-9NEJVH that cover the same activity at the Victor Mine (for various periods within 2014 as per Section 2.4); report dated May 30, 2014 (up to March 31, 2014); report dated August 29, 2014 (up to June 30, 2014); report dated November 30, 2014 (up to September 30, 2014); and report dated February 28, 2015 (up to December 31, 2014).

 Victor Mine, Quarterly Monitoring Reports for the Hydrometric Program, as per Conditions 4.4.3, 4.4.4 and 4.5.4 of Permits to Take Water #1810-99FHAD, #4767- 9HKJ38 and #6342-9NEJVH , dated May 24, 2014; August 31, 2014; November 30, 2014 and February 26, 2015.

 PTTW #1810-99FHAD, Condition 4.5.3, Flow differential greater than 10% 04FC010 and NR-003, January 2014, De Beers’ Victor Mine - Notification Letter.

 PTTW #1810-99FHAD, Condition 4.5.3, Flow differential greater than 10%, 04FC010 and NR-003, March 2014, De Beers’ Victor Mine - Notification Letter.

 PTTW #4767-9HKJ38, Condition 4.5.3, Natural Flow differential greater than 15% 04FC010 and NR-003, April 2014, De Beers’ Victor Mine - Notification Letter.

 PTTW #4767-9HKJ38, Conditions 4.4.2 and 4.5.2, May 2014, Flow stations not measured due to high water hazards, NR-001, NR-002, 04FC010, NR-003, TRIB-3, TRIB-5, TRIB-5A, TRIB-7, SG-001, NG-001, 04FC011, TRIB5A-US, De Beers’ Victor Mine - Notification Letter.

 PTTW #6342-9NEJVH, Conditions 4.4.2 and 4.5.2, December 2014 Manual Verifications not measured due to unsafe ice conditions, 04FC010, NR-001, NR-002, NR-003, TRIB-3, TRIB-5, SG-001, De Beers’ Victor Mine - Notification Letter.

4.2.2 Open Pit Sump

The following compliance report was issued in respect of PTTW for the open pit sump that operated during the 2014 reporting period:

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 PTTW for Open Pit Sump (Phase 1 Ditch) #8081-8D2JT4, Annual 2014 Report, dated December 1, 2014.

4.2.3 Other Well Systems

As per MOECC direction, the potable water well no longer requires a PTTW to operate, and reporting conditions documented in the former PTTW no longer apply.

4.2.4 Winter Roads

The following compliance report was issued in respect of PTTW for water taken from area creeks and rivers to help develop the South Winter Road during the 2014 reporting period:

 South Winter Road PTTW #8682-8N9HBJ, submitted to MOECC Thunder Bay Office, dated April 1, 2015 (via WTRS online and in a letter report).

4.2.5 Other

The following additional compliance report was issued in respect of PTTW for the 2014 reporting period:

 Water taking Reporting System, all active PTTW for the VDM operations.

4.3 Certificates of Approval – Wastewater Discharge (MOECC)

4.3.1 Fen Systems

The following compliance reports were issued in respect of C. of A. for operations carried out during the 2014 reporting period, involving the use of passive wetlands (fen systems) for effluent treatment:

 De Beers Canada Inc., Victor Mine, Northeast Fen 2014 Annual Report as per Condition 8(3) of Certificate of Approval #4056-6W8QBU; letter report submitted to the MOECC Timmins District Office, dated April18, 2015.

4.3.2 Processed Kimberlite Containment Facility – Granny Creek

Reporting relevant to operation of the PKC facility for the 2014 period included the following:

 Certificate of Approval #6909-76ZGYP – Section 8(6) Annual Report on Fine Processed Kimberlite Containment Water Management, report submitted to the MOECC Timmins District Office, dated March 30, 2015.

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4.3.3 Well Field – Attawapiskat River

The following compliance reports were issued in respect of C. of A. for operation of the well field mine dewatering system during the 2014 reporting period:

 Quarterly River Profile Reports for Mine Dewatering C of A #3960-7Q4K2G (Q1 – May 30, 2014; Q2 – August 26, 2014; Q3 –November 29, 2014; Q4 – February 18, 2015);

 Victor Mine Well Field Dewatering Discharge, Annual Performance Report: January 2014 to December 2014 per Condition 7(3) of Certificate of Approval No. #3960-7Q4K2G, submitted to the MOECC Timmins District Office, dated April 18, 2015; and

 Mercury Performance Monitoring 2014 Annual Report, Certificate of Approval #3960- 7Q4K2G, Conditions 7(5) and 7(6), submitted to the MOECC Timmins District Office and the AttFN, dated June 30, 2015.

4.3.4 Sewage Treatment Plant

The following annual compliance report was issued in respect of STP operations carried out during the 2014 reporting period:

 Camp Sewage Treatment Plant Annual Performance Report, January to December 2014, as per Condition 9(6) of C. of A. #9003-6MHGXE, report submitted to MOECC Timmins District Office, March 28, 2015.

4.3.5 Landfill and Bioremediation Facility

The following study and compliance reports were issued in respect of C. of A. for the on-site landfill and bioremediation facilities for the 2014 reporting period:

 Landfill Leachate Report, Waste Disposal C. of A. #1352-6N6LRW & Industrial Sewage C of A #6084-6T6Q4P, report to MOECC Timmins District Office, dated March 18, 2015; and

 Certificate of Approval #1059-6RELN9, section (15) – De Beers Victor Mine Bioremediation Facility, submitted to MOECC Timmins District Office, letter dated February 9, 2015.

4.3.6 Other

The following additional annual compliance reports were issued in respect of facilities for the 2014 reporting period:

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 Annual Report for Oil / Water Separator C. of A. #7297-7297-72MJ3Q, submitted to MOECC Timmins District Office, dated December 28, 2014;

 Annual Report for Moosonee Waste Transfer Station C. of A. #4483-6MRLSV, submitted to MOECC, dated June 27, 2015;

 As-built Report and Construction Drawings, 2013 Construction PKC Facility Cell 1, dated January 28, 2014; and

 Detailed Design Report for Phase 1 of Cell 2, Processed Kimberlite Containment Facility, dated January 31, 2014.

4.4 Aggregate Permits (MNRF)

No aggregate was extracted in 2014. The Esker Pit and SQ are complete (no longer in operation). The North Quarry was never developed, and the CQ is complete permit revoked in September 2013), and as planned, has become the polishing pond for the PKC facility. The following compliance reports were issued in respect of MNRF Aggregate Permits for the 2014 reporting period (all nil reports):

 Aggregate Permit, Esker Pit - Category 10, Annual Extraction Report to the Ontario Aggregate Resource Corporation, December 12, 2014;

 Aggregate Permit, North Quarry - Category 12, Annual Extraction Report to the Ontario Aggregate Resource Corporation, December 12, 2014;

 Aggregate Permit, Central Quarry - Category 10/12, Annual Extraction Report to the Ontario Aggregate Resource Corporation, December 12, 2014;

 Aggregate Permit, South Quarry - Category 12, Annual Extraction Report to the Ontario Aggregate Resource Corporation, December 12, 2014; and

 Compliance Assessment Reports for the pit and quarries licensed under the above listed permits (Aggregate Permits #83095, #605582, #605583, and #605584; Submitted September 5, 2014).

4.5 Federal Permits and Authorizations

No compliance reports were issued in connection with federal approvals during 2014.

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5.0 SUMMARY OF STUDY AND RESEARCH PROGRAMS

5.1 Groundwater Studies

5.1.1 Pumping Tests

In August 2013, a trial dewatering well was installed within the kimberlite pipe, inside the VDM open pit, rather than adding to the surrounding limestone perimeter wells as the original long term dewatering strategy had proposed. Monitoring over several months indicated an improved efficiency in lowering the water table locally, focused on the ore, while pumping less water. This has the environmental benefits of both reducing the volume of water discharged to the Attawapiskat River and minimizing the drawdown of regional bedrock aquifers. As a result of the trial in-pit well, the dewatering strategy changed to favour installing two additional in-pit wells, rather than more perimeter wells, in 2014.

During 2014, one additional in-pit well that had been constructed in 2013 was put into service, while a second in-pit well was constructed in 2014 to enter service in 2015. Results have continued to be favorable in terms of pumping efficiency, and no impact on increased salinity of the produced water has been observed. Due to the success of this strategy, three additional in- pit wells are now planned to be installed in 2015.

During March 2014, short-term pumping tests were conducted at three new wells drilled in the vicinity of the Tango Extension kimberlite, located approximately 6 km northwest of the Victor mine. Those tests and other geological data were collected in support of an ongoing EA under the Canadian Environmental Assessment Act (2012) for the proposed development of a mine at that location to extend the operating life of the Victor site. In May 2014 this data was incorporated into an updated and integrated groundwater model for the VDM, as described in Section 5.1.2.

5.1.2 Modelling

Section 8.3.3 of the CSR states the following “Generate data necessary to confirm and update the groundwater model as required…”. FUPA provides for updating the groundwater flow and quality models annually. Itasca made changes to the groundwater model in May 2012 (Recalibration of March 2011 Victor Regional Groundwater Flow Model and Updated Simulations of Victor Mine Dewatering) which relied on new and more accurate flow data from each of the dewatering wells, where the previous model relied on calculating each well’s discharge based on combined well field discharge.

In May 2014, the groundwater model for the VDM was further recalibrated and updated by Itasca Denver (ITASCA 2014). This update modified the previous two-part model (comprised of regional groundwater and Granny Creek overburden components), into one integrated model for Victor which also incorporated the Tango-Extension kimberlite.

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This integrated model incorporated recent VDM dewatering monitoring data, more detailed overburden stratigraphy, information from pumping tests conducted for the Tango-Extension site, and information from additional exploration drill core logs in the region, to refine the accuracy of the model. This improved and integrated groundwater model will be used for future predictions of VDM dewatering. This model will continue to be refined as the VDM is developed and as additional groundwater monitoring data becomes available.

5.2 Muskeg Systems

5.2.1 Hydrogeology / Hydrology

A joint research program was formally approved in March 2008 involving the University of Waterloo, Queens University and the University of Western Ontario, to provide detailed information on peatland (muskeg) hydrodynamic responses to well field dewatering. This included investigation of the mechanisms involved in such responses, including an assessment of associated mercury dynamics. The research program was led by:

 Dr. Jonathan Price – a peatland hydrologist with the Department of Geography and Environmental Management, University of Waterloo;

 Dr. Vicki Remenda – a specialist in fine sediment hydrogeology with the Department of Geological Sciences and Geological Engineering, Queen’s University; and

 Dr. Brian Branfireun – a specialist in mercury geochemistry related to peatlands with the Department of Biology, University of Western Ontario (formerly with the University of Toronto).

Each of these professors is a recognized expert in their respective fields. The research program related to the VDM involved the work of graduate students at the Ph.D. and Masters’ levels, and complemented other site monitoring programs linked directly to conditions in MOECC approvals, and to monitoring commitments made through the federal EA process.

The program was funded jointly by De Beers ($1,400,000 including in-kind contributions) and the Canadian federal Natural Sciences and Engineering Research Council (NSERC) grant program ($968,000). Although the formal contractual agreement for this program concluded in 2013, the reporting deadline was extended by NSERC. While the final summary report was issued to NSERC in February 2015, research findings and theses continue to be published based on this work.

Funding for this program was nominally for a period of five years. There was a potential for further study beyond the five year period depending on findings from the five year period, and other related monitoring data gathered from the VDM site. This has been achieved through De Beers’ direct financial sponsorship and hosting of field research at the mine site for an NSERC research partnership referred to as the Canadian Network for Aquatic Ecosystem Services (CNAES

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website is http://www.cnaes.ca/). Section 5.3 outlines current work in progress by CNAES partners that is related to the Victor site and immediate area.

The De Beers / university partnership study utilized data collected by De Beers through the broader muskeg and mercury monitoring programs described in this document, but also involved further more detailed investigations. A list of the specific objectives of the study and a summary of the findings quoted from the final report to NSERC is provided below.

The final summary of outcomes from this study stated:

“The overall challenge that underpinned this project is that there is large gap in our knowledge about how the wetlands in the James Bay Lowland function both hydrologically (water), chemically (natural mercury contamination), and biologically (impacts on fish). (Note: the combination of these three things is typically called biogeochemistry). The lack of information made it challenging to predict impacts from the De Beers Victor Mine, as important baseline data did not exist, nor had any project of this magnitude been completed in this environment. It became apparent early on in the project that the seasonal (year to year) and spatial differences in the biogeochemical processes was very large, and thus trying to determine the impacts of the mine was difficult, as natural processes varied more.

The key achievements, from the perspective of the industry were that:

 This program provided useful third-party research that has supported dialogue between De Beers and the Attawapiskat First Nation, with respect to the state of the natural environment and potential or observed mine impacts. It is proposed that further presentation(s) of the mercury research results take place in community meetings in Attawapiskat, to enhance the understanding of this longstanding issue in their traditional territory by community members.

 The biogeochemistry in particular is providing valuable input to environmental monitoring programs and the renewal of environmental permits for the Victor mine, and are being factored into the design of a proposed second pit in the area.

 The study results generally support a better understanding of peatland hydrological processes in the James Bay / Hudson Bay Lowlands, and their interrelationship with the dynamics of methyl mercury in the system. This promotes understanding of potential effects of climate change, and the effects of proposed future mining and infrastructure developments such as the Ring of Fire.

 The network of scientific contacts and research programs in the region supported by De Beers has enhanced the understanding of the heretofore poorly known ecology of the James Bay Lowlands. These have included this CRD, climate change research by the Ontario Ministry of Environment and Climate Change, and permafrost monitoring by the Ontario Ministry of Natural Resources and Forestry, among others.

The benefits to Canadians are that with climate change and increased resource development pressure in Ontario's North, important baseline information, as well as improved understanding

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of the hydrological and biogeochemical processes that occur in these systems has been gained. This important information will be used to aid decisions-makers at all levels (First Nations, Industry, Government - local, provincial, federal) on how best to proceed with development in these environments.”

Objective 1) Identify and characterize the hydrological linkage between upper (peatland) and lower (bedrock) systems and determine the change in recharge and discharge flow pathways resulting from aquifer dewatering.

“The dewatering of the limestone aquifer surrounding the mine has allowed for considerable insight in the groundwater-surface water connectivity of this large peatland system. Unfortunately, the timing of the drawdown under the main research transect was quicker than originally thought, meaning that very little pre-mining data exists (in large part due to a pumping test performed in the area), in addition, the total drawdown at the end of the study period was less than originally expected as the drawdown cone was smaller than the feasibility reports suggested, and thus the study area was not as stressed. Regardless, it is clear that peatland areas where there are thin or locally absent marine sediments are more susceptible to the aquifer depressurization (Whittington and Price, 2012, 2013), and that both the hydraulic conductivity, as well as the marine sediment thickness, were both important. Recharge rates in these areas were similar to that of evaporation (Leclair et al., submitted), representing a significant loss of water to the system. Interestingly, the claystone layer located ~50 m below the surface (between the upper and lower Attawapiskat formations) also exhibited a strong control on the surface recharge patterns where this layer was either locally thinner, or absent (see Objective 4 for a longer explanation).

Of particular interest was the role of bioherms, areas that represented locally thin or non-existent marine sediments. Whittington and Price (2012) showed that the drawdown caused by the bioherms was limited to ~30 m from the edge of the bioherm due mostly to the properties of the peat, rather than any marine sediments underlying the peat. Ali et al. (major revisions) found that the sediments surrounding the bioherms were either highly stratified showing 3-4 layers with distinct hydraulic properties; or poorly stratified with only a mix of silts and sands. In a suite of nested piezometers the vertical Darcy flux from the peat to the sediment and from the shallow to deep sediments indicated one of two patterns: either less water flowed downward in the sediment than was supplied from the peat layer above, or significantly (100 times) more water was flowing down in the sediment than was being received from the overlying peat. The conceptual model presented in Ali et al. (major revisions) hypothesizes that in the first case flow in the sediment is primarily horizontal until proximal to flow channels in the bioherm rock at which point the second case is observed as both water from the peat above and water flowing laterally in the sediment drains downwards into the dewatered bedrock.

In addition to the empirical evidence of the bioherm’s impact on the surrounding peatlands found by Whittington and Price (2012) and Ali et al. (major revisions), Kompanizare and Price (2014) created an analytical solution for the recharge around the bioherms (see also Objective 4). Their study supported the idea that thin marine sediments (found to be <4.3 m in their model) were important for allowing recharge rates to exceed that of the regional average, and that the most distinct water table drawdown in the peatland proximal to bioherms was most prevalent in the first ~30 m from the bioherms.

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As mentioned above, the heterogeneous nature of these systems have made using biogeochemical tracers to establish the vertical connectivity of these systems difficult to interpret; however, the use of inert species (e.g. chlorides) and water isotopes may provide a surrogate for the potential shift in hydrological and geochemical regimes over the long-term. These data obtained throughout the study period along the main research transect, as well as control sites and show definite geochemical impacts of increased hydraulic gradients. In contrast to the remote sites, isotopic signatures have been enriched across the main research transect, while chloride levels have declined, particularly within bog and fen regions, respectively. These results are important as they are in contrast to the water balance of the North Granny Creek, which have shown minimal impact (see Objective 2 below) on account of contributions from the non-impacted upper reaches of the watershed (see below). Further data interpretation is currently underway by MSc student (E. Perras) under the supervision of Drs Price and Whittington.

The surficial hydrologic linkages between bogs and fen-water-tracks have also been extensively researched over the study period. Ubiquitous to large dome bogs (>20 km2) within the Hudson James Bay Lowlands, internal fen-water-tracks are found located along the flanks of the bogs. These features have been noted by several authors as apparent bog drainage nodes within the region, but rarely investigated. As such, investigative research was performed in hopes to provide insight into not only to the source of high pH values obtained within bogs of the region, but also the enigmatic hydrological and geochemical sources to creeks and rivers that were based on end member characteristics and mixing models. Results (E. Perras, MSc student with Drs Price and Whittington) have shown the connectivity between bogs and their internal fen-water-tracks, whereby the bogs provide hydrologically and geochemically to these features throughout the ice- free season. Statistically significant higher chloride levels were found within these features, as compared to their harbouring bogs, thus indicating groundwater contributions exist within the otherwise considered ombrogenous bog. These features and their groundwater contributions are therefore likely contributors to the high pH values obtained within bogs of the region. Through this research, the importance of the fall wet-up period (initially overlooked in detail) on solute transport (particularly from bogs to receiving surface waters) has been determined and may provide insight into the uncertainty of initial end member and mixing models. It is unclear however, whether the internal fen-water-tracks themselves provide any significant contributions. Given that the water- tracks are weak discharge zones, alteration of the rates of deep seepage are likely to restrict or reverse groundwater flows to them, which will have implications for biogeochemistry of these systems.”

Objective 2) Measure and evaluate the change in the flow pathways and water balance of bog and fen peatlands, including runoff, evaporation, water storage and surface wetness

“As noted in the Brief Description section above, the location of the main research transect was chosen for the various peatland types and marine sediment thicknesses it crossed. However, due to the shape of the North Granny Creek sub-watershed (created after LiDAR data was obtained) and smaller than expected drawdown cone, much of the watershed was unimpacted (Leclair et al., submitted). Exacerbating this issue is that much of the unimpacted area was located in the headwater of the watershed, meaning that this area was able to supply water to the main research transect area via North Granny Creek. In fact, only ~7, 11, and 15% of the watershed was considered impacted for 2009, 2010, and 2011, respectively. Leclair et al. (submitted) conclude

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that inter-annual variability in weather was a larger control on the water balance of the North Granny Creek watershed than mine dewatering.

Runoff totals were 249, 73 and 127 mm from 2009, 2010 and 2011 for the April 1 to August 31 periods. The low runoff in 2010 was due to the minimal snow pack, which melted in February and minimally recharged the system due to the melt being able to runoff of the frozen ground more easily, which created a large storage deficit, reducing runoff during the summer season as well as moving any spring runoff that did occur, outside the study period.

Seasonal average (2009 vs. 2010 vs. 2011) evaporation rates were greatest for open water (1.6 to 2.2 mm/day) and lowest for lichen (0.72 to 0.97) with Moss and Sedge being slightly less than open water. Due the abundance of moss cover in bogs and that bogs occupied most of the landscape, bogs contributed the most to seasonal evaporative losses (141, 186 and 189 mm for 2009-2011).

Storage changes in bogs were -5, 4, and -15 mm for 2009, 2010, and 2011 respectively. In the fens, these values were 70, 7, -32 mm. This was due to the fens receiving water from the upper (unimpacted) reaches of the watershed, whereas bogs are ombrogenous (precipitation inputs only). Once these values were areally weighted for the entire watershed, the change in storage was -26, -12 and 0.3 mm for 2009, 2010, and 2011, respectively.”

Objective 3) Determine the hydrological response of clay and peatland systems to drainage where the connectivity is strong, including changes in the soil hydraulic properties.

“As mentioned earlier, the subsidence found on-site within the marine sediments was not as significant as originally thought (several to ~10 cm instead of 10s to 100s of cm) which caused us to repurpose the money for the second LiDAR flight to expand on Objective 6.

Sediment Characterization: Collection of soil samples and the installation of piezometers within a newly exposed section of the open pit were completed in 2011 to further facilitate the characterization of the hydraulic properties of the sediments. Two (2) nests and six (6) individual piezometers were installed within the partially stripped section of the pit. These piezometers allowed for hydraulic testing to determine hydraulic conductivity (K) within sediments for which consolidation samples have been collected. In addition to soil samples from boreholes (prior to piezometer installation) soil samples were collected at freshly exposed faces of the pit. At pit walls 17 samples suitable for consolidation testing were collected and laboratory testing completed to determine consolidation parameters. Sediment characterization has been advanced by soil samples collected within the pit, during geological mapping of small streams, and from boreholes advanced during investigations of the peat- sediment-bedrock interface near three (3) bioherms. The 82 samples collected in these three areas were be characterized using Atterberg limits, traditional grain size analyses, Fritsch Particle Sizer, conventional X-Ray Diffraction (XRD), and moisture analysis. The Victor Tyrrell Sea (VTS) deposits are clayey silt with low LL, low PI, and no smectite clay minerals. The clay fraction consists of quartz, illite, chlinochlore, and usually calcite. The deposits are normally consolidated with Cc values of 0.08-0.155 and void ratios of 0.52-0.77. The VTS deposits are grey with pockets of black graphite and frequent shells. The K rages from 6.6x10-9 to 4.7x10-8 m/s. Finite element modeling software was used to investigate the sensitivity of surface drainage and consolidation behaviour to the variability identified in the clay. Based on

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this modeling the thickness, K, and the K modifier function of the clay have the greatest impact on the potential rate and magnitude of consolidation and vertical drainage of the surface.”

Objective 4) Model the hydrogeology of the bioherm-mineral sediment-peatland system.

“The objective of modeling the areas surrounding the mine pit were to evaluate the role of the marine sediment (MS) and other confining layers within the bedrock on the spatial patterns of recharge, which affect peatland function as well as mine pumping requirements. The model domain includes the Granny Creek watershed and extends to the Attawapiskat and Nayshkootayaow Rivers closer to the mine pit. The modeled area is about 106 km2 with total thickness of ~300 m. The model was calibrated for the period Jan 2007 to the end of 2012 (Dec. 2012). The most sensitive parameters are the hydraulic conductivity in the Ekwan-Severn River formation (ESR), the deep granite layer and the central quarry supplying the pumped water from the mine. The second most sensitive parameters are hydraulic conductivities in the Upper Attawapiskat and MS and weathered bedrock (WB) barrier layers that are important in controlling percolation from the overburden layers. The third most sensitive parameters are hydraulic conductivities of limestone bedrock, especially the upper part of the Lower Attawapiskat (ULAP) formation, the central quarry (CQ) which received pumped process water (CQ is an opening that breaches all confining layers), and the ESR layer at the western boundary, where most flow enters the model domain. On Dec 2012 the main outflow was pumped water was from the mine (86000 m3/day). The lateral boundaries provided the largest of the inflows to the system (46600 m3/day), followed by surface recharge (32800 m3/day), then from the Attawapiskat and Nayshkootayaow Rivers (2400 and 4900 m3/day, respectively).

The spatial distribution of surface recharge pre-mining (Dec 2006) was dominated by cropping and sub-cropping bioherms where MS was thin or absent, notably in the northern domed bog and near the central quarry. In the pre-mining condition most areas experienced recharge rates between 0.1 to 0.3 mm/day (green areas). Under the mining condition enhanced recharge areas (1-3 mm/d) occurred around the mine pit, as well as around the central quarry and Northern Bioherm close to the Attawapiskat River margin. Also in the mining condition recharge rates around the fen tracks increased up to 0.3 mm/day nearer the mine, as water supply was maintained by flow from higher up the water track. This was confirmed by much higher specific discharge in fen water tracks compared to the surrounding areas, being 2-10 times higher under the mining condition than pre-mining.

In the Upper Attawapiskat (UAP) layer the highest drawdowns (Dec 2012) are up to 7 and 24 m around the central quarry and in an opening in the claystone (CS) layer north of the mine pit, respectively, acting as sinks. In the upper part of the Lower Attawapiskat (ULAP) layer, which occurs below the CS barrier layer a depression cone occurs around the mine pit and extends beyond the watershed boundaries. Drawdown near the Attawapiskat River suggests a CS layer opening between the mine pit and the river.

Location of the mine in the down-gradient part of the watershed means that horizontal flow along the fen tracks may help maintain wetland processes in areas closer to the mine, but the additional water increases the dewatering requirement. Location of central quarry close to the mine and its depression cone intensify the effect of the central quarry in the total recharge rate. Due to the effect of barrier layers only about 25% of the pumped water is supplied by surface recharge;

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however, there are significant local anomalies where there are windows in barrier layers, especially CS.”

Objective 5) Establish the present distribution and mobility of both inorganic (total) mercury, and methyl mercury in the peats and pore waters of the various bog and fen-type peatlands, and couple changes in the release of total mercury and methyl mercury to the changes in peatland hydrology.

To address the large variability in the distribution of total mercury (THg) in the landscape, collection of solid and aqueous phase samples from the experimental and reference transects were undertaken for three years (2008-2011). Contrary to our initial hypothesis, data from small (1 m) and large (100 m) scale peat and pore water sampling campaigns (2008-2011, n≈350) show that THg in surface peats is not uniformly distributed throughout the region.

Overall, large variability exists in THg, particularly in the surface peat (0-10 cm depth) in all peatland types, but variability was lower at depths greater than 10 cm. In general, ombrotrophic bog peat THg concentrations were 80±30 ng/g and 60±20 ng/g (dry weight) for 2.5 and 27.5 cm (integrated over 5 cm), respectively. Minerotrophic fens (including riparian channel fen) contain 30-50% more THg than bogs, with concentrations 120±30 ng/g and 100±20 ng/g at 2.5 and 27.5 cm depths, respectively. Pore water Hg concentrations show no distinguishable temporal trends as a result of mine dewatering (range between 1-5 ng/L), and seem to be more influenced by the location of the water table (directly coupled to precipitation and evapotranspiration) as well the partitioning of mercury between the liquid and the solid phase. A manuscript on small-scale spatiotemporal variability of peatland biogeochemistry has been published (Ulanowski and Branfireun, 2014). This research included sampling for solid phase THg although the manuscript did not include the Hg data and focussed on pore water solutes but these data showed that THg concentrations in peats was highly variable even at a small scales. Findings were consistent with above however, with fen peats containing >40% more THg than bog peats.

Methylmercury concentrations were considered in concert with THg in the same framework discussed above. Pore water concentrations of methylmercury were between 0.01 and 0.50 ng/L (1-10% of THg as MeHg), and there were no clear trends in both space and time. As with total mercury and ancillary, MeHg in peat and pore waters shows considerable variability, and given that production of this species is biologically-mediated, variability is equal to, or even greater than that for total inorganic mercury. Upon completion of the project and the power analyses reported in Ulanowski and Branfireun (2014) we recognized that the plot based random sampling approach taken in this project resulted in between sample spatial variability in concentrations that obfuscated clear spatial or temporal patterns at the larger scale. The withdrawal of the PhD student leading this aspect of the project has sidelined the publication of these results, however Branfireun will continue to move these results to manuscript form.

Additional experimental work in the laboratory addressed critical questions concerning the release of THg and DOC from wetting and drying bog and fen peats, and the sorption of DOC and THg to marine silts to evaluate the downward mobility of peat-derived solutes. Ahmad and Branfireun (in prep) found that the flushing of peats with pH adjusted water (4.0 and 6.5) resulting in nearly 2x more dissolved Hg being released from bog peat than fen peat under both pHs, and that pH 6.5 water consistently resulted in higher THg concentrations from both peat types. These findings are consistent with field results that showed consistently higher THg in fen peats

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(apparently stronger binding which is likely geochemically controlled). Wozney and Branfireun (in prep) found rapid sorption of THg to marine silts taken from the Victor pit immediately proximal to overlying peats, with 96% sorption of THg alone in <24 hrs. When combined with DOC in a simple binary solution, THg sorption was much slower, with only 50-75% sorption in 24 hrs indicating that DOC had a protective effect on THg in solution. Ahmad and Wozney were both undergraduate researchers at Western.

The regular and reliable collection of surface water samples from creeks in the zone of water table drawdown (NGC) and tributaries (Nayshkatooyaow, Attawapiskat, TRIB 5A) was undertaken from 2008 through 2012. Surface water concentrations ranged from 0.5-5.0 ng L-1 THg and 0.005-0.1 ng L-1 MeHg. Our overall findings were that there is up to 2x between- year variation in surface water THg and MeHg concentrations for a given stream. Between streams, there is a similar range of variability driven presumably by differing hydrological processes and groundwater-surface water contributions (see Orlova and Branfireun, 2014). Total and in particular methylmercury concentrations are very low relative to more southerly peatland- dominated watersheds again suggesting that surface water chemistry around the Victor mine are as influenced by the degree of surface water – groundwater interaction than by the near- continuous surface peat deposits. Importantly, there was no indication of a change in surface water quality (DOC, Hg) in the monitored stream (NGC) impacted by the dewatering of the Victor Pit This work is in preparation for publication (Branfireun and Price, in prep).

Objective 6) Use remotely sensed data to document changes in surface elevation and vegetation community structure, to provide a broad-scale interpretation of hydrological and biogeochemical change.

The classification work completed by DiFebo (MSc defended in 2011) has since been published as a book chapter. This study demonstrated how airborne LiDAR surveys can augment high- resolution optical satellite imagery such as IKONOS to improve ecosystem classification and mapping in a heterogeneous, low-gradient, northern peatland complex. Specifically, a single LiDAR terrain derivative (difference between the elevation at the centre of the window and the mean elevation in the window for 250 m windows) was found to provide important contextual information about the relative topographic positions of different peatland subforms throughout the study site. This information contributed to a >10% increase in classification accuracy (76.4%) over the use of IKONOS imagery alone. Use of other LiDAR derivatives, particularly those based on above-ground vegetation returns and textural derivatives sensitive to surface roughness would likely provide further improvements to the separability of several spectrally similar class pairs such as bog-lichen and bog-lichen / conifer subforms.

The Richardson et al. work summarized in the last report has since been published (Richardson et al., 2012). It was found that at low flows, the six catchments observed as part of the regulatory monitoring effort generated equivalent amounts of runoff (mm), leading to a strong flow vs gross drainage area (Q–GDA) relationship. During high flows, total growing season runoff increased systematically with GDA between 8 and 50 km2 and then decreased with further increases in GDA. Landscape analysis using a 5-m resolution LiDAR-based digital elevation model revealed that discrete near-stream zones may be the key determinant of catchment runoff efficiency at the small to medium (~10 to ~200 km2) headwater catchment scales.

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As previously noted, the surface elevation changes were not as significant as originally anticipated; as such, work was shifted to understanding the geomorphological processes controlling runoff in these low relief environments. Dr. Richardson’s MSc student (Bouffard, graduated Sept. 2014) looked at the unique hydrologic characteristics of the peatlands in the James Bay Lowlands that challenge some basic assumptions embedded within many hydrology models including topographically-driven lateral flows and hydrologic connectivity of all terrestrial landscape elements within the stream network. With the increased resource development in Ontario’s (and Canada) north, Bouffard compared the performance of two popular conceptual rainfall-runoff models: TOPMODEL and HBV. He found that TOPMODEL was altogether unsuitable for these low relief environments, but HBV was acceptable.

Finally, an additional paper, currently in preparation by M. Richardson and J. Price shows that the 2008 LiDAR acquisition can be used to test analytical and numerical models of peat bog dome development. This finding is significant because it will lead to more robust models of peat accumulation in the JBL and may provide a predictive framework to forecast changes in peat accumulation/degradation rates under conditions of hydrologic non-stationarity, an expected consequence of global climate change.”

5.2.2 Climate Change in Muskeg Environments

De Beers Canada and the Victor mine continue to host and support field research programs in the James Bay Lowlands operated by several government agencies and their academic partners. These include:

Climate Change Research (Ontario Ministry of Environment and Climate Change)

The MOECC operates a carbon flux monitoring research site approximately 13 km south of the Victor mine, outside the area potentially affected by mine dewatering. The monitoring station was established in collaboration with the MNRF and several universities to complement related monitoring and research activities in the Attawapiskat region. Installation of the monitoring station was completed in the summer of 2010, with the approval of the AttFN. The station is anticipated to operate for up to ten years.

The research activities at this site include the ongoing monitoring of various hydrological and biogeochemical aspects of the peatlands, including:

1) A comprehensive characterization of the two main types of peatland ecosystems from a hydrological, biogeochemical, and carbon cycling perspective;

2) Highly robust direct measurements of evaporation from the different peatland types;

3) Use of a boardwalk system that allows site access for extensive and reliable hydrological measurements without physically disturbing the muskeg; and

4) Measurement of greenhouse gases that are tightly coupled to the production of DOC, the primary association of mercury in surface runoff.

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The MOECC station and Victor mine jointly support climate change and wetlands research by McGill University (Lorna Harris, PhD candidate with Prof. Nigel Roulet and Prof. Tim Moore). This work focuses on the biogeochemistry of northern peatlands, how peatlands form and develop over time and how this development may be impacted by environmental change (climate change or development). It studies vegetation-hydrology relationships and gas exchange (CO2 and CH4) across various microforms in both pristine and hydrologically impacted bogs and fens. Changes in biogeochemical processes in this region could have major consequences for global greenhouse gas exchange and climate regulation.

Permafrost Monitoring Research (MNRF)

Researchers from the MNRF established several research monitoring stations in the discontinuous permafrost features near the Victor mine, beginning in the summer of 2009. This program is gaining a better understanding of peat and permafrost ecosystems in Ontario’s Far North. Activities involve peat sampling, installing and maintaining permafrost and peat monitoring stations, vegetation sampling, etc. Principal researchers include Dr. Jim McLaughlin, Benoit Hamel, Adam Kinnunen, and Mark Crofts, who continue to use the Victor site accommodations, aircraft, and freight services each year. This work is coordinated with several other permafrost research sites in the Far North, and has included paleo-ecological work by the University of Toronto (Dr. Sarah Finkelstein and others) to reconstruct long-term peatland carbon accumulation rates, fire history and hydrologic history in the region.

5.2.3 Water Quality

Water quality elements, including a focus on mercury / methyl mercury dynamics are included in Section 3.2.1.2.

5.2.4 Plant Communities

The muskeg plant community study program is described in Section 3.4.1.4. Other vegetation- related research pertaining to mine closure planning and progressive rehabilitation of the Victor site is discussed in Section 2.7, and recently published study results are included in Section 5.7 below.

5.2.5 Breeding Bird Surveys

The breeding bird survey program is described in Section 3.4.4.2.

5.3 Aquatic Ecosystem

In 2012 De Beers signed on as a financial sponsor and to act as a research base for the CNAES consortium (Canadian Network for Aquatic Ecosystem Services - website is http://www.cnaes.ca/). This consortium of approximately 30 researchers from 11 universities, government, and industrial partners is studying the region of the James Bay / Hudson Bay

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Lowlands. Of the three major study themes, Theme 1: Coupling the Landscape, Aquatic Ecosystems, Services and Environmental Change in Canada’s North builds on and continues elements of the previous De Beers-sponsored NSERC study on the biogeochemistry of mercury in the muskeg and waterways of the region. This includes the following specific projects in the Hudson Bay Lowlands:

 A synthesis and analysis of existing hydrological, biological and chemical data for the Hudson Bay Lowlands;

 Coupling the landscape and surface waters of the Hudson Bay Lowlands at the regional watershed and sub-watershed scales;

 Characterizing the structure and function of aquatic ecosystems of the Hudson Bay Lowlands;

 Identifying the impacts of climate and land-use changes on peatland biogeochemical function in the Hudson Bay Lowlands; and

 Characterizing the distribution of mercury and methyl-mercury in surface waters and freshwater biota of the Hudson Bay Lowlands.

This program will extend for five year period, ending in 2018. Some initial research reports arising from this work were published in 2014, as noted in Section 5.7, with numerous other reports currently in preparation. A current list of publications and materials in preparation may be found on the internet at http://www.cnaes.ca/publications/.

5.4 Caribou

5.4.1 Aerial Surveys

The caribou aerial survey program is described in Section 3.4.2.2.

5.4.2 Radio Telemetry Surveys

The caribou radio telemetry survey program is described in Section 3.4.2.3.

5.5 Mercury

5.5.1 Mercury Availability and Transport Mechanisms

De Beers’ study programs related to mercury availability and transport are described in Section 3.4.1.5. The associated inter-university NSERC research program involving peatland hydrodynamics and associated mercury dynamics is described in Section 5.2.1, and the CNAES research consortium sponsored in part by De Beers is outlined in Section 5.3.

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5.5.2 Potential for Enhanced Mercury Release

The potential for enhanced mercury release in response to well field dewatering is being addressed through monitoring programs described in Sections 3.4.1.5 and 5.2.1.

5.5.3 Receiving Water Conditions

Receiving water conditions with regard to the potential for enhanced mercury release in response to well field dewatering are being addressed through monitoring programs described in Sections 3.4.1.5 and 5.2.1.

5.5.4 Potential for Bio-magnification in Fish

The potential for mercury bio-magnification in fish, as related to well field dewatering, is being addressed through monitoring programs described in Sections 3.2.5, 3.4.1.5 and 5.2.1. This is also an element of the CNAES research program described in Section 5.3.

5.6 Traditional Pursuits, Values and Skills

5.6.1 Traditional Ecological Knowledge

To De Beers’ knowledge, no TEK studies were carried out in association with the VDM during 2014. The three Elders of the AttFN who are active members of the joint EMC with De Beers are frequently asked for input or offer their opinions as to potential areas of significance or applicable traditional knowledge, during discussions of permit applications, environmental studies and proposed diamond exploration activities. These opinions are valued.

No major issues which required formal follow-up were identified during 2014.

5.6.2 Hunter Surveys

To De Beers’ knowledge, no hunter surveys were completed by or on behalf of the AttFN in 2014.

5.6.3 Other Initiatives

No other initiatives were carried out in 2014 with respect to traditional pursuits, values and skills.

5.7 List of Victor Mine Related Papers and Publications

The following is a list of recent research results published during 2014 and reports currently in progress. Previously published results are listed in earlier annual FUPA summaries and are not repeated here.

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Publications

Ali, K., Whittington, P., Remenda, V., Price, J.S. The role of permeable marine sediments in peatland-dewatering around a bioherm outcrop, James Bay Lowlands. Accepted Hydrological Processes HYP-12-0907

Campbell, D. & Corson, A. 2014. Can mulch and fertilizer alone rehabilitate surface- disturbed subarctic peatlands? Ecological Restoration 32: 153-159.

Difebo, A., Richardson, M., and Price, J.S. Fusion of multi-spectral imagery and LIDAR digital terrain derivatives for ecosystem mapping and morphological characterization of a northern peatland complex. In: Remote Sensing of Wetlands: Applications and Advances, (eds. RW. Tiner, V.V. Klemas and M.W. Lang). CRC Press 2015.

Humphreys, E.R., Charron, C., Brown, M., & Jones, R. Two Bogs in the Canadian Hudson Bay

Lowlands and a Temperate Bog Reveal Similar Annual Net Ecosystem Exchange of CO2;; Antarctic and Alpine Research Journal – special issue Environmental Change in the Hudson and James Bay Region, Vol 46. No.1 2014 pp 103-113

Kompanizare, M., & Price, J. S. (2014). Analytical solution for enhanced recharge around a bedrock exposure caused by deep-aquifer dewatering through a variable thickness aquitard. Advances in Water Resources, 74, 102-115. 12 / 2014.

McLaughlin, Jim, & Webster, Kara. Effects of Climate Change on Peatlands in the Far North of Ontario, Canada: a Synthesis; Antarctic and Alpine Research Journal – special issue Environmental Change in the Hudson and James Bay Region, Vol 46. No.1 2014 pp 84-102.

O’Reilly, Benjamin C., Finkelstein, Sarah A., & Bunbury, Joan; Pollen-Derived Paleovegetation Reconstruction and Long-Term Carbon Accumulation at a Fen Site in the Attawapiskat River Watershed, Hudson Bay Lowlands, Canada; Antarctic and Alpine Research Journal – special issue Environmental Change in the Hudson and James Bay Region, Vol 46. No. 1 2014 pp6-18

Orlova, J., & Branfireun, B.A. Surface Water and Groundwater Contributions to Streamflow in the James Bay Lowland, Canada;; Antarctic and Alpine Research Journal – special issue Environmental Change in the Hudson and James Bay Region, Vol 46. No.1 2014 pp 236-250.

Papers and Reports in Review or in Preparation

Ali, K., Whittington, P., Remenda, V., Price, J.S. accepted. The role of permeable marine sediments in peatland-dewatering around a bioherm outcrop, James Bay Lowlands. Hydrological Processes HYP-12-0907.

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Leclair, M., Whittington, P., Price, J.S. Hydrological functions of a mine-impacted and natural peatland-dominated watershed, James Bay Lowland. Submitted to Journal of Hydrology: Regional Studies. EJRH-D-15-00051

Whittington, P., Thompson, D.K., Price, J.S. Fire, rock and ice: a fire risk assessment of dewatered organic soils surrounding a bioherm at an open-pit diamond mine in the James Bay Lowlands. Submitted to Canadian Journal of Forest Research. CJFR-2012-0499.

Conference Presentations

Campbell, D., Corson, A., & Bergeron, J. 2014. Rehabilitation of peatlands in the Hudson Bay Lowland after winter road disturbances. 20th Symposium of the Peatland Ecology Research Group, Québec City, QC.

McCarter, C and J. Price. Hydrological response to simulated wastewater input from point source in a Northern Ribbed Fen/ CGU 2014.

Theses

Bouffard, J.-S. A Comparison of Conceptual Rainfall-Runoff Modelling Structures and Approaches for Hydrologic Prediction in Ungauged Northern Peatlands Basins. MSc. Thesis. Carleton University, September 2014.

Hanson, Andrea. The effects of Fertilization and Mulch on the Reclamation of Peat and Overburden Mixes at the De Beers Victor Diamond Mine, Ontario April 2014. (Undergraduate thesis).

Leclair, Melissa. In progress, "Natural and mine- impacted hydrology of northern peatlands: James Bay, Ontario, Canada", MSc thesis, University of Waterloo (est. completion in 2015).

Lefrancois, Melissa. Optimum Fertilization of Phosphorus to support Plant Growth within the Waste Material Peat Mixtures at De Beers Victor Diamond Mine, Ontario April 2014. (Undergraduate thesis).

Perras, Emily. Hydrological and geochemical implications of groundwater depressurization of an expansive peatland complex, MSc thesis, University of Waterloo (est. completion in 2015).

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6.0 ACTIONS PLANNED OR TAKEN TO ADDRESS EFFECTS OR COMPLIANCE PROBLEMS

6.1 Atmospheric Systems

Emissions of TSP from the on-site waste incinerator have fluctuated in recent years. Incinerator stack sampling conducted to date has indicated that the elevated TSP values are in large part a by-product from the NaOH scrubber system, and not a direct reflection of incinerator efficiency (Section 3.1.1.2). Efforts have been made to reduce the concentrations of recirculating salts by increasing the blow-down rate, but, despite these measures average TSP emissions have remained elevated. Air quality POI TSP concentrations at the property boundary, however, have remained very low, being at or less than 1% of applicable criteria for all years. Efforts to control TSP emissions that took place in 2014 included preventative maintenance (cleaning of the scrubber pipes) and increased attention to drops in pressure. An incinerator expert was retained in 2014 to review this facility and their recommendations are being reviewed and implemented as appropriate.

Mercury, cadmium, lead, dioxins and furans, sulphur dioxide, HCl, nitrogen oxides and THC emissions concentrations in 2014 continued to be well below C. of A. limits.

Recommended Actions

 Continue to work with equipment vendors to optimize incinerator and scrubber performance; and

 Continue to pursue the permitting of land-spreading of dewatered sewage sludge for revegetation trials on overburden stockpiles and the fine PKC facility to eliminate this source of potassium salts in the incinerator waste feed, further improve the efficiency of combustion, and reduce the operating hours of the facility. An application to the MOECC was submitted in 2014 and has been reviewed by the regional Biosolids Utilization Committee as part of the application process.

6.2 Surface Water Systems

No compliance issues were identified in respect of the protection of surface water systems.

Increased sulphate in the NEF is thought to be responsible for observed increased methyl mercury concentrations within the NEF, as per discussions in Section 3.2.1. De Beers has diverted one sulphate source from the NEF (pit perimeter well development water) and is continuing to investigate other potential measures for further reducing sulphate loadings to the NEF. These measures are detailed in Section 5 of the Mercury Performance Monitoring 2014 Annual Report, and in earlier annual mercury reports, as per Section 3.2.1.2. It is also noteworthy that the ratio of filtered methyl mercury concentrations observed during the open water period (July and October) between the NEF and the HgCON control fen has declined substantially in

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2013 and 2014 from peak values observed in 2011 and 2012, indicating that mercury methylation rates in the NEF may be attenuating (see Figure 5).

6.3 Groundwater Systems

Groundwater pumping rates in 2014 averaged 79,300 m3/d (Section 2.1), which is considerably less than the 130,000 m3/d, plus an addition contingency allowance of 20,000 m3/d, allowed for by PTTW #6342-9NEJVH. Recent recalibrations of the mine dewatering hydrogeological model indicate that this approximate pumping rate is expected to continue to be the case throughout the remaining life of the mine. Chloride concentrations in the well field discharge have thus far also remained below Amended C. of A. #3960-7Q4K2G final effluent limits.

No actions are recommended at this time.

6.4 Terrestrial Systems

Terrestrial system plant and breeding bird surveys are carried out at five year intervals with the first such survey having been conducted in 2007, and the first follow-up survey having been completed in 2012. The next survey is therefore not scheduled until 2017. Key observations from the 2012 monitoring program are repeated here for ease of reference.

Results of the 2012 wetland plant monitoring program were compared with the 2007 wetland monitoring program. Overall results of the assessment showed that; species richness had not declined, the relative cover of vascular plants had not increased, the relative cover of Sphagnum moss species had not decreased, and there was no correlation between community structure and distance to the mine site among the various survey plots, indicating no effect of mine dewatering on muskeg vegetation community expression. This observation is consistent with hydrological data which continue to show no effect of mine dewatering on muskeg system water levels (Section 3.3.1).

Breeding bird surveys conducted in 2012 suggested a possible decline in both overall diversity and abundance. With only two years of surveys, it is not possible to discern whether bird numbers were exceptionally high in 2007 or unusually low in 2012. Further studies are required to detect any systematic changes in the breeding bird community. In particular, survey results from 2012 showed a marked variability in species representation between sampling dates (June 16 to 18 and June 26 to 27), in which an average of only 37% of species were detected at the same sites, during both survey periods. In comparing numbers of species with distance from the mine site, there is no evident relationship between the number of species observed and distance from the mine centroid. The apparent observed decline in overall bird species diversity and abundance between the 2007 and 2012 surveys is therefore likely a reflection of natural variation and survey timing effects.

Recommended actions are to continue with scheduled breeding bird surveys at five year intervals.

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6.5 Malfunctions and Accidents

All spills in 2014 were minor and when meeting applicable criteria, spills were reported to the MOECC, as described in Section 3.5.1. Spill prevention, protection and response procedures functioned effectively.

6.6 Traditional Pursuits, Values and Skills

Traditional pursuits, values and skills are not subject to compliance aspects.

6.7 Heritage Resources

A formal Heritage Management Plan and related awareness training for all site employees continued throughout the reporting period. The Heritage Management Plan forms part of the VDM Environmental Management System, and has previously been made available to the AttFN, and is posted to the joint EMC website.

6.8 Environmental Health

No De Beers’ related traffic accidents occurred on winter roads during 2014.

6.9 Business, Employment and Training

Business, employment and training are not subject to compliance aspects.

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7.0 VERIFICATION OF THE ACCURACY OF THE ENVIRONMENTAL ASSESSMENT

7.1 Atmospheric Systems

Monitoring conducted during the 2014 reporting period indicated that measured environmental effects on atmospheric systems were consistent with EA predictions, as per the following:

Incinerator Emissions

Emissions have been consistent with EA predictions with the exception of TSP concentrations which have remained elevated. De Beers continues to investigate and develop solutions to mitigate the elevated TSP emissions. Property boundary POI TSP values however, have remained well below applicable standards, indicating that elevated point source TSP emissions from the incinerator are not resulting in an adverse environmental effect, also consistent with EA predictions.

Lead and cadmium levels were below applicable criteria in 2014, indicating that the source segregation program for these metals continues to be successful. POI parameter concentrations for all incinerator emissions were well below applicable standards.

Dust

Dustfall jar test results for 2014 were within applicable standards at all locations, indicating that road dust (the primary source of concern) is being effectively managed with the use of watering trucks. There has been a long-term trend of decreased dustfall quantities at the VDM, with dustfall values for 2014 being quite low.

Greenhouse Gas Emissions

GHG emissions for 2014 as determined from fuel consumption and transport activities, were less than predicted in the EA for the mine operations phase, and below both provincial and federal reporting thresholds.

Carbon Exchange Rates

Carbon exchange rates based on quantities of peat removed and stockpiled by the end of 2014 remain unchanged from 2013 when they were approximately at (or slightly less than) predicted in the EA. No new peat was removed and stockpiled in 2014.

Noise

Noise monitoring was last conducted in the summer of 2014 and the winter of 2015 as per CSR requirements. Results were consistent with historical measurement data at the mine and EA predictions.

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7.2 Surface Water Systems

Monitoring conducted during 2014 indicated that measured environmental effects on surface water systems were generally consistent with EA predictions, as per the following:

Point Source Discharges

Point source discharges from the NEF and from the well field have met applicable C. of A. limits and conditions, and were consistent with, or better than, EA predicted results with the exception of a few minor exceedances of TSS which were due to disturbing bottom sediments during sampling (drilling through thick ice in an effort to sample a very thin layer of water below the ice). The STP met all C. of A. limits, however, there were exceedances of C. of A. objectives for: total phosphorus (6), ammonia (21), and nitrate (20). However, the STP effluent since August of 2011 has been discharged to the fine PKC facility where additional reduction of phosphorus and ammonia occurs as a result of natural degradation processes such as nutrient uptake by micro- organisms. Total phosphorus and ammonia in the effluent from the fine PKC facility have been well below STP objectives. Nitrate is not measured. The STP in use at the VDM, when combined with fine PKC system polishing, is therefore performing well overall, and is not having an adverse effect on receiving waters.

Receiving Water Quality

Receiver surface water quality consistently meet federal CEQG and Ontario PWQO guidelines for the protection of aquatic life except where already in exceedance because of background conditions (including pH at all reference sites, and silver at Nayshkootayaow upstream of site), and for minor exceedances of a few parameters including pH, cadmium, copper, iron and silver (Table 18). Localized higher methyl mercury values observed in downstream Granny Creek waters are well within the CEQG value of 4 ng/L.

Creek and River Flows

The March 2008 hydrogeological model predicted that Nayshkootayaow River flows would decrease from mine dewatering over the longer-term by approximately 17,400 m3/d. This compares with a value of 22,200 m3/d predicted in the CSR. A flow reduction of 17,400 m3/d has the potential to reduce Nayshkootayaow River natural flows by >15% during winter conditions. The Itasca model update for 2012 showed reduced predicted flow losses for the Nayshkootayaow River closer to 11,000 m3/d (Itasca 2012a).

In accordance with CSR commitments to maintain natural flow losses at <15%, a Nayshkootayaow River flow supplementation system was installed during the winter of 2007, and has operated every winter since then. Flow supplementation in the winter of 2013/2014 started on October 27, 2013 and continued through to May 14, 2014, at an average rate in excess of 17,400 m3/d (i.e., the model predicted longer-term flow reduction rate) in accordance with PTTW #6342-9NEJVH. Supplementation began again on October 31, 2014. Hydrometric measurements

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of river flows showed that Nayshkootayaow River flow losses during the winter of 2013/2014 were maintained below the 15% threshold in accordance with CSR commitments.

To further assess any potential flow losses to the Nayshkootayaow River system, De Beers has selected a supplemental flow gauging station on the Nayshkootayaow River based on recent hydrogeological monitoring. The most probable zone of influence (ZOI) would be located just upstream of the confluence of Granny Creek and Nayshkootayaow River. The intermediate flow station has been used through the 2014 winter season to assist in identifying if significant flow differentials are occurring, and will continue to be monitored in future to develop reliable rating curves and to evaluate potential flow differentials.

The March, 2008 hydrogeological model also predicted that there would be flow losses to the Granny Creek system in excess of 15% of natural flows a result of well field dewatering. In the CSR it was predicted that well field induced flow losses to the Granny Creek system would be less than 15% of natural flows. However, provisions were made in the CSR for flow supplementation to the Granny Creek system if required. The Granny Creek flow supplementation system was installed in the winter of 2007/2008 in accordance with CSR contingencies and Adaptive Environmental Management strategies. The flow supplementation system for Granny Creek was run throughout the winter of 2013/2014 and for much of the non-winter period during 2014 as well, all in accordance with PTTW #6342-9NEJVH requirements. The 15% Granny Creek flow threshold was maintained throughout the year.

Fish Habitat

Provisions have been made for flow supplementation to the Granny Creek and Nayshkootayaow River systems, as provided in the CSR to maintain fish habitat. The South Granny Creek diversion, replacing like-for-like fish habitat, was completed in February 2008. The 2011 assessment report, following four seasons of monitoring, indicated that the new creek channel is being actively used by fish and other aquatic organisms throughout its length and is naturalizing well. Fieldwork undertaken in 2013 and 2014 indicated this was still the case.

Fish habitat losses resulting from the displacement of muskeg ponds have not yet reached levels predicted in the CSR, by the end of 2014, because not all mine-related facilities have been constructed. Most notably, Cell 1 and part of Cell 2 of the fine PKC facility had been constructed, and other mineral waste stockpiles including the coarse PK and mine rock stockpiles, were not fully completed. These measures, and the associated creation of comparable levels of new fish habitat to offset muskeg pond losses, remain as predicted in the CSR.

Benthos and Fisheries Resources

Adverse impacts to benthos and fisheries resources were not predicted to occur as a result of mine-related discharges to the environment. This is still the case, and there were no adverse effects of effluent discharges on benthic and fisheries resources for the 2014 monitoring period. An increase in background body burden mercury concentrations has been noted for small fish

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(Pearl Dace) inhabiting the lower Granny Creek system (Amec Foster Wheeler 2015d). Small fish occurring in the Attawapiskat and Nayshkootayaow Rivers showed background body burden mercury concentrations consistent with observed water quality data for these systems.

7.3 Groundwater Systems

In the CSR, it was predicted that well field dewatering would gradually increase to approximately 100,000 m3/d, and that chloride concentrations in the groundwater discharge would start at approximately 800 mg/L, and gradually increase to approximately 1,000 mg/L before eventually decreasing to approximately 800 mg/L, but with the potential for chloride concentrations to go as high as 1,800 mg/L based on more conservative assumptions involving increased chloride concentrations at depth. It was further predicted that muskeg dewatering linked to well field dewatering would be localized and would most likely to occur in the vicinity of bioherm zones in generally closer proximity to the mine site, where mineral soils are thinner, and generally coarser.

June, 2008 groundwater modeling, based on results of the 2006, 60-day pump test and on 2007 mine dewatering results and associated monitoring well development and performance, indicated that well field dewatering rates were likely to increase to approximately 110,000 m3/d by mid- 2008, to 130,000 m3/d by mid-2010, and that chloride concentrations were likely to start out at approximately 900 mg/L and increase to 1,300 mg/L before dropping back to about 800 mg/L in later mine life.

The groundwater model was updated in May, 2012, wherein the predicted average maximum flow was determined to be between 95,100 and 97,300 m3/d which is lower than previous model predictions (Section 5.1.2). Chloride concentrations in the well field discharge are now predicted to increase to approximately 1,500 mg/L by 2016 and to level off at that approximate concentration (Itasca 2012).

Currently, well field dewatering rates are less than the steady state dewatering rates predicted in the CSR. Well field dewatering rates in 2014 averaged 79,300 m3/d. Well field chloride concentrations for 2014 averaged 1,248 mg/L.

7.4 Terrestrial Systems

Wetlands

Wetland monitoring systems have been developed and installed as provided for in the CSR. The muskeg monitoring program provides for full satellite imagery to be obtained at five year intervals, with spot coverage to be obtained at two year intervals. Initial imagery was taken in August, 2006. The five year interval satellite imagery was obtained for 2012 using GeoEye-1 satellite imagery taken on September 8, 2012. The study compared the 2012 surface expression of muskeg ponds within the groundwater ZOI with surface expressions from 2006 satellite imagery.

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Study findings showed that there was a general reduction in pond surface area expression between 2006 and 2012 in both the NF-ZOI site and the MF-ZOI site. For the MF-ZOI study area which lies outside of the mine dewatering ZOI, the collective measured pond area for 2012 was 88.9% of that measured in 2006. For the NF-ZOI, the collective measured pond area for 2012 was 82.4% of that measured in 2006. When corrected for regional background effects based on results for the far-field control zone, the observed reduction in pond expression for the NF-ZOI and the MF-ZOI were 14.0% and 7.5%.

The observed result is consistent with EA predictions, wherein some localized reduction in muskeg pond expression was expected to occur as a result of mine dewatering, but by and large, muskeg ponds within the ZOI were not substantively affected. Where specific larger ponds were observed to go dry in 2012 (or earlier), compared with 2006, virtually all of these ponds were located in areas of very thin marine sediment thickness

Subsequent to completion of the CSR, additional concerns about peat decomposition in dewatered areas and the potential for the release of increased amounts of methyl mercury were raised. In response to these concerns, and based on updated hydrogeological modeling, predictions of expected rates of increased total and methyl mercury release were developed by AMEC and submitted as part of the permit application packages to the MOECC for well field dewatering in 2007 and 2008. The most recent annual Mercury Performance Report was submitted for C. of A. #3960-7Q4K2G in June, 2015. The report identified no adverse effects of mine dewatering on area mercury levels in peatlands, surface waters, or fish flesh for the period up to and including the 2014 monitoring period, consistent with CSR and MOECC permit predictions. The localized increase in methyl mercury concentrations observed in downstream Granny Creek is a function of sulphate effects on mercury methylating bacteria and not a result of mine dewatering effects. Investigations are underway to determine ways to manage sulphate loadings to the muskeg environment.

Caribou and Moose

Based on monitoring data collected to date, the area of directly altered habitat is less than the predicted CSR value of 28.8 km2, and caribou (and moose) continue to use areas both within and outside of the VDM buffer zones. Local home ranges for caribou have also been shown to be quite large, varying from approximately 1,200 km2 to >110,000 km2, such that the area of the VDM site takes on comparatively less importance relative to caribou movement. AttFN hunter survey data have not been provided since 2008. Based on the above, and recognizing the limitations of AttFN hunter survey data, it does not appear that there has been any discernible adverse effect on caribou numbers or land use outside of the immediate mine site area, as a result of activities at the VDM site.

Large Predators and Furbearers

As per the above, the area of directly altered habitat is less than the CSR predicted value of 28.8 km2. Data on other aspects of habitat use show that large predators (Wolves) continue to

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use the area near the VDM site, but the data are too few to draw any firm conclusions regarding past versus present patterns of usage. Intuitively there is little reason to suspect that predator and furbearer distributions, outside of the immediate mine site area, have been adversely affected by mine development. Wolves have not been observed to regularly use the winter road, although wolves are often associated with linear corridors. Fox, Black Bear, Marten, Otter and Beaver continued to be observed in and around the VDM buffer zone throughout the subject period.

Migratory Birds

The area of directly altered habitat is less than the CSR predicted 28.8 km2. The first migratory bird standardized plot survey was carried out in June, 2007 with the second survey being completed in 2012. Fewer species and individuals were observed in 2012, compared to 2007, and there were marginally fewer birds at domed bogs than ribbed fens. Densities of most breeding birds in 2012 were comparable to regional patterns in abundance as presented in the Ontario Breeding Bird Atlas. With only two years of surveys, it is not possible to discern whether numbers were exceptionally high in 2007 or unusually low in 2012. Further details are presented in Sections 3.4.4 and 6.4.

Data is not yet available on COC in goose flesh and livers, as De Beers has not received any samples from Attawapiskat community members, but there is nothing in site area water quality data to suggest the potential for an adverse effect.

7.5 Malfunctions and Accidents

Spill Prevention, Protection and Response

Spill prevention, protection and response measures have been implemented as described in the CSR, and no adverse associated effects were noted in 2014.

Fire Prevention, Protection and Response

Fire prevention, protection and response measures have been implemented as described in the CSR, and no adverse associated effects were noted in 2014.

Slope Stability

Visual inspections by site operators and automated laser and radar-based pit stability monitoring systems have not detected any significant slope stability concerns during 2014. Small, localized occurrences such as pockets of sand, are reported and actively managed to prevent escalation to larger failures.

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Karst Voids

Visual observations, and Well Field TSS values showed no indications of karst related concerns. Only a few very small and isolated locations of subsidence have been noted to date, in areas where the limestone is very close to the surface of the muskeg. This is further supported and documented in the Karst Study Report for the separate, dedicated investigation that took place in 2014 (AMEC Foster Wheeler 2105e).

7.6 Traditional Pursuits, Values and Skills

Fishing, Hunting and Trapping (AttFN)

No data have been obtained from the AttFN regarding hunter and fisher survey results since 2008. Small quantities of beaver tissue have been collected by De Beers and the report was appended to the 7th Annual FUPA Report.

Fish and Wildlife Availability (AttFN Traditional Lands)

Receiving water quality up to the end of 2014 was not adversely affected; the area of direct habitat disturbance was less than predicted in the CSR. Wildlife use of areas outside of the VDM buffer zone does not appear to have been diminished, again recognizing the limitations of the TK data. COC were not assessed, but there is no reason to assume any mine-related increase based on water quality and air emissions data.

Fishing, Hunting and Trapping (Regional FN Lands)

Data are insufficient to confirm environmental effects as hunter / fisher surveys have not been undertaken by the AttFN subsequent to 2008.

Fish and Wildlife Availability (Regional FN Lands)

Direct reduction in wildlife habitat has been less than predicted in the CSR. Radio-tracking and aerial surveys of caribou, Moose, Wolves and larger furbearers have thus far not suggested any adverse mine-related effects. COC were not assessed, but based on water quality and air emissions data, there is no reason to assume any mine-related increase.

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7.7 Heritage Resources

Attawapiskat Traditional Lands

There has been no known additional disturbance to cultural heritage resources / values, as of the end of 2014, consistent with CSR predictions.

Transmission Line (Otter Rapids to Kashechewan)

There has been no known disturbance to cultural heritage resources / values, as of the end of 2014, consistent with CSR predictions.

7.8 Environmental Health

Accidents Along Winter Roads

No De Beers' related accidents occurred along winter roads during 2014.

Drinking Water and Country Foods

Site water and air quality data indicate no compromise of receiving water or air quality as a result of mine-related activities up to the end of 2014, with the possible exception of small-fish mercury body burdens in the Granny Creek system, which are not used as food source by AttFN members. De Beers continues to monitor this very localized effect. Monitoring results thus far are as predicted in the CSR.

7.9 Business, Employment and Training

Business

The mine-related contract value to FN businesses and joint ventures, up to the end of 2014 is estimated at approximately $328.5 million, which exceeds the FUPA criteria life-of-mine threshold of $50 million.

Employment

FN success in obtaining and holding jobs in connection with the VDM has exceeded expectations. The joint De Beers / FN Senior Implementation Management Committee (SIMC) annually reviews the employment targets and makes any appropriate adjustments. The SIMC chose to keep the employment target at 100 in 2014. Training initiatives such as the Victor Training Pipeline continue to be implemented to further develop capacity of AttFN members so that they can compete for employment vacancies as they arise. During 2014, there were a total of 195 members of the AttFN employed by the mine directly or as contractors, of which 74 were De Beers’ employees. Employment of individuals working for contractors related to the winter road and trucking are not

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included. It is estimated that 40 to 50 people are employed during the south winter road season and approximately 200 during James Bay winter road season.

Training

VDM has developed a formal training program, the Victor Training Pipeline that offers a minimum of 20 training positions each year dedicated to the communities that De Beers has signed IBA’s with. The training pipeline commenced in 2013 with continued training in 2014. In 2014, 37 FN members were employed as trainees / apprentices in various positions. The success of these training programs is demonstrated by VDM employment statistics which consistently show greater than 40% FN participation in the VDM workforce during 2014 (55.6% in 2014).

8.0 DETERMINATION OF THE EFFECTIVENESS OF MITIGATION MEASURES

8.1 Atmospheric Systems

Principal mitigation measures involving the control of atmospheric emissions during 2014 were the following:

 Continued use of waste sorting and emission control systems on the incinerator;

 Increased incinerator blow-down rate;

 Dust suppression on gravel roads using watering trucks; and

 Insulation of principal noise-generating equipment such as housings on the on-site diesel generators.

The incinerator worked well during the reporting period, with the exception of elevated TSP, which continues to be a concern and which De Beers continues to investigate. There are no adverse environmental effects related to incinerator TSP emissions. Source segregation programs have been effective in reducing lead and cadmium levels to within C. of A. limits. Road watering for dust suppression also worked effectively during the reporting period. The self-contained on-site generator units are very quiet and effective, and during 2014 functioned as emergency standby power only, as well as for brief preventative maintenance testing (start-up tests).

8.2 Surface Water Systems

Principal mitigation measures involving the protection of surface water systems during 2014 are:

 Continued use of a STP (membrane bioreactor) for the treatment of domestic sewage;

 A change in the routing of pit well development water to the open pit, part way through 2014, where this water reports to the perimeter well field and is discharged directly to the

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Attawapiskat River, rather than being pumped to the Phase 1 Mine Water Settling Pond and from there discharged to the NEF;

 Continued use of passive wetland treatment (intact perimeter muskeg buffer) around mineral stockpiles to prevent suspended solids in stockpile runoff from entering creeks;

 Continued discharge of well field water to a point on the Attawapiskat River where optimal mixing occurs;

 Discharge of surplus water (when required) from the fine PKC facility primary polishing pond to North Granny Creek or to the Attawapiskat River, in conjunction with the well field water discharge, as dictated by related permits. Silt curtains are used in the polishing pond to promote more effective settlement of TSS. During 2014 water was discharged from the Polishing Pond to North Granny Creek from October 2 to November 8, and thus under Condition 6 (3) the permit flow restriction was initiated. However, no water was discharged to the Attawapiskat River from this source in 2014;

 Provision of flow supplementation to maintain Nayshkootayaow River flows during low flow conditions; and

 Provision of flow supplementation to maintain Granny Creek flows and fish habitat during low flow conditions.

All surface water protection measures defined above worked effectively as planned. The only area where added improvements would be helpful would be in connection with sulphate management in stockpile runoff, which is suspected to contribute to the localized generation of methyl mercury in wetlands, principally in the NEF. Further measures to limit sulphate loadings to local muskeg environments continue to be investigated.

8.3 Groundwater Systems

No mitigation measures were proposed or implemented for the operations phase related to groundwater systems, and none are required.

8.4 Terrestrial Systems

Principal mitigation measures involving the protection of terrestrial systems during 2014 were the following:

 Continued use of minimum 200 m buffer zones along creeks and rivers, except where otherwise unavoidable, to protect key wildlife areas and movement corridors;

 Continued avoidance of major tree clearing and stockpile footprint expansion during the bird nesting season (June 1 to July 23, annually);

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 Continued use of winter roads to access the mine site;

 Continued use of traffic control on winter roads (speed limits, convoys, wildlife right-of- way) to minimize potential for vehicle – wildlife interactions);

 Continued use of a 300 m height restriction on aircraft travel to and from the site, except for approach angles and emergency conditions;

 Continued use of an incinerator to destroy food wastes, and other associated waste management practices, so as not to attract wildlife to the mine site; and

 Continued control of atmospheric emissions as per Section 8.1 to protect wildlife values.

All of the above mitigation measures were implemented during the 2006/2007 mine construction phase, as per CSR commitments, and have been carried through as appropriate into the mine operations phase.

8.5 Malfunctions and Accidents

Principal mitigation measures involving the prevention of malfunctions and accidents during 2014 were the following:

 Application of spill prevention, protection and response procedures;  Application of fire prevention, protection and response procedures; and  Ensuring that design specifications for safe pit and stockpile slopes are adhered to.

All of the above mitigation measures were implemented during the 2006 / 2007 construction phase, as per CSR commitments, and have been carried through as appropriate into the operations phase. All measures appear to be working effectively.

8.6 Traditional pursuits, Values and Skills

Principal mitigation measures involving the protection of traditional pursuits, values and skills during 2014 were the following:

 Payment of compensation to the AttFN, as per IBA requirements and schedules, to offset mine-related adverse effects to traditional lands and pursuits;

 Continued implementation of cross-cultural awareness programs for site personnel;

 General use of a two week in and two week out employment rotations to allow Aboriginal persons the opportunity to continue to carry out traditional pursuits;

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 Cultural Leave in addition to the above allows extended leave for aboriginal employees for extra time if required for traditional pursuits;

 Protection of wildlife resources as per Section 8.4; and

 Ensuring compliance with water quality permit requirements for discharge to the Attawapiskat River and other waterways, to facilitate continued traditional usage of water and natural resources in the downstream ecosystem.

All of the above mitigation measures were implemented during the 2006 / 2007 mine construction phase, as per CSR commitments, and have been carried through as appropriate into the mine operations phase. All measures appear to be working effectively.

8.7 Heritage Resources

Principal mitigation measures involving the protection of heritage resources during 2014 are:

 Continue to maintain in place procedures to assess work plans so as to avoid any areas previously identified as likely to contain heritage resources, as well as to respond to the inadvertent unearthing of cultural heritage values in the event that such values, features or artefacts are encountered during construction or other types of activities.

No additional cultural heritage values were disturbed in 2014, as far as De Beers is aware.

8.8 Environmental Health

Principal mitigation measures involving environmental health during 2014 were the following:

 Continue to ensure that winter roads are designed to acceptable standards of safety, and strive for continual improvement;

 Continue to implement policies and driver training to ensure safe road use;

 Investigate all winter road accidents and make recommendations for improved road safety based on each case; and

 Implement mitigation measures related to air and water emissions as defined in Sections 8.1 and 8.2, above.

All of the above mitigation measures were implemented during the 2014 operations phase, as per CSR commitments, and all measures appear to be working effectively with the caveat that there is always room for road safety improvements, and improvement to health.

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8.9 Business, Employment and Training

Principal mitigation measures involving business, employment and training during 2014 were the same as described earlier as per the following:

 Continued consultations with the AttFN and other FN communities to explore measures to continually improve business opportunities;

 Continue to encourage contractors to explore opportunities for FN joint venture partnerships;

 Continued consultations with the AttFN and other FN community leaderships to explore measures to improve employment and training opportunities;

 Continued efforts to match community member employment potentials with mine employment needs;

 Continued efforts to encourage contractors to employ AttFN and other FN members; and

 Economic assessments were initiated in 2014 as required by the Anglo American Mine Closure guidelines to identify and measure the economic impacts of mine closure on the FN communities.

All of the above mitigation measures were in effect during the 2014 mine operations phase, as per CSR commitments, and all measures appear to be working effectively with the caveat that there is always room for optimization and improvement over the longer term.

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9.0 SUMMARY AND EVALUATION OF ADAPTIVE ENVIRONMENTAL MANAGEMENT MEASURES

9.1 Atmospheric Systems

Adaptive management measures (AMM) employed for atmospheric emissions controls during 2014 are those defined in Section 8.1. Applied measures are still being explored for TSP emissions control for the onsite incinerator. TSP concentrations are well within POI limits. With respect to open pit and stockpile operations, optimization of road watering with increased pit depth is evident in the long-term trend of reduced dustfall (Figure 4).

9.2 Surface Water Systems

Mitigation measures described in Section 8.2 were all anticipated within the CSR. Adaptive management included changes to the sampling of sport fish and whitefish in 2012 in consultation with the federal and provincial governments.

The release of sulphate in surface runoff and seepage from mineral stockpiles to the surrounding muskeg environment is believed to be contributing to localized increases in mercury methylation rates as described in Section 3.2.1.2. Further monitoring and AMM to limit such sulphate release are under investigation as described in Section 5 of the Mercury Performance Monitoring 2014 Annual Report

9.3 Groundwater Systems

No AMM were deemed to be required for the protection and/or management of groundwater systems during the 2014 reporting period.

9.4 Terrestrial Systems

No AMM were deemed to be required for the protection and/or management of terrestrial systems during the 2014 reporting period.

9.5 Malfunctions and Accidents

No AMM were deemed to be required in relation to malfunctions and accidents during the 2014 reporting period.

9.6 Traditional pursuits, Values and Skills

The following text was provided in Section 9.6 of the First Annual FUPA Report, and is still considered valid:

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Consideration was given to the possible use of controlled trapping studies focused on marten and/or beaver, as an alternative means of monitoring potential mine- related effects on furbearers, as opposed to a continuation of earlier snow tracking surveys. Various options have been discussed with members of the AttFN, but a path forward has yet to be resolved. It is unclear at this time as to the need for such studies, as it does not appear that mine site related activities are likely to affect furbearer populations in any meaningful way, and there does not appear to be any substantive concern from AttFN members in this regard. Subject to AttFN concurrence, it is suggested that this component of the monitoring program be deleted as being unnecessary.

Based on discussions held previously with the AttFN during 2014 there appeared to be little interest in or support for such studies, and none are proposed at this time.

9.7 Heritage Resources

No AMM were deemed to be required for the protection and/or management of heritage resources during the 2014 reporting period.

9.8 Environmental Health

No AMM were deemed to be required for the protection of environmental health, beyond those already in place at the end of 2008, and as discussed in Section 9.8 of the Second Annual FUPA report.

9.9 Business, Employment and Training

No AMM were deemed to be required in relation to business, employment and training aspects during the 2014 reporting period.

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10.0 SUMMARY OF PUBLIC CONCERNS AND RESPONSES TO PUBLIC CONCERNS

This section summarizes concerns provided to De Beers from various parties in written form, or verbally during meetings or other venues. In 2014, De Beers received comments from the AttFN on the Sixth and Seventh Annual FUPA Reports. Comments generally included requests for more detailed data, requests for alternative or additional depictions of data trends, requests for the inclusion of additional maps, and other informational requests. Comments also included general clarification requests and questions regarding occasional elevated results.

De Beers received comments from EC on the Sixth (2013) Annual Report in late February of 2014. Follow-up discussions were held with EC on these comments, including a meeting with EC in March 2015. EC’s comments were focused on well field chloride discharge concentrations, surface water quality, sewage treatment performance, and mercury.

Comments and concerns received are summarized in the relevant subsections below.

10.1 Atmospheric Systems

To De Beers’ knowledge, no general public or federal agency concerns have been expressed during the reporting period regarding mine-related environmental effects on atmospheric systems. The AttFN has questioned about in-stack TSP values generating results above MOECC limits. While the POI concentrations are well within compliance, De Beers continues to evaluate and optimize TSP in-stack concentrations.

10.2 Surface Water Systems

Concerns expressed to De Beers’ knowledge during the 2014 reporting period regarding mine- related environmental effects on surface water systems have been generally limited to an increased awareness and concern among some AttFN community members of issues surrounding mercury concentrations in water and fish. To date there has been no demonstrated adverse effect of VDM activities on area receiving water mercury levels that have adversely affected fish flesh mercury body burdens in the Attawapiskat and Nayshkootayaow Rivers. However, small fish (Pearl Dace) from the Granny Creek system continue to show elevated body burden mercury concentrations compared to the background condition and to the Tributary 5A control station. It is also notable that small fish body mercury body burden concentrations are showing a decreasing trend in North Granny Creek, indicating that the onset of a stabilizing trend may be occurring.

There continues to be public interest expressed by community members from the AttFN, primarily with respect to water quality and fish health in the area around the community of Attawapiskat and in relation to waters fished by members of the AttFN. In the absence of environmental effects being detected by the multitude of monitoring programs in the immediate area of the mine (apart from the Granny Creek Pearl Dace population) and considerable distances downstream, these concerns are likely to be the result of incorrect information or a lack of information. Also

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expressed, have been concerns about the availability of studies and scientific information. The company continues to provide copies of every environmental report to the Lands and Resources Director so that these are available in the community, and works through the joint EMC to communicate about these and other questions that arise, including through multiple community information meetings.

EC’s comments on well field chloride concentrations focused on observed values compared with predicted values in the CSR. In particular, EC stated that 2012 average well field chloride concentration of 1,223 mg/L was approximately double that predicted in the CSR, stating that the original CSR predicted chloride values ranged from 600 to 830 mg/L. There was a misinterpretation of values from the CSR. The CSR predicted that well field discharge chloride concentrations were expected to be in the range of 800 to 1,000 mg/L, but that under more conservative modeling assumptions, concentrations could be as high as 1,400 to 1,800 mg/L. Observed well field chloride concentrations are therefore with the range of CSR predicted values. The average chloride concentration for 2014 was 1,248 mg/L, essentially the same as for 2012.

EC was also concerned that the chloride discharged to the Attawapiskat River might meet the definition of deleterious as used in the Fisheries Act. Deleterious as used in the Fisheries Act applies to conditions in the receiving water, in this instance the Attawapiskat River, and has been interpreted by EC as not providing any allowance for a mixing zone. While discussions around mixing zones can be somewhat complex, De Beers has provided evidence showing that chloride mixing to levels below that which would be considered potentially harmful to aquatic life occurs essentially instantaneously in the Attawapiskat River at the pipeline discharge point and that there is no threat to aquatic life under any river flow condition. The CEQG for the protection of aquatic life for chloride are 120 mg/L for long-term exposure and 640 mg/L for short-term exposure. These values are readily met under all river flow conditions as demonstrated by extensive river transect and other monitoring over several years.

Relative to surface water quality EC observed that that are occasional exceedances of CEQG and PWQO for the protection of aquatic life in some area water courses. As described in Section 3.2.3 these exceedances are just as likely to occur upstream as downstream of the VDM, and are a function of natural background conditions.

Relative to STP discharges and occasional exceedances of permit objectives, as opposed to permit limits, for ammonia, phosphorus and nitrate, De Beers has clarified to EC that the treated sewage effluent is discharged to the fine PKC facility (and not directly to the environment) where additional effluent improvements are experienced through biological uptake, absorption / adsorption to PK solids, etc. Concentrations of phosphorus and ammonia, the two parameters of potential concern, are well below STP objectives in the fine PKC discharge, and are in fact below CEQG and PWQO values for these parameters.

EC comments regarding methyl mercury were similar to those that have been expressed by others. Methyl mercury concentrations in the Granny Creek system are well below CEQG, but there has nevertheless been an observed increase in methyl mercury in downstream Granny

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Creek waters, and that this increase has resulted in increased body mercury concentrations in small fish (Pearl Dace) in Granny Creek. EC has recognized that De Beers has taken some actions to reduce methyl mercury concentrations in the Granny Creek system, and is continuing to find further improvements. EC also noted the observed increase in small fish (Trout Perch) body burden mercury concentrations in the Attawapiskat River near-field site in 2012, compared to the upstream reference area. However with the addition of 2013 and 2014 data, it is apparent that the 2012 values were an artifact of random variation in the data, and that when the data from all years are viewed in their entirety, there has been no observed increase in Attawapiskat River small fish, body burden mercury concentrations in the river. This observation is consistent with methyl mercury water quality concentrations in the Attawapiskat River which are at low background levels both upstream and downstream of the VDM.

10.3 Groundwater Systems

Comments received in 2014 were generally in relation to maximum allowable chloride concentrations in well field and final discharge, and methods to ensure that the discharge remains below the 1,500 mg/L monthly average limit. Questions were also raised about whether groundwater model updates affect previously reached conclusions. The 2012 groundwater model predicted that chloride concentrations could potentially exceed the 1,500 mg/L threshold for a brief period (depending on model assumptions) before leveling off at approximately 1,500 mg/L. The potential for temporary, slight exceedances of the 1,500 mg/L monthly average chloride threshold relates to the proportional contributions from various dewatering wells and how the wells are operated. The model essentially predicts that chloride concentrations are expected to reach approximately 1,500 mg/L in late 2016 and remain more or less at that concentration for the duration of the mine life. Monitoring will confirm whether or not the C. of A. monthly average threshold is exceeded. De Beers has assumed that there is a potential for the threshold to be exceeded, and has planned its operations accordingly to remain in compliance with the C. of A. Condition 4 of C. of A. #3960-7Q4K2G allows blending of the effluent with water from the Attawapiskat River or other means deemed acceptable to the District Manager (in writing), to achieve the 1,500 mg/L monthly average chloride value.

Additional questions were raised regarding dewatering effects on the terrestrial environment (discussion below).

10.4 Terrestrial Systems

One AttFN community member expressed concern in 2014 about the drying of some muskeg ponds and the development of some small surface subsidences (a few square metres in size) in the VDM area; taking these as an indication of potential karst features developing. These observations, which are surveyed and logged at least annually (helicopter survey), are documented in a summary memo and are all in areas of limestone outcrops or sub-crops where the CSR predicted that some localized effects might occur. Natural sinkholes outside the cone of influence are not inventoried as part of this survey. In addition, a helicopter is used by trained environmental personnel for sampling quite frequently. If any unusual features are observed

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during this work or en-route to sampling stations, the location is documented and the site is further investigated. Where these small subsidences present a potential risk to people or wildlife, a perimeter fence has been installed as a visual and physical barrier.

In addition to annual surveys, a more detailed study was undertaken in 2014 at the request of the MOECC; the Victor Diamond Mine, James Bay Lowlands, Investigation of Sinkholes in the Vicinity of the Victor Diamond Mine and Potential Effects on Muskeg (AMEC Foster Wheeler, 2015e). The most recent annual survey was also included in this study. Community meetings were held in Attawapiskat on May 27 and May 28, 2015 for the purpose of discussing the results of this study as well as to provide updates on other activities at the site. During the karst investigation presentation, it was clear that the presence of karst features in the area prior to mining was known to the community. There were lengthy tangential discussions on several topics during the karst presentation, but the mitigation measures proposed for the sinkholes (monitoring, and fencing where necessary) were not challenged.

The dialogue with community members during these meetings revolved around VDM dewatering, water quality, methyl mercury sources, mercury trends, differentiating types of water in traditional knowledge, and wildlife sensitivity to water quality. Where these topics were in part triggered by the presentation content, they were addressed during the meeting. These comments did not directly relate to the karst study report being presented.

10.5 Malfunctions and Accidents

No FN or general public concerns have been formally expressed during the reporting period regarding mine-related malfunctions and accidents.

10.6 Traditional Pursuits, Values and Skills

An Attawapiskat Community member has been hired by De Beers to work on their behalf in Attawapiskat. Any concerns, comments or questions can be directed to the member who will forward those comments to the De Beers Aboriginal Affairs and or the Environmental Department. In addition, any comments, concerns or questions can be directed to any Attawapiskat EMC member who will pass this information on to the De Beers Environmental Department. The EMC consists of representatives from Attawapiskat and De Beers who meet regularly and discuss various issues expressed by community members.

No FN or general public concerns have been formally expressed during the reporting period regarding mine-related environmental effects on traditional pursuits, values and skills, with the exception of concerns expressed regarding the potential for mercury contamination and bioaccumulation in fish tissue, and hunter / trapper surveys. For the 2014 monitoring period, no adverse effects were observed with respect to bioaccumulation of mercury body burdens in fish tissues for fish from either the Attawapiskat or Nayshkootayaow Rivers. While body burden concentrations have been observed above background levels in small fish (Pearl Dace) from the Granny Creek system, this has been attributed to a localized area of elevated methyl mercury

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concentrations linked to sulphate loadings. This situation is taken seriously by De Beers who is implementing corrective actions. Granny Creek does not support a subsistence or recreational fisheries resource. The creek mainly supports minnow populations, with a few Brook Trout and small Northern Pike.

The hunter / trapper surveys and tissue sample submissions are the responsibility of the AttFN. This survey has been discussed at Environmental Management Committee (EMC) meetings and De Beers understands that it has been a challenge to get FN resident participation.

10.7 Heritage Resources

No FN or general public concerns have been formally expressed during the reporting period regarding mine-related environmental effects on heritage resources, with the exception of questions raised by one family about the potential for vibrations from blasting to disturb grave sites located greater than 10 km up river from the VDM. A planned site visit by Elders in August 2013, and at other times, to address this was not able to be completed until summer of 2014, at which time the Elders determined that concern was no longer warranted.

Most recently, questions regarding procedural aspects for disturbance of cultural and heritage resources were raised by AttFN in their review of the Seventh Annual FUPA report. Clarification, and a summary of the procedures, involving both AttFN and De Beers, was provided. The VDM policy is to immediately contact the site Environmental Coordinator (or designate) at the Victor Mine or the Victor Mine contact in Attawapiskat. The area is to be isolated and all work stopped and the disturbance / heritage resource will be reviewed by the Environmental Coordinator, or designate and representatives of Aboriginal Affairs staff on site. In addition, the Attawapiskat Mine Monitor will also review this location. If an agreement cannot be reached, Elders (AttFN) and/or an archeological expert will be brought in to review the area. Work is not to progress until an agreement is reached between De Beers and the AttFN.

10.8 Environmental Health

No environmental health concerns were formally submitted to De Beers in 2014. Concerns expressed by FN are detailed above, in Section 10.6.

10.9 Business, Employment and Training

Prior training initiatives were conducted under the James Bay Employment and Training (JBET) training program. With the JBET program funding coming to an end, De Beers implemented the Victor Training Pipeline in 2013. The Victor Training Pipeline offers a minimum of 20 training positions each year, dedicated to the communities that De Beers has signed IBAs with. The training program is intended to further develop capacity of FN members so the trainees can compete for employment vacancies as they occur. In recent meetings (2014), general concerns have been expressed about the state of the relationship between De Beers and AttFN (e.g., fairness of hiring, wishing to renegotiate the benefits in the IBA). In comments from the AttFN on

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the Sixth Annual FUPA report, questions regarding the integration of the Attawapiskat Training Centre into the Victor Training Pipeline were raised. De Beers responded that a full time Victor Mine employee facilitates pre-Victor training in the Attawapiskat Training Centre, and that De Beers is in the process of refining the scope of the program.

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11.0 SUMMARY OF NEW TECHNOLOGIES INVESTIGATED

No new technologies were investigated during 2014.

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12.0 REFERENCES

Abraham, K.F., B.A. Pond, S. Tully, V. Trim, D. Headman, C. Chenier and G. Racey. 2012. Recent Changes in Summer Distribution and Numbers of Migratory Caribou on the Southern Hudson Bay coast. Paper presented at the 13th North American Caribou Workshop, Winnipeg. Rangifer, 20: 269 - 276.

AMEC Earth & Environmental. 2008. Victor Diamond Mine 2008 Annual Mercury Compliance Report, 67 pp, incl. tables and figures.

AMEC Earth & Environmental. 2009a. Victor Diamond Mine Follow Up Program Agreement, First Annual Report, Construction Period 2006 to 2007 (Draft). 84 pp, plus tables and figures.

AMEC Earth & Environmental. 2009b. Victor Diamond Mine Follow Up Program Agreement, Second Annual Report, Commissioning and Operations Phase 2008 (Draft). 89 pp, plus tables and figures.

AMEC Earth & Environmental. 2011. De Beers Canada Inc. Victor Mine Mercury Monitoring Performance Monitoring 2010 Annual Report. 17 pp, plus tables and figures.

AMEC Earth & Environmental 2012. De Beers Canada Inc. Victor Mine Mercury Performance Monitoring 2012 Annual Report as Per Conditions 7(5) and 7(6) of Certificate of Approval No. 3960-7Q4K2G. 33 pp, plus tables and figures.

AMEC Environment & Infrastructure. 2013. Victor Diamond Mine Follow Up Program Agreement, Sixth Annual Report, 2012 Reporting Period.

AMEC Environment and Infrastructure. September 2013. Victor Mine Site Area Muskeg Pond Satellite Image Assessment: 2006 Compared with 2012.

AMEC Environment & Infrastructure. 2014. De Beers Canada Inc. Victor Mine Mercury Performance Monitoring 2013 Annual Report as Per Conditions 7(5) and 7(6) of Certificate of Approval #3960-7Q4K2G.

AMEC Environment & Infrastructure. 2014. De Beers Canada Inc. Victor Mine 2014 Caribou Report.

AMEC Foster Wheeler, Environment & Infrastructure. 2015a. Annual Groundwater and Subsidence Report for 2014 up to September 30 as per Condition 4.1.5 of Permit to Take Water #6342-9NEJVH, Victor Mine.

AMEC Foster Wheeler, Environment & Infrastructure. 2015b. De Beers Victor Mine, North Granny Creek Receiving Waters, 2014 Aquatic Environmental Effects Assessment and Benthic

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Invertebrate Monitoring Study, as Per Condition 8(6) of Certificate Of Approval #6909- 76ZGYP.

AMEC Foster Wheeler, Environment & Infrastructure. 2015c. De Beers Victor Mine, North Attawapiskat Receiving Waters, 2014 Aquatic Environmental Effects Assessment and Benthic Invertebrate Monitoring Study, as Per Condition 6(16) of Certificate Of Approval #3960-7Q4K2G.

AMEC Foster Wheeler, Environment & Infrastructure. 2015d. De Beers Canada Inc. Victor Mine Mercury Performance Monitoring 2014 Annual Report as Per Conditions 7(5) and 7(6) of Certificate Of Approval #3960-7Q4K2G.

AMEC Foster Wheeler, Environment & Infrastructure. 2015e. Victor Diamond Mine, James Bay Lowlands, Investigation of Sinkholes in the Vicinity of the Victor Diamond Mine and Potential Effects on Muskeg.

Benoit, J.M., C.C. Gilmour, R.P. Mason and A. Heyes. 1999. Sulphide Controls on Mercury Speciation and Bioavailability to Methylating Bacteria in Sediment Pore Waters. Environmental Science & Technology. 33: 951-957.

Cizdel, J., T. Hinners, C. Cross and J. Pollard. 2003. Distribution of mercury in the tissues of five species of freshwater fish from Lake Mead, USA. J. Environ.; Monit. 5: 802 – 807.

Environment Canada. 2012. Metal Mining Technical Guidance for Environmental Effects Monitoring.

Federal Authorities. 2005. Victor Diamond Project Comprehensive Study Report (CSR), June 2005 (draft prepared by AMEC Earth & Environmental Limited).

Health Canada. 2011. Food and Nutrition, Canadian Standards (Maximum Levels) for Various Chemical Contaminants in Foods. Retrieved from: http://www.hc-sc.gc.ca/fn- an/securit/chem-chim/contaminants-guidelines-directives-eng.php (Last Updated: September 16, 2011).

Hydrologic Consultants Inc. (HCI) 2004. Dewatering of Victor Diamond Project, Predicted Engineering Cost, and Environmental Factors, Addendum I, Update of Ground-Water Flow Model Utilising Flow Data from Nayshkootayaow River and Results of Sensitivity Analyses. 26 pp. plus figures and tables.

Hydrologic Consultants Inc. (HCI) 2007. Dewatering of Victor Diamond Mine, Predicted Engineering Cost, and Environmental Factors, June 2007. 69 pp. plus figures and tables.

Hydrologic Consultants Inc. (HCI) 2008. Dewatering of Victor Diamond Project, Predicted Engineering Cost, and Environmental Factors, March 2008 Update of June 2007 Ground-

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Water Flow Model Based on Data from 60,000 m3/day Ramp-Up Pumping. 19 pp. plus figures and tables.

ITASCA Denver, Inc. (ITASCA). 2012. Prediction of Chloride Concentrations in Mine Discharge Water through Solute Transport Modeling at Victor Diamond Mine. 15 pp, plus tables and figures.

ITASCA Denver, Inc. (ITASCA). 2014. Predicted Dewatering and Hydrogeological Effects: Victor Mine Extension Project, May 2014.

Jeremaison, J. D., et al., 2006. Sulfate addition increases methylmercury production in an experimental wetland. Enviro. Sci. Technol. 2006; 40, 3800 – 3806.

Neegan Naynowan Stantec. June 2015. De beers Canada – Victor Mine Acoustic Environment Monitoring Report 2014/2015.

Ministry of Environment. May 2015. British Columbia Approved Water Quality Guidelines Summary Report.

Ontario Ministry of the Environment. 2013. Guide to Eating Ontario Sport Fish 2013-2014, Twenty-seventh Edition, Revised, Queens Printer for Ontario, 2013.

Ontario Ministry of the Environment. 2011. Guide to Eating Ontario’s Sportfish 2011 – 2012 Edition. Queen’s Printer for Ontario.

Ontario Ministry of the Environment. 1990. Environmental Protection Act, O. Reg. 419/05 Air Pollution – Local Air Quality. Queen’s Printer for Ontario.

Ontario Ministry of Natural Resources and Forestry (MNRF) 2014. Integrated Range Assessment for Woodland Caribou and their Habitat in the Far North of Ontario 2013. Species at Risk Branch. Thunder Bay, Ontario xviii + 124.

Sacket, D.K., W.G. Cope, J.A. Rice, D.D. Aday. 2013. The influence of fish length on tissue mercury dynamics: Implications for natural resource management and human health risk. Int. J. Environ. Res. Public Health. Feb 2013; 10(2): 638 – 659.

Stantec Consulting Ltd., December 2012. Victor Mine Project: 2012 Vegetation and Breeding-Bird Assessment.

Ullrich, S.M., T.W. Tanton and S.A. Abdrashitova. 2001. Mercury in the Aquatic Environment: A Review of Factors Affecting Methylation. Critical Reviews in Environmental Science and Technology 31(3): 241-293.

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United States Environmental Protection Agency. December 1997. Mercury Study Report to Congress, Volume VI: An Ecological Assessment for Anthropogenic Mercury Emissions in the United States. Office of Air Quality Planning and Standards and Office of Research and Development.

Webb, J.S., S. McGinness and H.M. Lappin-Scott. 1998. Metal removal by sulphate-reducing bacteria from natural and constructed wetlands. Journal of Applied Microbiology. 84: 240-248.Whittington, P. and J. Price. 2012. Effect of mine dewatering on peatlands of the James Bay Lowland: the role of bioherms. Hydrological Processes. 26: 1818-1826.

Whittington, P. and J. Price, 2012. Effect of Mine Dewatering on Peatlands of the James Bay Lowland: the Role of Bioherms. Hydrological Processes. 26, 1818-1826.

Whittington, P. and J. Price, 2013. Effect of Mine Dewatering on Peatlands of the James Bay Lowland: The Role of Marine Sediments on Mitigating Peatland Drainage. Hydrological Processes. 27, 1845-1853.

Whittington, P., S. Ketcheson, J. Price, M. Richardson and A. Di Febo. 2012. Areal Differentiation of Snow Accumulation and Melt Between Peatland Types in the James Bay Lowland. Hydrological Processes. 26, 2663-2671.

Zuur, A.F., E.N. Leno, N.J. Walker, A.A. Saveliev and G.M. Smith. 2009. Mixed Effects Models and Extensions in Ecology with R. Springer, London.

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TABLE 1 EMPLOYMENT STATISTICS 2014 SUMMARY

Company AttFN FAFN KFN MCFN Other-FN Non-FN Count Attawapiskat Catering Limited Partnership 34 9 12 8 26 31 120 De Beers 74 26 11 37 48 328 524 Frontline Medics 0000022 Ootahpan * 52051518 Orica 1000078 Fontain Tire 2000079 Toromont 100001415 MKS * 36 0 1 0 1 0 38 K-Corp (winter road) * 27 30 28 25 0 0 110 Paytahbun * 11 4 3 24 13 29 84 CMS 000012223 Wash Bay 4000004 Total 195 71 55 99 90 445 955

TABLE 2 IN-STACK LIMITS AND ANNUAL TEST RESULTS FOR 2014 AS DEFINED IN TABLE 1 OF CERTIFICATE OF APPROVAL

Compound Limit Testing Results % of Criteria Oxygen Min: 6% 9.41% N/A Sulphur dioxide Max: 21 ppm 0.9 ppm 4.3% Nitrogen oxides Max: 110 ppm 81.6 ppm 74.2% Total Hydrocarbons Max: 100 ppm 1.5 ppm 1.5% Hydrogen Chloride Max: 27 mg/m3 0.48 mg/m3 1.8% Dioxins and Furans 80 pg TEQ/m3 23.8 pg TEQ/m3 29.8% Dioxins and Furans Annual Emission Loading * N/A Total Suspended Particulate Max: 17 mg/m3 55.1 mg/m3 324% Cadmium Max: 14 µg/m3 2.57 µg/m3 18.4% Lead Max: 142 µg/m3 40.2 µg/m3 28.3% Mercury Max: 20 µg/m3 0.21 µg/m3 1.1% Mercury Annual Emission Loading * N/A Note: * Annual Emission Loading data (Dioxins and Furans, Mercury) not available for 2014

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TABLE 3 INCINERATOR POINT OF IMPINGEMENT EMISSIONS SUMMARY (2014)

POI* Conc. POI Criteria Parameter Emission Rate % of POI Criteria (ug/m3) (ug/m3) Total Suspended Particulate 0.031 g/s 0.53 100 0.53% Mercury 0.00012 mg/s 0.0000021 5 0.00004% Cadmium 0.00150 mg/s 0.000026 0.075 0.034667% Lead 0.023 mg/s 0.00039 1.5 0.02600% Hydrogen Chloride 0.00027 g/s 0.0046 60 0.0077% Note: Nearest property line is 2,000 m from the incinerator stack POI: Point of impingeme

TABLE 4 TOTAL DUSTFALL MONITORING (2014) (results expressed in g/m2/30 days)

Total Dustfall Total Dustfall Total Monthly Month Limit* DF J-1 East DF J-2 South DF J-3 West DF J-4 North Average Precipitation (mm) May 7 0.208 0.010 0.143 0.038 0.100 22.1 June 7 0.148 0.153 0.115 0.094 0.128 42.4 July 7 0.010 0.713 0.247 0.154 0.281 35.1 August 7 0.066 0.099 0.077 0.088 0.083 14.1 September 7 0.049 0.010 0.100 0.088 0.062 1.9 October 7 0.093 0.115 0.120 0.433 0.190 90.9 Average 0.096 0.183 0.134 0.149 34.4 Minimum 0.010 0.010 0.077 0.038 1.9 Maximum 0.208 0.713 0.247 0.433 90.9 No. of Valid Samples 6 6 6 6 Note: Total dustfall includes the water insoluable and soluable fractions

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TABLE 5 SNOW SAMPLING (2008 - 2014)

Total Date pH Suspended Chloride Sulphate Nitrate Hardness** Beryllium Calcium Cadmium Cobalt Chromium Copper Iron Lead Magnesium Manganese Molybdenum Nickel Silver Sodium Strontium Titanium Vanadium Zinc Station Solids mg/L mg/L mg/L mg/L mg/L mg/L mg/L mg/L mg/L mg/L mg/L mg/L mg/L mg/L mg/L mg/L mg/L mg/L mg/L mg/L mg/L mg/L mg/L DF-1 (East of Site) 26-Mar-08 7.97 413 0.20 0.9 0.2 23.29 <0.0001 8.20 <0.0001 <0.001 0.003 0.002 1.43 0.001 0.68 0.025 <0.002 0.002 <0.0001 <0.5 0.008 0.063 0.003 0.005 DF-1 (East of Site) 6-Mar-09 8.21 415 0.40 6.0 0.1 204.68 0.0002 61.70 0.0002 0.003 0.011 0.006 5.50 0.003 12.3 0.131 <0.002 0.012 <0.0001 0.6 0.050 0.040 0.013 0.017 DF-1 (East of Site) 13-Mar-10 7.05 1140 0.34 <1.0 <0.1 520.43 0.0008 147.00 0.0001 0.0101 0.0383 0.0188 21.5 0.010 37.3 0.456 <0.001 0.0424 <0.0001 3.06 0.1160 0.927 0.0383 0.0497 DF-1 (East of Site) 8-Mar-11 8.71 75.7 5.65 <1.0 0.12 226.36 <0.0005 66.60 <0.0001 0.00374 0.0147 0.0083 5.42 0.0031 14.6 0.162 <0.001 0.0156 0.00075 1.96 0.0788 0.413 0.0146 0.0254 DF-1 (East of Site) 9-Mar-12 7.10 28 0.25 <1.0 0.13 60.30 <0.0005 19.10 <0.0001 0.00045 0.0019 0.0095 0.686 <0.001 3.06 0.0251 <0.001 0.0021 <0.0001 0.81 0.0160 0.0411 0.0016 0.005 DF-1 (East of Site) 17-Mar-13 8.03 306 <0.2 <1.0 <0.1 130.52 <0.0005 39.66 <0.0001 0.0016 0.0064 0.006 2.347 0.0015 7.652 0.0776 <0.001 0.0093 <0.0001 0.44 0.0356 0.1477 0.0051 0.01 DF-1 (East of Site) 21-Mar-14 7.54 0.59 <1.0 <0.1 72.48 <0.0005 23.40 <0.00009 0.00117 0.0200 1.517 0.063 3.41 0.483 <0.001 0.0082 <0.0001 0.45 0.0147 0.0694 <0.001 0.0054 PWQO 6.5-8.5 0.01-1.1* 0.001-0.005* 0.0009 0.0089 0.001 / 0.005* 0.3 0.001-0.005* 0.04 0.025 0.0001 0.02

DF-2 (South of Site) 26-Mar-08 7.42 179 0.60 2.1 0.2 19.19 <0.0001 7.10 <0.0001 <0.001 0.001 0.002 0.414 <0.001 0.35 0.014 <0.002 0.002 <0.0001 <0.5 0.009 0.010 <0.002 0.023 DF-2 (South of Site) 6-Mar-09 6.60 16 0.10 0.3 0.1 7.21 <0.0001 2.00 <0.0001 <0.001 0.004 0.001 0.296 <0.001 0.54 0.044 <0.002 0.007 <0.0001 <0.5 0.004 0.009 <0.002 0.006 DF-2 (South of Site) 13-Mar-10 6.74 65 <0.2 <1.0 <0.1 48.91 <0.0005 12.10 <0.0001 0.00127 0.006 0.002 0.724 <0.001 4.55 0.0239 <0.001 0.0169 <0.0001 0.7 0.0123 0.0241 0.0012 0.0089 DF-2 (South of Site) 8-Mar-11 6.88 14.2 5.08 <1.0 <0.1 11.16 <0.0005 2.74 <0.0001 0.0005 0.0031 0.0017 0.205 <0.001 1.05 0.0066 <0.001 0.0067 0.00108 0.15 0.0065 0.0073 <0.001 0.0067 DF-2 (South of Site) 9-Mar-12 7.19 20 0.50 <1.0 0.2 13.07 <0.0005 3.62 <0.0001 0.00025 0.0012 0.0044 0.11 <0.001 0.981 0.0078 <0.001 0.0027 <0.0001 0.49 0.007 0.0041 <0.001 0.0043 DF-2 (South of Site) 17-Mar-13 7.12 17.8 <0.2 <1.0 <0.1 14.31 <0.0005 4.05 <0.0001 0.00029 0.002 0.0015 0.198 <0.001 1.021 0.017 <0.001 0.0058 <0.0001 <0.1 0.0065 0.0086 <0.001 0.0039 DF-2 (South of Site) 21-Mar-14 6.91 124.3 0.35 <1.0 <0.1 11.51 <0.0005 3.51 <0.00009 0.00098 0.0072 0.0014 0.508 0.018 0.667 0.0362 <0.001 0.0053 <0.0001 0.16 0.0035 0.0112 <0.001 0.0051 PWQO 6.5-8.5 0.01-1.1* 0.001-0.005* 0.0009 0.0089 0.001-0.005* 0.3 0.001-0.005* 0.04 0.025 0.0001 0.02

DF-3 (West of Site) 26-Mar-08 6.34 26 0.30 0.5 <0.1 6.78 <0.0001 2.50 <0.0001 <0.001 <0.001 <0.001 0.039 <0.001 0.13 0.002 <0.002 <0.001 <0.0001 <0.5 0.002 <0.002 <0.002 0.006 DF-3 (West of Site) 2-Mar-09 5.90 2 0.10 0.2 <0.1 1.66 <0.0001 0.50 <0.0001 <0.001 <0.001 0.001 0.036 <0.001 0.10 0.044 <0.002 <0.001 <0.0001 <0.5 <0.001 <0.002 <0.002 0.010 DF-3 (West of Site) 13-Mar-10 6.21 18 0.25 <1.0 0.12 8.89 <0.0005 2.74 <0.0001 0.00023 0.0011 <0.001 0.094 <0.001 0.497 0.0062 <0.001 0.0019 <0.0001 0.55 0.0031 0.0022 <0.001 0.0065 DF-3 (West of Site) 9-Mar-11 4.97 1.5 5.35 <1.0 <0.1 8.52 <0.0005 2.44 0.0001 0.00028 0.0021 0.0038 0.17 <0.001 0.591 0.0055 <0.001 0.0032 0.00045 0.39 0.0057 0.0037 <0.001 0.0284 DF-3 (West of Site) 9-Mar-12 5.89 2.5 0.39 <1.0 0.14 24.82 <0.0005 6.60 <0.0001 0.00076 0.0036 0.0034 0.455 <0.001 2.03 0.0119 <0.001 0.0088 <0.0001 0.43 0.0112 0.0138 <0.001 0.0133 DF-3 (West of Site) 17-Mar-13 6.21 2.2 <0.2 <1.0 <0.1 1.31 <0.0005 0.517 <0.0001 <0.0001 <0.0009 0.0018 <0.02 <0.001 <0.004 0.0018 <0.001 <0.001 <0.0001 0.25 0.0027 0.0011 <0.001 0.006 DF-3 (West of Site) 21-Mar-14 5.71 68.2 0.59 <1.0 <0.1 0.75 <0.0005 0.23 <0.00009 0.00012 0.0089 <0.001 <0.02 0.025 0.043 0.0029 <0.001 <0.001 <0.0001 0.26 <0.001 <0.001 <0.001 0.0026 PWQO 6.5-8.5 0.01-1.1* 0.001-0.005* 0.0009 0.0089 0.001-0.005* 0.3 0.001-0.005* 0.04 0.025 0.0001 0.02

DF-4 (North of Site) 28-Mar-08 5.96 7 0.40 0.4 <0.1 2.12 <0.0001 0.70 <0.0001 <0.001 <0.001 0.001 0.013 <0.001 0.09 0.003 <0.002 <0.001 <0.0001 <0.5 <0.001 <0.002 <0.002 0.008 DF-4 (North of Site) 2-Mar-09 5.91 3 0.10 0.2 <0.1 1.46 <0.0001 0.50 <0.0001 <0.001 <0.001 <0.001 0.038 <0.001 0.05 0.005 <0.002 <0.001 <0.0001 <0.5 <0.001 <0.002 <0.002 0.002 DF-4 (North of Site) 13-Mar-10 5.66 57.2 <0.2 <1.0 <0.1 10.11 <0.0005 3.24 <0.0001 0.0002 0.0012 0.002 0.1 <0.001 0.49 0.0153 <0.001 0.0018 <0.0001 0.32 0.0028 0.0023 <0.001 0.011 DF-4 (North of Site) 10-Mar-11 5.81 3.7 <0.2 <1.0 <0.1 5.00 <0.0005 1.50 <0.0001 0.00018 0.00087 <0.001 0.055 <0.001 0.306 0.0068 <0.001 0.0013 <0.0001 0.11 0.0034 0.0016 <0.001 0.0102 DF-4 (North of Site) 9-Mar-12 5.88 2 0.61 <1.0 0.18 2.13 <0.0005 0.526 <0.0001 <0.0001 <0.001 0.0038 0.04 <0.001 0.199 0.0019 <0.001 0.0017 <0.0001 0.32 0.0012 0.0016 <0.001 0.0079 DF-4 (North of Site) 17-Mar-13 6.00 1.7 <0.2 <1.0 <0.1 1.11 <0.0005 0.439 <0.0001 <0.0001 <0.0009 <0.001 <0.03 <0.001 <0.004 0.0022 <0.001 <0.001 <0.0001 0.28 <0.001 0.0013 <0.001 0.0095 DF-4 (North of Site) 21-Mar-14 5.73 41.6 0.44 <1.0 <0.1 1.78 <0.0005 0.58 <0.00009 0.00011 0.0089 <0.001 0.106 0.029 0.08 0.0089 <0.001 <0.001 <0.0001 0.2 0.001 <0.001 <0.001 0.0059 PWQO 6.5-8.5 0.01-1.1* 0.001-0.005* 0.0009 0.0089 0.001-0.005* 0.3 0.001-0.005* 0.04 0.025 0.0001 0.02

Near Residence 30-Mar-08 6.43 29 0.30 0.5 <0.1 12.76 <0.0001 4.20 <0.0001 <0.001 0.001 0.006 0.13 <0.001 0.55 0.029 <0.002 0.003 <0.0001 <0.5 0.005 0.003 <0.002 0.003 Near Residence 2-Mar-09 6.84 14 0.20 0.4 <0.1 8.29 <0.0001 2.20 <0.0001 <0.001 0.005 0.002 0.531 <0.001 0.68 0.048 <0.002 0.014 <0.0001 <0.5 0.008 0.011 <0.002 0.004 Near Residence 13-Mar-10 6.90 16.6 0.29 <1.0 <0.1 16.85 <0.0005 4.92 <0.0001 0.00047 0.0027 <0.001 0.259 <0.001 1.11 0.0073 <0.001 0.0068 <0.0001 0.27 0.0057 0.0052 0.0011 0.0052 Near Residence 8-Mar-11 6.54 44.5 <0.2 <1.0 <0.1 16.67 <0.0005 5.30 <0.0001 0.00039 0.0041 <0.001 0.18 <0.001 0.833 0.0067 <0.001 0.0045 0.00014 0.55 0.0062 0.0057 <0.001 0.004 Near Residence 9-Mar-12 6.97 30 0.27 <1.0 0.16 29.89 <0.0005 7.30 <0.0001 0.00134 0.0073 0.0028 0.622 <0.001 2.84 0.0173 <0.001 0.0188 <0.0001 0.34 0.018 0.0193 <0.001 0.0064 Near Residence 12-Mar-13 6.93 10.5 <0.2 <1.0 <0.1 15.02 <0.0005 4.32 <0.0001 0.00037 0.0029 0.0023 0.249 <0.001 1.03 0.0088 <0.001 0.0064 <0.0001 0.25 0.0061 0.0064 <0.001 0.0097 Near Residence 21-Mar-14 7.45 61.9 1.34 <1.0 <0.1 20.81 <0.0005 7.26 <0.00009 0.00048 0.0055 <0.001 0.246 0.013 0.649 0.0118 <0.001 0.0062 <0.0001 0.59 0.0072 0.0042 <0.001 0.0036 PWQO 6.5-8.5 0.01-1.1* 0.001-0.005* 0.0009 0.0089 0.001-0.005* 0.3 0.001-0.005* 0.04 0.025 0.0001 0.02

* Value depends on hardness. ** Hardness value provided is calculated based on hardness (mg/L)=(2.5 X [Ca]) + (4.1 X[Mg]) PWQO: Provincial Water Quality Guidelines for the protection of aquatic life. Data are not subject to PWQO. PWQO is provided for comparison purposes only. Exceeds PWQO

TC140504 Page 111 Victor Diamond Mine Follow Up Program Agreement Eighth Annual Report - 2014 Reporting Period September 2015

TABLE 6 HI-VOL AND LO-VOL AMBIENT AIR SAMPLE RESULTS (2014)

Parameters and Concentrations Station and Metric Units TSP Hg Cd Pb Hi-Vol-4 Number of Samples n 24 24* 24* 24* Sample Dates May 5 - Oct 26 - - - - Mean Value µg/m3 9.54 <0.000011 <0.0011 <0.0017 <0.000011 - <0.0011 - <0.0017 - 3 Observed Range µg/m 2.84-33.36 0.000011 <0.0011 <0.0017 Lo-Vol-04 Number of Samples n 30 - 30* 30* Sample Dates May 5 - Oct 26 - - - - Mean Value µg/m3 <6.98 - <0.027 <0.040 3 Observed range µg/m <4.2 - 19.0 - <0.026-<0.028 <0.039-<0.042 Lo-Vol-02 Number of Samples n 24 - 24* 24* Sample Dates May 5 - Oct 26 - - - - Mean Value µg/m3 <6.23 - <0.027 <0.040 3 Observed Range µg/m <4.2 - 14.3 - <0.0251-<0.028 <0.040-<0.041

O. Reg. 419/05 24-h Averaged Standards: Total Suspended Particles (TSP) - 120 µg/m3; Mercury (Hg) - 2 µg/m3; Cadmium (Cd) - 0.25 µg/m3; Lead (Pb) - 2 µg/m3

Detection Limits: TSP (Hi-Vol) - 2.8 µg/m3; TSP (Lo-Vol) - 4.2 µg/m3 Cd (Lo-Vol) <0.028 µg/m3, Pb (Lo-Vol) <0.041 µg/m3 * All samples were at or below method detection limit for given parameter

TC14504 Page 112 Victor Diamond Mine Follow Up Program Agreement Eighth Annual Report - 2014 Reporting Period September 2015

Table 7

PASSIVE SO2 and NO2 - DE BEERS VICTOR MINE - 2014 (Results expressed in ppb)

DUP 9 DUP 8 Month PM-1 East PM-2 South PM-3 West PM-4 North Blank Blank (PM-2) (PM-1)

NO2 SO2 NO2 SO2 NO2 SO2 NO2 SO2 NO2 SO2 NO2 SO2 May-14 0.1 <0.1 0.3 <0.1 0.2 <0.1 0.3 <0.1 0.3 <0.1 0.05 0.09 Jun-14 0.4 <0.1 <0.1 <0.1 0.3 <0.1 0.3 <0.1 0.2 <0.1 0.08 0.12 Jul-14 <0.1 <0.1 0.2 <0.1 <0.1 0.1 <0.1 <0.1 0.4 <0.1 0.09 0.03 Aug-14 0.2 0.2 0.2 0.1 <0.1 0.4 0.5 0.2 0.3 0.2 0.05 0.13 Sep-14 0.3 0.1 0.3 <0.1 0.3 <0.1 0.3 <0.1 0.1 0.1 0.04 0.04 Oct-14 0.3 0.2 <0.1 <0.1 <0.1 <0.1 <0.1 <0.1 0.3 <0.1 0.08 0.06

Average <0.2 <0.1 <0.2 <0.1 <0.2 <0.2 <0.3 <0.1 <0.3 <0.1 0.07 0.08 Maximum 0.4 0.2 0.3 0.1 0.3 0.4 0.5 0.2 0.4 0.2 0.09 0.13 Minimum <0.1 <0.1 <0.1 <0.1 <0.1 <0.1 <0.1 <0.1 0.1 <0.1 0.04 0.03 Detection Limit (mdl) 0.1 0.1 0.1 0.1 0.1 0.1 0.1 0.1 0.1 0.1 0.1 0.1 No. Samples < mdl 13253425040 0

Notes: S02: Sulphur dioxide

NO2: Nitrogen dioxide

TC140504 Page 113 Victor Diamond Mine Follow Up Program Agreement Eighth Annual Report - 2014 Reporting Period September 2015

TABLE 8 NORTHEAST FEN COMPLIANCE PERFORMANCE (2014) (data in mg/L) Permit Limits Number of Average of all Number of Parameter Monthly Daily Samples Results Exceedances Average General Parameters Lab pH 9.5 - 132 7.74 0 Field pH 9.5 - 132 7.35 0 Total suspended solids 30 mg/L 15 mg/L 132 4.05 4 Total dissolved solids - - 43 480.23 na Ammonia (N mg/L) - - 43 0.09 na Un-ionized Ammonia - - 43 0.002 na Chloride - - 43 57.4 na Sulphate - - 43 60.2 na Total Phosphorus - - 10 0.013 na Oil & grease 15 mg/L - 130 1.0 0 Metals Beryllium Total - - 10 <0.0005 na Beryllium Dissolved - - 10 <0.0005 na Calcium Total - - 43 74.75 na Calcium Dissolved - - 43 72.03 na Cadmium Total - - 10 <0.0001 na Cadmium Dissolved - - 10 <0.0001 na Chromium Total - - 10 <0.001 na Chromium Dissolved - - 10 <0.001 na Copper Total - - 10 <0.001 na Copper Dissolved - - 10 <0.001 na Iron Total - - 43 0.56 na Iron Dissolved - - 43 0.24 na Lead Total - - 10 <0.001 na Lead Dissolved - - 10 <0.0001 na Magnesium Total - - 43 22.51 na Magnesium Dissolved - - 43 22.18 na Manganese Total - - 10 0.04 na Manganese Dissolved - - 10 0.03 na Molybdenum Total - - 10 <0.001 na Molybdenum Dissolved - - 10 <0.001 na Nickel Total - - 10 <0.004 na Nickel Dissolved - - 10 <0.002 na Silver Total - - 10 <0.0001 na Silver Dissolved - - 10 <0.0001 na Sodium Total - - 42 52.09 na Sodium Dissolved - - 42 51.06 na Strontium Total - - 10 0.24 na Strontium Dissolved - - 10 0.24 na Titanium Total - - 10 <0.004 na Titanium Dissolved - - 10 <0.001 na Vanadium Total - - 10 <0.001 na Vanadium Dissolved - - 10 <0.001 na Zinc Total - - 10 <0.005 na Zinc Dissolved - - 10 <0.003 na Toxicity Acute Toxicity – trout 50% survival - 10 98% na Acute Toxicity – Daphnia 50% survival - 10 100% na

TC140504 Page 114 Victor Diamond Mine Follow Up Program Agreement Eighth Annual Report - 2014 Reporting Period September 2015

TABLE 9 TOTAL MERCURY - FENS (Unfiltered) (concentrations in ng/L)

Southwest Fen Northeast Fen Southeast Fen Northwest Control Date (SWF/F) (NEF/F) (SEF/F) (HgCON)

May-06 0.77 0.62 Jun-06 2.44 1.72 Jul-06 2.49 1.26 2.51 2.64 Aug-06 1.86 0.83 Sep-06 1.29 1.25 Oct-06 1.59 0.53 1.09 1.70 Dec-06 4.65 1.08 Jan-07 3.01 0.86 1.51 2.77 Feb-07 2.84 0.99 Mar-07 F 3.14 Apr-07 F 2.34 May-07 2.07 1.31 1.43 1.25 Jun-07 1.96 1.21 Jul-07 2.40 0.87 1.57 2.87 Aug-07 3.85 1.30 Sep-07 2.28 1.32 Oct-07 3.74 1.12 3.57 4.51 Nov-07 2.86 0.68 Dec-07 3.42 1.41 Jan-08 6.55 3.33 13.30 4.36 Feb-08 5.70 3.52 Mar-08 9.79 4.64 Apr-08 16.30 5.67 F 2.80 May-08 1.78 1.33 Jun-08 2.37 1.11 Jul-08 3.19 1.54 2.42 3.47 Aug-08 2.98 2.51 Sep-08 2.76 2.22 Oct-08 1.84 1.02 1.44 1.60 Nov-08 1.80 0.76 Dec-08 2.19 0.92 Jan-09 F 3.43 1.83 2.66 Feb-09 8.61 5.14 FENS - TOTAL MERCURY CONCENTRATIONS (Unfiltered) Mar-09 Apr-09 4.89 7.35 May-09 1.44 2.92 2.60 2.91 18.00 Jun-09 ND 1.25 Jul-09 ND 1.46 2.12 2.97 16.00 Aug-09 ND 1.11 Sep-09 ND 1.42 14.00 Oct-09 ND 1.41 0.94 1.15 12.00 Nov-09 ND 0.38 Dec-09 ND 0.19 10.00 Jan-10 ND 3.21 3.16 2.93 Feb-10 ND 8.00 Mar-10 ND Apr-10 ND 1.03 0.55 Concentration (ng/L) 6.00 May-10 ND 0.70 1.20 4.00 Jun-10 ND 0.74 Jul-10 ND 1.34 1.21 1.21 2.00 Aug-10 ND 1.76 Sep-10 ND 1.15 0.00 Oct-10 ND 0.78 1.29 1.86 Nov-10 ND 0.56 Dec-10 ND 0.98 Jan-11 ND 1.26 1.61 1.87 Feb-11 ND F

Mar-11 ND F Southwest Fen Northeast Fen Southeast Fen Northwest Control Apr-11 ND 2.81 3.74 2.05 (SWF/F) (NEF/F) (SEF/F) (HgCON) May-11 ND 1.23 Jun-11 ND 1.05 Jul-11 ND 3.18 1.41 1.99 Aug-11 ND 3.29 Sep-11** ND Oct-11 ND 1.68 2.78 3.97 Nov-11 ND 1.23 Dec-11 ND 1.17 Jan-12 ND 5.31 7.75 5.49 Feb-12 ND Mar-12 ND 1.88 Apr-12 ND 2.06 3.32 0.72 May-12 ND 0.68 Jun-12 ND 1.16 Jul-12 ND 3.59 1.36 1.90 Aug-12 ND 4.93 Sep-12 ND 3.79 Oct-12 ND 0.60 1.33 1.33 Nov-12 ND 2.70 Dec-12 ND 2.37 Jan-13 ND 3.30 4.59 Feb-13 ND Mar-13 ND Apr-13 ND 7.39 May-13 ND 0.64 2.55 3.36 Jun-13 ND 0.26 Jul-13 ND 1.52 1.11 1.67 Aug-13 ND 2.29 Sep-13 ND 3.06 Oct-13 ND 1.34 4.52 1.86 Nov-13 ND Dec-13 ND 1.72 Jan-14 ND 1.4 8.49 Feb-14 ND Mar-14 ND Apr-14 ND 3.17 May-14 ND 2.92 6.13 3.17 Jun-14 ND 1.88 Jul-14 ND 3.27 2.62 3.25 Aug-14 ND 4.09 Sep-14 ND 2.28 Oct-14 ND 1.59 1.69 3.03 Nov-14 ND 1.44 Dec-14 ND 0.91 *Average 2009 5.03 2.31 1.87 2.42 *Average 2010 - 1.59 1.55 1.80 *Average 2011 - 2.23 2.39 2.47 *Average 2012 - 2.89 3.44 2.36 *Average 2013 - 1.70 2.73 2.87 *Average 2014 - 2.30 3.48 4.49 Average All Years 3.62 1.99 2.72 2.75 F = Frozen (no sample) ND: not determined (C. of A. #3374-6G7J2Y was revoked) Southwest Fen - Receives effluent from central quarry (2006 only) Northeast Fen - Receives effluent from plant site excavation, sewage treatment plant and pit sump Southeast Fen - Control site Northwest Control - Control site *Annual average values are only for dates when control samples were collected ** Samples discarded due to lab miscommunicaton Annual average values for 2011 and 2013 have been corrected to include only those values when control samples were collected. MDLs have been adjusted for all years for uniformity (0.1 ng/L for total mercury), as per Section 1. Blank cells indicate concentration was not determined.

TC14504 Page 115 Victor Diamond Mine Follow Up Program Agreement Eighth Annual Report - 2014 Reporting Period September 2015

TABLE 10 TOTAL MERCURY - FENS (Filtered) (concentrations in ng/L)

Southwest Fen Northeast Fen Southeast Fen Northwest Control Date (SWF/F) (NEF/F) (SEF/F) (HgCON)

May-06 0.64 0.48 Jun-06 2.32 Jul-06 1.96 0.86 1.38 1.82 Aug-06 1.34 0.72 Sep-06 1.11 0.61 Oct-06 0.85 0.44 0.94 1.19 Dec-06 3.05 0.59 Jan-07 1.86 0.47 1.01 1.73 Feb-07 1.90 0.48 Mar-07 F 3.03 Apr-07 F 1.69 May-07 1.31 1.41 0.89 1.03 Jun-07 1.24 1.05 Jul-07 1.74 0.70 1.48 1.70 Aug-07 2.45 0.98 Sep-07 1.87 0.69 Oct-07 2.89 1.04 3.11 3.92 Nov-07 2.66 0.60 Dec-07 3.22 1.00 Jan-08 4.86 2.10 2.21 3.07 Feb-08 5.40 2.32 Mar-08 3.79 3.41 Apr-08 6.72 2.41 F 2.41 May-08 1.22 1.01 Jun-08 1.63 1.11 Jul-08 2.87 1.38 2.02 2.88 Aug-08 2.55 1.81 Sep-08 2.07 1.90 Oct-08 1.71 1.04 1.12 1.33 Nov-08 1.77 0.66 Dec-08 2.02 0.86 Jan-09 F 2.86 1.61 2.00 Feb-09 7.42 3.62 Mar-09 Fens - Total Mercury Concentrations (Filtered) Apr-09 3.89 5.09 May-09 1.44 1.55 2.25 1.85 8.00 Jun-09 ND 1.20 Jul-09 ND 1.12 1.49 2.09 7.00 Aug-09 ND 0.79 Sep-09 ND 1.15 6.00 Oct-09 ND 1.46 0.92 1.02 Nov-09 ND 0.21 5.00 Dec-09 ND 0.08 4.00 Jan-10 ND 1.40 1.93 2.21 Feb-10 ND 3.00 Mar-10 ND Concentration (ng/L) Apr-10 ND 0.65 <0.1 2.00 May-10 ND 0.50 0.76 Jun-10 ND 0.59 1.00 Jul-10 ND 1.00 0.80 0.95 Aug-10 ND 1.25 0.00 Sep-10 ND 0.89 Oct-10 ND 0.37 1.35 0.64 Nov-10 ND 0.55 Dec-10 ND 0.45 Jan-11 ND 0.81 0.95 1.37 Feb-11 ND F Mar-11 ND F Southwest Fen Northeast Fen Southeast Fen Northwest Control Apr-11 ND 1.65 0.79 0.53 (SWF/F) (NEF/F) (SEF/F) (HgCON) May-11 ND 0.60 Jun-11 ND 0.91 Jul-11 ND 2.00 1.16 1.57 Aug-11 ND 2.20 Sep-11** ND Oct-11 ND 0.96 1.59 2.89 Nov-11 ND 0.48 Dec-11 ND 0.66 Jan-12 ND 3.32 2.00 4.73 Feb-12 ND Mar-12 ND 0.69 Apr-12 ND 0.98 2.06 0.25 May-12 ND 0.41 Jun-12 ND 0.68 Jul-12 ND 2.09 1.11 1.56 Aug-12 ND 3.01 Sep-12 ND 2.86 Oct-12 ND 0.43 0.85 0.96 Nov-12 ND 1.07 Dec-12 ND 0.89 Jan-13 ND 2.33 2.19 Feb-13 ND Mar-13 ND Apr-13 ND 3.25 May-13 ND 0.37 1.83 2.32 Jun-13 ND 0.17 Jul-13 ND 0.69 0.70 1.00 Aug-13 ND 1.06 Sep-13 ND 1.83 Oct-13 ND 0.82 1.44 1.27 Nov-13 ND Dec-13 ND 1.60 Jan-14 ND 0.86 2.08 Feb-14 ND Mar-14 ND Apr-14 ND 1.32 May-14 ND 0.72 4.18 1.7 Jun-14 ND 1.19 Jul-14 ND 2.1 1.69 2.13 Aug-14 ND 2.13 Sep-14 ND 1.36 Oct-14 ND <0.1 1.34 2.79 Nov-14 ND 0.91 Dec-14 ND 0.42 *Average 2009 4.43 1.75 1.57 1.74 *Average 2010 - 0.86 1.21 <0.98 *Average 2011 - 1.36 1.12 1.59 *Average 2012 - 1.71 1.51 1.88 *Average 2013 - 1.05 1.32 1.70 *Average 2014 - <0.95 2.40 2.18 Average All Years 2.56 <1.26 1.51 <1.80 F = Frozen (no sample) ND: not determined (C. of A. #3374-6G7J2Y was revoked) Southwest Fen - Receives effluent from central quarry (2006 only) Northeast Fen - Receives effluent from plant site excavation, sewage treatment plant and pit sump Southeast Fen - Control site Northwest Control - Control site *Annual average values are only for dates when control samples were collected ** Samples discarded due to lab miscommunication Annual average values for 2011 and 2013 have been corrected to include only those values when control samples were collected. MDLs have been adjusted for all years for uniformity (0.1 ng/L for total mercury), as per Section 1. Blank cells indicate concentration was not determined.

TC14504 Page 116 Victor Diamond Mine Follow Up Program Agreement Eighth Annual Report - 2014 Reporting Period September 2015 TABLE 11 METHYL MERCURY - FENS (Unfiltered) (concentrations in ng/L)

Southwest Fen Northeast Fen Southeast Fen Northwest Control Date (SWF/F) (NEF/F) (SEF/F) (HgCON)

Jul-06 0.16 0.10 0.03 0.06 Oct-06 0.20 0.02 0.02 0.05 Jan-07 0.97 0.07 0.07 0.16 May-07 0.14 0.07 <0.02 0.04 Jul-07 0.68 0.10 0.02 0.05 Oct-07 0.81 0.15 0.08 0.09 Jan-08 5.58 1.72 1.07 0.34 Mar-08 F 2.07 F F FENS - METHYL MERCURY CONCENTRATIONS (Unfiltered) Apr-08 8.37 2.90 0.07 0.65 9.00 Jul-08 0.69 0.40 0.11 0.12 8.00 Oct-08 0.27 0.50 0.05 0.04 7.00 Jan-09 4.59 1.99 0.12 0.19 6.00 Apr/May-09 2.79 5.08 0.05 0.04 5.00 Jul-09 ND 0.34 <0.02 0.03 4.00 Oct-09 ND 0.12 0.03 0.04 Jan-10 ND 2.38 0.06 0.18 3.00 Apr-10 ND 0.21 0.04 0.06 2.00

Jul-10 ND 1.10 0.03 0.08 Concentration (ng/L) 1.00 Oct-10 ND 0.24 0.03 0.07 0.00 Jan-11 ND 0.65 0.08 0.06 Apr-11 ND 0.13 0.18 0.18 Jul-11 ND 1.03 0.03 0.04 Oct-11 ND 0.23 0.07 0.07

Jan-12 ND 8.09 0.94 0.47 Southwest Fen Northeast Fen Southeast Fen Northwest Control Apr-12 ND 0.49 0.10 0.05 (SWF/F) (NEF/F) (SEF/F) (HgCON) Jul-12 ND 1.74 0.03 0.07 Oct-12 ND 0.15 0.02 0.03 Jan-13 ND 1.18 0.19 Apr/May-13 ND 6.05 0.08 0.04 Jul-13 ND 0.68 0.07 0.11 Oct-13 ND 0.48 <0.02 0.03 Jan-14 ND 0.49 0.50 Apr/May-14 ND 1.55 0.04 0.06 Jul-14 ND 1.56 0.05 0.19 Oct-14 ND 0.17 0.08 0.09 Average 2009 3.69 1.88 <0.05 0.07 Average 2010 - 0.98 0.04 0.10 Average 2011 - 0.51 0.09 0.09 Average 2012 - 2.62 0.27 0.16 Average 2013 - 2.10 <0.06 0.09 Average 2014 - 0.94 0.06 0.21 Average all Data 2.10 1.26 <0.12 0.13 F = Frozen (no sample) ND: not determined (C. of A. #3374-6G7J2Y was revoked) Southwest Fen - Received effluent from the Central Quarry Northeast Fen - Receives effluent from plant site excavation, sewage treatment plant and pit sump Southwest Fen - Control site Northwest Control - Control site CEQG for Protection of Aquatic Life; 4 ng/L (unfiltered) Quarterly sampling in accordance with Amended C. of A. #3960-7Q4K2G MDLs have been adjusted for all years for uniformity (0.02 ng/L for methyl mercury), as per Section 1. Blank cells indicate concentration was not determined.

TC14504 Page 117 Victor Diamond Mine Follow Up Program Agreement Eighth Annual Report - 2014 Reporting Period September 2015

TABLE 12 METHYL MERCURY - FENS (Filtered) (concentrations in ng/L)

Southwest Fen Northeast Fen Southeast Fen Northwest Control Date (SWF/F) (NEF/F) (SEF/F) (HgCON)

Jul-06 0.13 0.08 0.02 <0.02 Oct-06 0.15 0.02 <0.02 0.02 Jan-07 0.68 0.04 0.06 0.10 May-07 0.08 0.06 0.02 0.04 Jul-07 0.30 0.10 0.02 0.04 Oct-07 0.63 0.12 0.04 0.09 Jan-08 3.48 1.29 0.39 0.17 Mar-08 F 1.34 F F Apr-08 3.42 1.73 0.03 0.37 Jul-08 0.58 0.41 0.08 0.07 FENS - METHYL MERCURY CONCENTRATIONS (Filtered) Oct-08 0.29 0.39 0.02 0.04 4.50 Jan-09 3.03 0.89 0.09 0.14 4.00 Apr/May-09 1.85 3.32 0.05 0.05 3.50 Jul-09 ND 0.16 0.07 0.08 3.00 Oct-09 ND 0.13 0.05 0.06 Jan-10 ND 0.76 0.11 0.07 2.50 Apr-10 ND 0.12 0.03 0.05 2.00 Jul-10 ND 0.59 0.02 0.04 1.50 Oct-10 ND 0.23 0.03 0.06 1.00 Jan-11 ND 0.40 0.03 0.03 Concentration (ng/L) 0.50 Apr-11 ND <0.02 0.04 0.06 0.00 Jul-11 ND 0.88 0.02 0.04 Oct-11 ND 0.04 0.03 <0.02 Jan-12 ND 4.09 0.17 0.20 Apr-12 ND 0.27 0.07 <0.02 Southwest Fen Northeast Fen Southeast Fen Northwest Control Jul-12 ND 1.18 0.02 0.04 (SWF/F) (NEF/F) (SEF/F) (HgCON) Oct-12 ND 0.11 <0.02 0.03 Jan-13 ND 0.97 0.24 Apr/May-13 ND 2.85 <0.02 0.04 Jul-13 ND 0.45 0.06 0.09 Oct-13 ND 0.18 <0.02 <0.02 Jan-14 ND 0.31 0.07 Apr/May-14 ND 1.09 0.04 0.04 Jul-14 ND 0.68 0.03 0.19 Oct-14 ND 0.11 0.03 0.05 Average 2009 2.44 1.12 0.07 0.08 Average 2010 - 0.43 0.05 0.06 Average 2011 - <0.33 0.03 <0.04 Average 2012 - 1.41 <0.07 <0.07 Average 2013 - 1.11 <0.03 <0.10 Average 2014 - 0.55 0.03 0.09 Average All Data 1.22 <0.73 <0.06 <0.08 F = Frozen (no sample) ND: not determined (C. of A. #3374-6G7J2Y was revoked) Southwest Fen - Received effluent from the Central Quarry Northeast Fen - Receives effluent from plant site excavation, sewage treatment plant and pit sump Southwest Fen - Control site Northwest Control - Control site CEQG for Protection of Aquatic Life; 4 ng/L (unfiltered) Quarterly sampling in accordance with Amended C. of A. #3960-7Q4K2G MDLs have been adjusted for all years for uniformity (0.02 ng/L for methyl mercury), as per Section 1. Blank cells indicate concentration was not determined.

TC14504 Page 118 Victor Diamond Mine Follow Up Program Agreement Eighth Annual Report - 2014 Reporting Period September 2015

TABLE 13 PROTOTYPE WELL AND WELL FIELD DISCHARGE COMPLIANCE PERFORMANCE (2006 – 2014)

Permit Limits Number of Average of all Number of Parameter Daily Monthly Average Samples Results Exceedances Prototype Well – 2006 pH 6.0 – 9.5 - 26 7.42 0 TSS 30 mg/L 15 mg/L 24 7 3 Chloride - 1500 mg/L 63 425 0 AT – trout 50% survival - 2 95% 0 AT – daphnia 50% survival - 2 100% 0 Well Field Discharge – 2007 pH 6.0 – 9.5 - 151 7.55 0 TSS 30 mg/L 15 mg/L 152 5.7 4 Chloride - 1500 mg/L 352 598 0 AT – trout 50% survival - 11 100% 0 AT – daphnia 50% survival - 11 100% 0 Well Field Discharge – 2008 pH 6.0 – 9.5 - 410 7.62 0 TSS 30 mg/L 15 mg/L 366 4.3 0 Chloride - 1500 mg/L 326 713 0 AT – trout 50% survival - 12 100% 0 AT – daphnia 50% survival - 12 100% 0 Final Discharge – 2009 pH 6.0 – 9.5 - 151 7.76 0 TSS 30 mg/L 15 mg/L 143 4.5 0 Chloride - 1500 mg/L 151 831 0 AT – trout 50% survival - 12 100% 0 AT – daphnia 50% survival - 12 100% 0 Well Field Discharge - 2010 pH 6.0 - 9.5 - 158 7.90 0 TSS 30 mg/L 15 mg/L 155 2.5 1 Chloride - 1500 mg/L 157 963 0 AT - trout 50% survival - 12 100% 0 AT - daphnia 50% survival - 12 100% 0 Well Field Discharge - 2011 pH 6.0 - 9.5 - 157 7.87 0 TSS 30 mg/L 15 mg/L 157 2.8 0 Chloride - 1500 mg/L 157 1054 0 AT - trout 50% survival - 12 100% 0 AT - daphnia 50% survival - 12 100% 0 Well Field Discharge - 2012 pH 6.0 - 9.5 - 158 7.82 0 TSS 30 mg/L 15 mg/L 158 2.8 0 Chloride - 1500 mg/L 158 1223 0 AT - trout 50% survival - 12 100% 0 AT - daphnia 50% survival - 12 100% 0 Well Field Discharge - 2013 pH 6.0 - 9.5 - 156 7.68 0 TSS 30 mg/L 15 mg/L 156 2.7 0 Chloride - 1500 mg/L 156 1264 0 AT - trout 50% survival - 12 100% 0 AT - daphnia 50% survival - 12 100% 0 Well Field Discharge - 2014 pH 6.0 - 9.5 - 158 7.705 0 TSS 30 mg/L 15 mg/L 157 1.99 0 Chloride - 1500 mg/L 158 1248.0 0 AT - trout 50% survival - 12 100% 0 AT - daphnia 50% survival - 12 100% 0

AT = acute toxicity;

Well field discharge for 2008 measured at the combined well field discharge from January 1 to March 15 and at the Final Discharge Pumphouse (FDPH) from March 16 to December 31 (the FDPH well field effluent includes both well field and fine PKC discharges)

Well field discharge for 2009 was measured at the combined well field discharge from January 1 to March 15 and at the Final Discharge Pumphouse (FDPH) from March 16 to December 31 (the FDPH well field effluent includes both well field and inputs from the central quarry pond)

Well field discharge from 2010 through 2014 was measured at the Final Discharge Pumphouse (the FDPH well field effluent includes both well field and intermittent inputs from the central quarry pond)

TC140504 Page 119 Victor Diamond Mine Follow Up Program Agreement Eighth Annual Report - 2014 Reporting Period September 2015 TABLE 14a MERCURY CONTENT IN WELL FIELD DISCHARGE (concentrations in ng/L)

Total Mercury Methyl Mercury Date Wells in Production Unfiltered Filtered Unfiltered Filtered Nov-07 1.33 1.32 <0.02 <0.02 VDW-6, 11 and 22 Dec-07 1.33 0.95 <0.02 <0.02 VDW-6, 11 and 22 Jan-08 0.87 0.61 <0.02 <0.02 VDW-6, 11, 15, 17 and 22 Feb-08 1.55 1.27 <0.02 <0.02 VDW-6, 11 and 22 Mar-08 0.70 0.69 <0.02 <0.02 VDW-6, 11, 15, 17 and 22 Apr-08 0.84 0.69 <0.02 <0.02 VDW-7, 11, 15, 17 and 22 May-08 0.78 0.63 <0.02 <0.02 VDW-7, 11, 15, 17 and 22 Jun-08 0.72 0.60 VDW-7, 11, 15, 17 and 22 Jul-08 0.65 0.47 <0.02 <0.02 VDW-6, 11, 15, 17 and 22 Aug-08 2.63 0.99 VDW-6, 11, 15, 17 and 22 Sep-08 0.67 0.57 VDW-6, 11, 15, 17 and 22 Oct-08 2.20 2.01 <0.02 <0.02 VDW-3, 6, 7, 11, 15, 17 and 22 Nov-08 1.00 0.92 VDW-3, 6, 7, 11, 15, 17 and 22 Dec-08 1.34 1.07 <0.02 <0.02 VDW-3, 6, 7, 11, 15, 17 and 22 Jan-09 1.01 1.13 <0.02 <0.02 VDW-3, 6, 7, 11, 15, 17 and 22 Feb-09 1.45 1.18 VDW-3, 6, 7, 11, 15, 17 and 22 Mar-09 1.49 1.32 <0.02 <0.02 VDW-3, 6, 7, 11, 15, 17 and 22 Apr-09 1.21 1.11 <0.02 <0.02 VDW-3, 6, 7, 11, 15, 17 and 22 May-09 1.49 0.83 <0.02 <0.02 VDW-3, 6, 7, 11, 15, 17 and 22 Jun-09 1.99 0.67 0.04 <0.02 VDW-3, 6, 7, 11, 15, 17 and 22 Jul-09 1.41 0.64 0.09 <0.02 VDW-3, 6, 7, 11, 15, 17 and 22 Aug-09 0.05 <0.1 VDW-3, 6, 7, 11, 15, 17 and 22 Sep-09 1.25 <0.02 <0.02 VDW-3, 6, 7, 11, 15, 17 and 22 Oct-09 VDW-3, 6, 7, 11, 15, 17 and 22 Nov-09 VDW-3, 6, 7, 11, 15, 17 and 22 Dec-09 VDW-3, 6, 7, 11, 15, 17 and 22 Jan-10 0.93 0.4 0.04 <0.02 VDW-3, 6, 7, 11, 14, 15, 17 and 22 Feb-10 1.65 <0.1 0.04 <0.02 VDW-3, 6, 7, 11, 14, 15, 17 and 22 Mar-10 1.6 0.36 0.03 0.02 VDW-3, 6, 7, 11, 14, 15, 17 and 22 Apr-10 0.72 <0.1 <0.02 <0.02 VDW-3, 6, 7, 11, 14, 15, 17 and 22 May-10 1.25 <0.1 <0.02 <0.02 VDW-3, 6, 7, 11, 14, 15, 17 and 22 Jun-10 <0.1 <0.1 0.04 0.03 VDW-3, 6, 7, 11, 14, 15, 17 and 22 Jul-10 1.04 0.15 0.02 <0.02 VDW-3, 6, 7, 11, 14, 15, 17 and 22 Aug-10 1.61 <0.1 <0.02 0.03 VDW-3, 6, 7, 11, 14, 15, 17 and 22 Sep-10 1.23 <0.1 <0.02 <0.02 VDW-3, 6, 7, 11, 14, 15, 17 and 22 Oct-10 1.19 <0.1 <0.02 <0.02 VDW-3, 6, 7, 11, 14, 15, 17 and 22 Nov-10 1.44 <0.1 <0.02 <0.02 VDW-3, 6, 7, 11, 14, 15, 17 and 22 Dec-10 0.88 0.43 0.03 <0.02 VDW-3, 6, 7, 11, 14, 15, 17 and 22 Jan-11 1.01 0.10 0.04 VDW-6, 7, 11, 12, 14, 15, 17, 18 and 22 Feb-11 1.49 1.29 <0.02 <0.02 VDW-6, 7, 11, 12, 14, 15, 17, 18 and 22 Mar-11 1.22 0.63 <0.02 <0.02 VDW-6, 7, 11, 12, 14, 15, 17, 18 and 22 Apr-11 0.85 <0.1 <0.02 <0.02 VDW-6, 7, 11, 12, 14, 15, 17, 18 and 22 May-11 1.55 <0.1 <0.02 <0.02 VDW-6, 7, 11, 12, 14, 15, 17, 18 and 22 Jun-11 0.96 0.82 <0.02 <0.02 VDW-2, 6, 7, 11, 12, 14, 15, 17, 18 and 22 Jul-11 1.96 0.37 <0.02 <0.02 VDW-2, 6, 7, 11, 12, 14, 15, 17, 18 and 22 Aug-11 0.89 0.38 <0.02 <0.02 VDW-2, 7, 11, 12, 14, 15, 17, 18 and 22 Sep-11 VDW-2, 6, 7, 11, 12, 14, 15, 17, 18 and 22 Oct-11 11.65 0.60 0.04 <0.02 VDW-2, 6, 7, 11, 12, 14, 15, 17, 18 and 22 Nov-11 3.1 0.45 0.04 <0.02 VDW-2, 6, 7, 11, 12, 14, 15, 17, 18 and 22 Dec-11 1.07 0.24 0.02 <0.02 VDW-2, 6, 7, 12, 14, 15, 17, 18 and 22 Jan-12 1.17 <0.1 0.02 <0.02 VDW-2, 6, 7, 12, 14, 15, 17, 18, 21 and 22 Feb-12 0.62 0.24 <0.02 <0.02 VDW-2, 6, 7, 12, 14, 15, 17, 18, 21 and 22 Mar-12 0.51 0.11 <0.02 <0.02 VDW-2, 6, 7, 12, 14, 15, 17, 18, 21 and 22 Apr-12 1.33 0.26 <0.02 <0.02 VDW-2, 6, 7, 12, 14, 15, 17, 18, 21 and 22 May-12 2.11 0.18 0.27 <0.02 VDW-2, 6, 7, 11, 12, 14, 15, 17, 18, 21 and 22 Jun-12 1.38 0.15 <0.02 <0.02 VDW-2, 6, 7, 12, 14, 15, 17, 18, 21 and 22 Jul-12 0.8 0.27 0.02 <0.02 VDW-2, 6, 7, 12, 14, 15, 17, 18, 21 and 22 Aug-12 1.69 0.19 <0.02 VDW-2, 6, 7, 12, 14, 15, 17, 18, 21 and 22 Sep-12 3.55 1.31 <0.02 VDW-2, 6, 7, 12, 14, 15, 17, 18, 21 and 22 Oct-12 0.74 0.22 <0.02 <0.02 VDW-2, 6, 7, 12, 14, 15, 17, 18, 21 and 22 Nov-12 1.87 1.02 0.04 VDW-2, 6, 7, 12, 14, 15, 17, 18, 21 and 22 Dec-12 2.45 0.88 0.02 VDW-2, 6, 7, 12, 14, 15, 17, 18, 21 and 22 Jan-13 1.46 0.32 <0.02 0.02 VDW-2, 6, 7, 11, 12, 14, 15, 17, 18, 21 and 22 Feb-13 5.51 0.98 <0.02 <0.02 VDW-2, 6, 7, 11, 12, 14, 15, 17, 18, 21 and 22 Mar-13 2.63 0.94 <0.02 <0.02 VDW-2, 6, 7, 11, 12, 14, 15, 17, 18, 21 and 22 Apr-13 2.03 0.71 0.03 0.02 VDW-2, 6, 7, 11, 12, 14, 15, 17, 18, 21 and 22 May-13 2.12 0.99 0.04 <0.02 VDW-2, 6, 7, 11, 12, 14, 15, 17, 18, 21 and 22 Jun-13 1.84 0.72 <0.02 <0.02 VDW-2, 6, 7, 11, 12, 14, 15, 17, 18, 21 and 22 Jul-13 0.99 0.2 <0.02 <0.02 VDW-2, 6, 7, 11, 12, 14, 15, 17, 18, 21 and 22 Aug-13 2.69 0.83 <0.02 <0.02 VDW-2, 6, 7, 11, 12, 14, 15, 17, 18, 21, 22, 23 and 25 Sep-13 3.16 1.2 <0.02 <0.02 VDW-2, 6, 7, 11, 12, 14, 15, 17, 18, 21, 22, 23 and 25 Oct-13 2.97 0.8 0.04 <0.02 VDW-2, 6, 7, 11, 12, 14, 15, 17, 18, 21, 22, 23 and 25 Nov-13 VDW-2, 6, 7, 11, 12, 14, 15, 17, 18, 21, 22, 23 and 25 Dec-13 2.46 0.42 <0.02 <0.02 VDW-2, 6, 7, 11, 12, 14, 15, 17, 18, 21, 22, 23 and 25 Jan-14 7.40 1.05 <0.02 <0.02 VDW-2, 6, 7, 11, 12, 14, 15, 17, 18, 21, 22, 23 and 25 Feb-14 2.53 0.29 <0.02 <0.02 VDW-2, 6, 7, 11, 12, 14, 15, 17, 18, 21, 22, 23 and 25 Mar-14 3.33 1.05 0.02 <0.02 VDW-2, 6, 7, 11, 12, 14, 15, 17, 18, 21, 22, 23 and 25 Apr-14 3.19 1.50 <0.02 <0.02 VDW-2, 6, 7, 11, 12, 14, 15, 17, 18, 21, 22, 23 and 25 May-14 4.54 1.75 VDW-2, 6, 7, 11, 12, 14, 15, 17, 18, 21, 22, 23 and 25 Jun-14 4.73 1.07 VDW-2, 6, 7, 11, 12, 14, 15, 17, 18, 21, 22, 23, 25 and 31 Jul-14 3.35 1.54 <0.02 <0.02 VDW-2, 6, 7, 11, 12, 14, 15, 17, 18, 21, 22, 23, 25 and 31 Aug-14 3.56 0.78 0.05 <0.02 VDW-2, 6, 7, 11, 12, 14, 15, 17, 18, 21, 22, 23, 25 and 31 Sep-14 3.19 0.96 <0.02 <0.02 VDW-2, 6, 7, 11, 12, 14, 15, 17, 18, 21, 22, 23, 25 and 31 Oct-14 2.95 1.12 <0.02 <0.02 VDW-2, 6, 7, 11, 12, 14, 15, 17, 18, 21, 22, 23, 25 and 31 Nov-14 2.55 0.47 0.02 <0.02 VDW-2, 6, 7, 11, 12, 14, 15, 17, 18, 21, 22, 23, 25 and 31 Dec-14 2.52 0.72 <0.02 <0.02 VDW-2, 6, 7, 11, 12, 14, 15, 17, 18, 21, 22, 23, 25 and 31 Average 2009 1.26 <0.91 <0.03 <0.02 Average 2010 <1.14 <0.18 <0.03 <0.02 Average 2011 2.34 <0.50 <0.03 <0.02 Average 2012 1.52 <0.41 <0.05 <0.02 Average 2013 2.53 0.74 <0.02 <0.02 Average 2014 3.65 1.03 <0.02 <0.02 Average All Years <1.95 <0.67 <0.03 <0.02 Blank cells indicate concentration was not determined. CEQG for Protection of Aquatic Life: total mercury; 26 ng/L and methyl mercury; 4 ng/L *Samples excluded from plots below MDLs have been adjusted for all years for uniformity (0.02 ng/L for methyl mercury and 0.1 ng/L for total mercury), as per Section 1.

TC140504 Page 120 Victor Diamond Mine Follow Up Program Agreement Eighth Annual Report - 2014 Reporting Period September 2015

TABLE 14b MERCURY CONTENT IN WELL FIELD DISCHARGE GRAPHICAL PRESENTATION (concentrations in ng/L)

Well Field Total Mercury Concentrations (filtered) 2.50

2.00 y = 1E-05x + 0.0821 R² = 0.0006 1.50

1.00 Concentration (ng/L)

0.50

0.00

Date

Well Field Methyl Mercury Concentrations (filtered) 0.060

0.050 y = -5E-08x + 0.023 R² = 1E-04 0.040

0.030

0.020 Concentration (ng/L)

0.010

0.000

Date

TC140504 Page 121 Victor Diamond Mine Follow Up Program Agreement Eighth Annual Report - 2014 Reporting Period September 2015

TABLE 15 SEWAGE TREATMENT PLANT COMPLIANCE PERFORMANCE (2014)

Permit Limits / Objectives1 Number of Exceedances Number of Average of Parameter Monthly Daily Limit / Monthly Daily Samples Results Average Objective1 Average Limit 650 Person Bioreactor 1 BOD5 15 mg/L 25 mg/L 53 1.3 0 0 TSS 30 mg/L 15 mg/L 53 1.4 0 0 TP 0.3 mg/L1 - 53 0.3 g61 NA 1 1 NH3-N 2 mg/L - 53 4.1 g21 NA Nitrite 1 mg/L1 - 53 0.04 g01 NA Nitrate 10 mg/L1 - 53 8.9 g201 NA E. coli 100/100 ml1 200/100 ml 52 0 g01 0

1 Effluent objective, as opposed to an effluent limit

TC140504 Page 122 Victor Diamond Mine Follow Up Program Agreement Eighth Annual Report - 2014 Reporting Period September 2015

TABLE 16a TOTAL MERCURY - RIBBED FEN SURFACE WATERS (Sampled as Peat Pore Water 2007-2014) (Filtered) (concentrations in ng/L)

MS-1-R MS-2-R MS-7-R MS-8-R MS-9(1)-R MS-9(2)-R MS-13-R MS-15-R MS-V(1)-R MS-V(2)-R MS-V(3)-R Date (ES1-R) (ES2-R) (NS7-R) (NS8-1R) (SS9-1R) (SS9-2R) (WS13-R) (WS15-R) (ES2-R) (SSV2-R) (SSV3-R)

Aug / Sep-07 1.81 1.56 0.62 1.00 0.72 1.29 0.40 0.43 1.56 <0.1 <0.1 Nov-07 1.67 2.30 0.82 1.36 1.11 1.01 1.70 1.11 2.30 <0.1 <0.1 May-08 2.86 5.56 F 0.91 0.53 F 0.42 0.38 5.56 F F Aug-08 2.27 2.02 0.52 0.98 1.26 0.90 0.95 0.92 2.02 0.60 1.69 Oct-08 1.52 1.07 0.72 1.26 1.26 0.70 1.22 0.37 1.07 0.41 1.33 Jan-09 F FFFFFFFFFF May-09 2.90 1.98 1.92 3.25 2.10 2.40 4.08 2.19 1.98 2.38 3.19 Aug-09 1.00 0.95 0.95 1.38 1.01 1.44 2.54 0.86 0.95 0.94 1.78 Oct-09 1.19 1.01 1.15 1.19 1.18 1.24 2.54 0.75 1.01 0.86 2.01 Jan-10 0.65 <0.1 <0.1 2.45 1.17 <0.1 1.21 <0.1 <0.1 <0.1 F May-10 1.86 1.75 0.74 1.32 1.32 1.40 0.93 2.68 1.75 0.83 2.06 Aug-10 1.24 1.43 0.44 1.60 0.47 0.72 <0.1 <0.1 1.43 0.85 0.76 Oct-10 1.11 1.24 0.81 1.79 1.25 1.05 3.03 0.68 1.24 1.03 1.67 Jan / Feb-11 F 0.60 0.41 1.42 0.94 0.54 1.92 0.49 0.60 F F Apr-11 1.07 0.83 0.84 1.35 0.92 0.84 2.63 0.63 0.83 0.47 1.01 Jul-11 2.10 1.23 1.20 1.52 1.52 1.04 3.06 0.51 1.23 1.36 1.38 Oct-11 2.52 2.07 4.43 2.73 2.00 2.01 3.43 1.02 2.07 1.45 3.92 Jan-12 1.68 F 0.84 4.44 1.98 0.94 4.84 0.73 F 1.70 1.95 Apr-12 2.00 2.28 1.03 0.87 1.21 1.37 2.09 0.69 2.28 0.49 0.71 Jul-12 1.70 0.66 0.76 1.18 1.23 1.70 2.97 0.62 0.66 1.24 2.87 Oct-12 2.05 1.76 2.89 1.87 1.34 0.71 3.25 0.67 1.76 0.76 2.61 Jan / Feb-13 F F F F 2.09 1.58 F 0.66 F F F Apr / May-13 2.43 1.56 1.92 1.12 1.66 1.35 2.59 1.23 1.56 3.14 2.76 Jul-13 1.00 1.00 0.50 1.00 0.4 0.40 1.7 0.4 1.00 0.60 0.8 Oct-13 1.64 1.01 0.52 1.12 1.2 0.85 3.31 0.48 1.01 0.84 0.91 Mar-14 F F F F 1.93 F F 0.78 F F F May / Jun-14 3.00 2.14 5.18 2.19 1.82 1.77 2.92 1.15 2.14 3.83 3.82 Aug-14 2.70 2.27 1.07 1.63 1.34 1.36 2.35 1.51 2.27 1.31 0.88 Oct-14 3.69 2.07 2.71 2.87 2.41 2.42 3.51 1.02 2.07 1.81 2.17 2009 Average 1.70 1.31 1.34 1.94 1.43 1.69 3.05 1.27 1.31 1.39 2.32 2010 Average 1.22 <1.13 <0.52 1.79 1.05 <0.82 <1.32 <0.89 <1.13 <0.70 1.50 2011 Average 1.90 1.18 1.72 1.76 1.35 1.11 2.76 0.66 1.18 1.09 2.10 2012 Average 1.86 1.57 1.38 2.09 1.44 1.18 3.29 0.68 1.57 1.05 2.04 2013 Average 1.69 1.19 0.98 1.08 1.34 1.05 2.53 0.69 1.19 1.53 1.49 2014 Average 3.13 2.16 2.99 2.23 1.88 1.85 2.93 1.12 2.16 2.32 2.29 Average All Years 1.91 <1.62 <1.32 1.68 1.33 <1.20 <2.30 <0.83 <1.62 <1.13 1.76

MS-2-R and MS-V(1)-R are the same stations F = Frozen (no sample) Stations located at or inside the Upper Bedrock 2 m drawdown contour Stations located outside the Upper Bedrock 2 m drawdown contour Amended C. of A. #3960-7Q4K2G provides for annual sampling of peat pore water and quarterly sampling of ribbed fen surface water (the previous C. of A. #4111-7DXKQW provided for the same sampling frequency). MDLs have been adjusted for all years for uniformity (0.1 ng/L for total mercury), as per Section 1.

TC14504 Page 123 Victor Diamond Mine Follow Up Program Agreement Eighth Annual Report - 2014 Reporting Period September 2015

TABLE 16b METHYL MERCURY - RIBBED FEN SURFACE WATERS (Sampled as Peat Pore Water 2007-2014) (Filtered) (concentrations in ng/L)

MS-1-R MS-2-R MS-7-R MS-8-R MS-9(1)-R MS-9(2)-R MS-13-R MS-15-R MS-V(1)-R MS-V(2)-R MS-V(3)-R Date (ES1-R) (ES2-R) (NS7-R) (NS8-1R) (SS9-1R) (SS9-2R) (WS13-R) (WS15-R) (ES2-R) (SSV2-R) (SSV3-R)

Aug / Sep-07 0.02 <0.02 <0.02 <0.02 0.02 <0.02 0.13 0.02 <0.02 <0.02 <0.02 Nov-07 0.02 <0.02 <0.02 <0.02 <0.02 0.02 <0.02 <0.02 <0.02 <0.02 <0.02 May-08 0.11 0.07 F <0.02 <0.02 F <0.02 0.02 0.07 F F Aug-08 0.07 0.04 <0.02 <0.02 0.03 0.06 <0.02 0.02 0.04 <0.02 0.02 Oct-08 0.02 <0.02 <0.02 <0.02 0.02 0.04 <0.02 0.02 <0.02 <0.02 <0.02 Jan-09 F FFFFFFFFFF May / June-09 0.07 0.05 0.02 0.08 0.02 <0.02 0.08 <0.02 0.05 0.04 0.04 Aug-09 0.03 0.05 0.03 0.09 0.02 0.04 0.04 0.11 0.05 0.04 <0.02 Oct-09 0.05 0.03 0.05 0.06 0.04 0.04 0.09 0.02 0.03 0.05 0.14 Jan-10 0.07 <0.02 <0.02 0.10 <0.02 <0.02 0.05 0.02 <0.02 <0.02 F May-10 0.04 0.04 0.03 0.03 0.04 0.03 0.02 0.07 0.04 0.03 0.06 Aug-10 0.06 0.08 0.02 <0.02 0.02 0.05 <0.02 0.02 0.08 0.04 0.02 Oct-10 0.03 0.04 <0.02 0.08 0.03 0.02 0.12 <0.02 0.04 <0.02 0.07 Jan / Feb-11 F 0.03 <0.02 0.03 0.09 <0.02 0.04 <0.02 0.03 F F Apr-11 <0.02 <0.02 <0.02 <0.02 <0.02 <0.02 <0.02 <0.02 <0.02 <0.02 <0.02 Jul-11 0.05 0.07 0.03 0.05 0.03 <0.02 0.16 <0.02 0.07 0.03 0.03 Oct-11 0.07 0.06 0.08 0.14 0.03 0.04 0.15 <0.02 0.06 0.05 0.23 Jan-12 0.29 F 0.03 0.95 0.02 0.13 0.63 0.07 F 0.18 0.10 Apr-12 0.06 0.06 0.03 0.05 0.04 0.06 0.10 0.02 0.06 <0.02 0.03 Jul-12 0.04 0.05 <0.02 0.11 <0.02 0.05 0.20 <0.02 0.05 0.03 <0.02 Oct-12 0.04 0.02 0.02 0.03 <0.02 0.02 0.06 <0.02 0.02 <0.02 0.10 Jan / Feb-13 F F F F 0.05 0.09 F 0.04 F F F Apr / May-13 <0.02 <0.02 <0.02 0.05 0.03 0.03 <0.02 0.03 <0.02 0.06 0.04 Jul-13 0.12 0.05 0.03 0.09 0.04 0.03 0.21 <0.02 0.05 <0.02 0.05 Oct-13 <0.02 <0.02 <0.02 <0.02 <0.02 0.04 0.09 <0.02 <0.02 <0.02 <0.02 Mar-14 F F F F 0.20 F F 0.03 F F F May-14 0.07 0.06 0.07 0.06 0.03 0.04 0.12 <0.02 0.06 0.12 0.07 Aug-14 0.03 0.02 0.02 0.03 0.02 0.02 0.14 <0.02 0.02 <0.02 0.02 Oct-14 0.03 0.03 0.02 0.04 0.04 0.03 0.09 <0.02 0.03 0.06 0.04 2009 Average 0.05 0.04 0.03 0.08 0.03 <0.03 0.07 <0.05 0.04 0.04 <0.07 2010 Average 0.05 <0.05 <0.02 <0.06 <0.03 <0.03 <0.05 <0.03 <0.05 <0.03 0.05 2011 Average <0.05 <0.04 <0.04 <0.06 <0.04 <0.03 <0.09 <0.02 <0.05 <0.03 <0.09 2012 Average 0.11 0.04 <0.02 0.28 <0.02 0.06 0.25 <0.03 0.04 <0.06 <0.06 2013 Average <0.05 <0.03 <0.02 <0.05 <0.04 0.05 <0.11 <0.03 <0.03 <0.03 <0.04 2014 Average 0.05 0.04 0.04 0.04 0.07 0.03 0.11 <0.02 0.04 <0.07 0.04 Average All Years <0.06 <0.04 <0.03 <0.08 <0.04 <0.04 <0.10 <0.03 <0.04 <0.04 <0.05

MS-2-R and MS-V(1)-R are the same stations F = Frozen (no sample) Stations located at or inside the Upper Bedrock 2 m drawdown contour Stations located outside the Upper Bedrock 2 m drawdown contour Amended C. of A. #3960-7Q4K2G provides for annual sampling of peat pore water and quarterly sampling of ribbed fen surface water (the previous C. of A. #4111-7DXKQW provided for the same sampling frequency). MDLs have been adjusted for all years for uniformity (0.02 ng/L for methyl mercury), as per Section 1.

TC14504 Page 124 Victor Diamond Mine Follow Up Program Agreement Eighth Annual Report - 2014 Reporting Period September 2015

TABLE 17 MUSKEG SYSTEM RIBBED FEN GENERAL CHEMISTRY RESULTS - ALL YEARS

Parameter Number Dissolved Total Dissolved Dissolved Dissolved Station Year of Chloride Cond Nitrate Organic pH Dissolved Sulphate Phosphorus Calcium iron Magnesium Samples (mg/L) (µs/cm) (mg/L) Carbon (units) Sodium (mg/L) (mg/L) (mg/L) (mg/L) (mg/L) 2007 2 0.6 44 <0.1 16.7 6.06 <0.1 0.10 7.2 0.660 0.7 <0.8 2008 3 0.6 37 <0.1 23.3 5.68 <0.1 0.21 4.6 1.132 0.3 <0.5 2009 3 0.4 19 <0.1 10.0 6.43 <0.1 <0.01 3.4 0.320 0.4 <0.4 MS-1V-R 2010 4 0.6 27 <0.1 22.2 5.84 <1.0 0.01 3.7 0.860 0.3 0.4 (ES2-R) 2011 4 5.7 60 <0.1 23.7 6.41 7.5 0.03 5.0 1.292 0.8 3.2 2012 3 0.5 26 <0.1 36.0 6.09 <1.0 0.01 3.2 1.064 0.4 0.4 2013 1 4.6 126 <0.1 35.7 6.14 <1.0 0.07 8.5 1.380 0.7 1.1 2014 1 2.1 36 <0.1 21.6 6.03 <1.0 0.01 4.4 0.853 0.4 1.3 2007 1 1.2 131 <0.1 29.0 6.18 0.2 1.81 24.4 1.910 1.6 0.8 2008 2 0.9 91 <0.1 35.1 5.87 <0.1 0.06 11.6 0.557 0.5 0.7 2009 3 0.4 19 <0.1 14.8 6.52 <0.1 <0.01 18.9 0.107 2.8 7.1 MS-2V-R 2010 4 0.5 70 <0.1 18.7 6.93 <1.0 0.02 12.4 0.568 0.7 0.5 (SSV2-R) 2011 4 2.1 84 <0.1 18.9 7.53 <1.0 0.08 11.8 0.070 0.9 0.7 2012 4 2.5 194 <0.1 38.3 7.28 <1.0 0.05 32.8 0.950 3.1 1.8 2013 1 1.3 41 <0.1 53.6 6.63 <1.0 0.07 6.4 0.425 0.3 0.6 2014 1 0.8 38 <0.1 42.5 5.58 <1.0 0.14 4.7 0.340 0.6 0.4 2007 1 1.8 141 <0.1 51.6 6.23 0.3 2.47 50.2 5.540 12.0 0.8 2008 2 1.0 68 <0.1 59.2 5.75 <0.1 0.09 9.5 0.457 1.3 <0.5 2009 3 0.3 18 <0.1 20.8 5.34 <0.1 <0.01 1.0 0.100 0.1 <0.5 MS-3V-R 2010 3 0.3 20 <0.1 23.6 5.08 <1.0 0.01 1.8 0.161 0.2 0.2 (SSV3-R) 2011 4 0.5 37 <0.1 22.9 6.07 <1.0 0.01 3.6 0.108 0.5 0.4 2012 4 2.3 75 <0.1 38.0 6.48 <1.0 0.04 11.1 0.318 1.4 0.7 2013 2 1.0 63 <0.1 59.7 5.89 <1.0 0.32 8.9 0.394 1.8 0.2 2014 1 0.6 48 <0.1 39.5 5.77 <1.0 0.08 6.0 0.361 1.1 0.2 2007 2 0.6 98 <0.1 21.0 6.17 <0.1 0.20 11.3 0.340 0.8 1.5 2008 3 0.8 47 <0.1 20.2 5.98 <0.1 0.13 5.5 0.340 0.4 1.2 2009 3 0.5 26 <0.1 18.9 6.47 <0.1 <0.01 3.4 0.136 0.3 <0.6 MS-1R 2010 4 0.4 34 <0.1 22.6 6.22 <1.0 0.01 5.6 0.499 0.4 0.8 (ES1-R) 2011 4 0.7 43 <0.1 24.8 6.77 <1.0 0.01 5.7 0.317 0.5 1.1 2012 4 2.3 82 <0.1 44.7 6.66 <1.0 0.01 13.1 2.578 1.3 2.1 2013 1 0.9 249 <0.1 18.1 7.06 <1.0 0.03 43.0 1.310 2.5 8.4 2014 1 2.0 69 <0.1 38.4 6.56 <1.0 0.06 11.9 0.799 0.9 1.8 2007 2 1.1 246 <0.1 28.7 6.33 <0.2 0.14 47.4 1.350 3.6 4.6 2008 2 0.8 198 <0.1 14.9 6.40 <0.1 0.03 20.5 1.775 2.1 5.8 2009 2 0.6 31 <0.1 13.6 7.14 <0.1 <0.01 2.6 0.165 0.3 0.9 MS-7R 2010 4 0.6 76 <0.1 16.6 6.83 <1.0 0.01 11.2 1.966 1.1 1.5 (NS-7-R) 2011 4 0.6 67 <0.1 21.4 6.92 <1.0 0.01 9.9 2.187 0.7 1.5 2012 4 2.5 78 <0.1 18.3 6.92 <1.0 0.07 10.1 0.892 1.2 1.9 2013 1 1.2 154 <0.1 15.5 6.72 <1.0 0.03 18.1 1.310 1.8 4.6 2014 1 0.9 148 <0.1 18.1 6.93 <1.0 0.04 15.1 1.870 2.5 4.3 2007 2 85.8 591 <0.1 28.1 6.98 7.0 0.46 28.6 0.078 10.2 92.8 2008 3 52.5 452 <0.1 33.2 7.13 <0.2 0.08 10.8 0.053 5.8 57.6 2009 2 1.2 28 <0.1 16.4 6.81 <0.2 <0.01 1.9 0.119 0.5 2.3 MS-8R 2010 4 4.2 82 <0.1 35.3 6.40 <1.0 0.02 8.4 0.993 1.4 7.2 (NS-8-1R) 2011 4 4.6 80 0.16 30.5 6.95 <1.0 0.01 8.2 1.313 1.4 73.1 2012 4 8.9 147 <0.1 72.1 7.00 1.25 0.03 15.3 7.257 3.0 11.4 2013 1 3.9 230 <0.1 46.7 7.28 5.5 0.10 9.0 0.044 5.1 32.1 2014 1 2.3 252 <0.1 31.4 7.92 23.7 0.07 13.3 0.264 9.7 26.1 2007 2 0.5 199 <0.1 19.8 6.65 <0.3 0.22 38.5 0.245 1.0 1.4 2008 3 0.4 77 <0.2 16.7 5.87 <0.1 0.02 9.8 0.241 0.7 <0.6 2009 3 0.3 22 <0.1 14.6 6.56 <0.1 <0.02 2.5 0.670 0.2 <0.5 MS-9(1)R 2010 4 0.3 32 <0.1 19.4 6.14 <1.0 0.01 5.5 0.238 0.4 0.4 (SS9-1R) 2011 4 0.4 32 <0.1 18.0 6.73 <1.0 0.01 5.0 0.114 0.4 0.5 2012 4 1.5 37 <0.1 20.9 6.57 <1.0 0.01 5.8 0.392 0.5 0.5 2013 1 0.8 60 <0.1 20.3 6.40 <1.0 0.01 10.1 0.390 0.6 0.5 2014 1 0.5 52 <0.1 18.0 6.29 <1.0 0.01 7.31 0.333 0.5 0.3 2007 2 0.7 70 <0.1 17.8 6.28 <0.1 0.16 12.7 0.398 1.7 <1.1 2008 2 0.4 79 <0.1 17.2 6.26 <0.1 0.05 10.4 0.847 1.1 1.4 2009 3 0.5 30 <0.1 13.0 6.98 <0.1 <0.02 3.6 0.087 0.4 <0.5 MS-9(2)R 2010 4 0.7 58 <0.1 19.2 6.66 <1.0 0.03 10.1 0.881 1.1 0.7 (SS9-2R) 2011 4 0.7 70 <0.1 18.3 7.12 <1.0 0.01 10.5 1.618 1.0 1.1 2012 4 0.8 60 <0.1 19.1 7.02 <1.0 0.01 8.9 1.278 1.2 1.3 2013 1 0.9 184 <0.1 13.7 6.87 <1.0 0.05 19.2 0.850 2.1 2.6 2014 1 <0.2 103 <0.1 13.0 6.81 <1.0 0.01 15.3 0.603 1.8 1.5 2007 2 1.2 248 <0.1 20.9 6.25 <0.1 0.07 47.9 1.360 3.7 4.9 2008 3 0.8 203 <0.1 67.0 5.91 <0.1 0.06 33.1 1.357 2.5 0.7 2009 3 0.4 21 <0.1 22.9 4.53 <0.1 <0.01 0.7 0.067 0.1 <0.5 MS-13R 2010 3 0.9 31 <0.1 26.0 4.34 <1.0 0.00 0.9 0.090 0.1 0.3 (WS-13R) 2011 4 2.6 51.6 0.2 50.9 4.30 1.4 0.02 2.5 0.351 0.4 0.4 2012 4 1.4 42.0 <0.1 66.2 4.75 1.0 0.01 2.4 0.458 0.3 0.4 2013 1 2.0 98.9 <0.1 107.0 5.89 <1.0 0.03 20.4 1.050 1.2 0.5 2014 1 0.9 160 <0.1 31.6 6.31 <1.0 0.03 14.7 1.120 1.4 0.6 2007 2 0.8 172 <0.1 11.6 6.43 <0.1 0.04 36.8 0.769 2.6 1.3 2008 3 0.7 191 <0.1 11.5 6.44 <0.1 0.04 24.0 0.666 1.9 1.0 2009 3 0.4 50 <0.1 9.8 7.27 <0.1 <0.01 6.8 0.019 0.5 <0.5 MS-15R 2010 4 0.7 86 <0.1 12.7 7.12 <1.0 0.00 15.7 0.344 1.3 0.6 (WS15-R) 2011 4 0.5 86 <0.1 10.2 7.49 <1.0 0.01 12.9 0.499 1.0 0.7 2012 4 0.7 98 <0.1 13.4 7.30 <1.0 0.01 15.5 0.263 1.3 0.9 2013 1 0.9 163 <0.1 15.7 6.79 <1.0 0.33 25.7 0.530 2.2 1.0 2014 1 0.7 174 <0.1 11.5 7.08 <1.0 0.04 21.0 1.200 2.3 1.1

MS-8R This station stands out as being influenced by natural groundwater upwellings, as evidenced by elevated Cl and Na Beyond zone of dewatering influence

TC14504 Page 125 Victor Diamond Mine Follow Up Program Agreement Eighth Annual Report - 2014 Reporting Period September 2015

Table 18: Receiving Water Quality (2014)

General Parameters ICP Metals Mercury

Parameter pH Temperature Total Suspended Solids Dissolved Total Solids Conductivity Alkalinity Hardness Chloride Sulphate Dissolved Organic Carbon Beryllium Calcium Cadmium Chromium Cobalt Copper Iron Magnesium Manganese Molybdenum Sodium Nickel Lead Titanium Strontium Vanadium Zinc Silver Total Mercury (filtered) Methyl Mercury (filtered)

CEQG 6.5-9.0 0.04-0.37C 8.9 (as CrIII) 2-4I 300 73 25-150D 1-7E 30 26 4 A J B PWQO 6.5-8.5 11/1,100 0.2 8.9 (as CrIII) 0.9 1/5 300 40 25 5/10/20/25 30 0.1 200 Location Station Units (ug/L or mg/L) pH °C mg/L mg/L µs/cm mg/L mg/L mg/L mg/L mg/L µg/L mg/L µg/L µg/L µg/L µg/L µg/L mg/L mg/L µg/L mg/L µg/L µg/L µg/L µg/L µg/L µg/L µg/L ng/L ng/L NGC US Average 7.1 6.4 23.1 211.3 153.4 57.1 63.4 9.7 5.0 18.3 <0.50 18.60 <0.0909 <1.757 <0.144 <1.19 678 4.12 0.0238 <1.00 7.37 <1.47 <1.00 3.39 46.64 <1.00 <4.06 <0.10 1.78 0.11 NWF Median 7.2 1.0 4 155 126 51 42 4.0 2.0 16.1 <0.5 12.4 <0.090 <1.00 0.11 <1.0 544 3.14 0.0188 <1.00 4.04 1.2 <1.0 3.1 37.2 <1.0 2.7 <0.10 1.58 0.08 Maximum 8.3 24.3 268 660 248 99 338 108.0 81.7 34.6 <0.5 91.6 0.100 6.50 0.23 1.8 3140 26.70 0.0498 <1.00 77.50 2.5 <1.0 6.6 124.0 <1.0 13.2 <0.10 3.54 0.31 Minimum 4.9 -1.2 <0.7 90 29 15 9 1.1 1.0 2.9 <0.5 2.7 <0.090 <0.80 <0.10 <1.0 148 0.47 0.0058 <1.00 1.50 <1.0 <1.0 <1.0 6.8 <1.0 <1.0 <0.10 0.70 0.03 Number of Samples 47 47 47 8 7 7 47 47 47 47 7 47 7 7 7 7 47 47 7 7 47 7 7 7 7 7 7 7 8 7 % Exceeding CEQG 19------0 - -081- -0-0 0 ---0-00 % Exceeding PWQO 19------0 - 0 0 0081- -0-0 0 ---000- NGC DS Average 7.3 5.6 3.4 165.5 170.9 69.2 72.3 9.5 4.4 18.9 <0.50 18.80 <0.0909 <1.000 <0.171 <1.03 534 5.48 0.0293 <1.00 8.52 <1.33 <1.00 3.32 53.39 <1.00 <2.83 <0.10 1.88 0.14 NWF Median 7.4 0.4 2 140 202 57 89 5.2 3.4 17.3 <0.5 14.8 <0.090 1.00 0.11 <1.0 496 4.34 0.0205 <1.00 6.18 1.2 <1.0 2.2 38.7 <1.0 1.8 <0.10 1.76 0.12 Maximum 8.7 22.2 20 550 265 121 124 39.3 15.5 46.5 <0.5 67.7 0.100 1.80 0.37 1.2 988 30.00 0.0666 <1.00 33.00 2.1 <1.0 12.8 124.0 <1.0 11.9 <0.10 3.44 0.33 Minimum 5.1 -1.8 <0.6 30 36 24 15 1.1 1.0 4.0 <0.5 3.2 <0.090 <0.80 <0.10 <1.0 206 0.65 0.0076 <1.00 1.63 <1.0 <1.0 1.4 9.9 <1.0 <1.0 <0.10 0.62 0.02 Number of Samples 52 52 52 51 11 11 11 51 52 52 12 51 12 12 12 12 51 51 12 12 50 12 12 12 12 12 12 12 12 12 % Exceeding CEQG 13------0 - -088- -0-0 0 ---0-00 % Exceeding PWQO 15------0 - 0 0 0088- -0-0 0 ---000- NGC DS Average 7.3 5.8 2.4 124.8 182.4 67.7 73.1 9.6 6.1 17.9 <0.50 20.36 <0.1370 <1.000 <0.174 <1.086 543 4.67 0.0322 <1.00 8.30 <1.39 <1.00 4.59 55.36 <1.00 <3.20 <0.10 1.69 0.13 NEF Median 7.5 0.5 1 115 197 67 73 6.2 4.2 15.9 <0.5 18.2 <0.090 1.00 0.17 <1.00 519 4.57 0.0405 <1.00 7.02 1.0 <1.0 2.9 50.3 <1.0 2.1 <0.10 1.62 0.11

North Granny Creek Granny North Maximum 7.9 22.8 17 510 255 106 115 41.3 53.9 28.4 <0.5 67.3 0.410 1.20 0.35 1.4 975 16.30 0.0641 <1.00 42.10 2.3 <1.0 16.8 112.0 <1.0 9.8 <0.10 3.12 0.28 Minimum 5.4 -1.9 <0.7 30 40 12 17 1.7 1.0 4.0 <0.5 4.0 <0.090 <0.80 <0.10 <1.00 203 0.83 0.0031 <1.00 1.89 <1.0 <1.0 1.1 10.6 <1.0 <1.0 <0.10 0.58 0.04 Number of Samples 48 48 48 48 7 7 7 48 48 48 7 48 7 7 7 7 48 48 7 7 48 7 7 7 7 7 7 7 8 8 % Exceeding CEQG 10------14- -092- -0-0 0 ---0-00 % Exceeding PWQO 10------0 - 140 0092- -0-0 0 ---000- NGC US Average 7.5 5.9 126.0 NS 174.7 70.3 85.8 7.0 3.6 17.1 <0.50 25.89 <0.1030 <2.375 <2.433 <1.73 2705 5.20 0.2503 2.2 7.10 <6.13 <2.33 17.45 50.13 <3.23 <12.93 <0.10 1.52 0.15 CONF Median 7.6 2.7 2 NS 177 75 73 5.7 3.9 14.7 <0.5 20.4 <0.090 1.70 2.24 1.1 783 4.50 0.0413 1.1 7.00 3.8 <1.0 6.5 51.1 <1.0 4.8 <0.10 1.07 0.14 Maximum 7.8 19.1 499 NS 251 103 156 13.1 5.4 26.1 <0.5 55.9 0.140 5.30 5.15 3.8 8790 9.34 0.9120 5.6 10.00 15.9 6.3 55.3 73.2 9.9 41.2 <0.10 3.33 0.29 Minimum 7.2 -1.0 <0.7 NS 95 29 40 3.6 1.2 13.1 <0.5 6.9 <0.090 <0.80 <0.10 <1.0 466 2.47 0.0066 <1.0 4.39 <1.0 <1.0 1.6 25.1 <1.0 <1.0 <0.10 0.62 0.03 Number of Samples 4440444444 4 4 4 4 4444 4444 4 4444444 % Exceeding CEQG 0------0 - -25100--0-0 25---25-00 % Exceeding PWQO 0------0 - 0 0 500100--0-0 0 ---2500-

TC14504 Page 126 Victor Diamond Mine Follow Up Program Agreement Eighth Annual Report - 2014 Reporting Period September 2015

Table 18: Receiving Water Quality (2014) (continued)

General Parameters ICP Metals Mercury

Parameter pH Temperature Total Suspended Solids Dissolved Total Solids Conductivity Alkalinity Hardness Chloride Sulphate Dissolved Organic Carbon Beryllium Calcium Cadmium Chromium Cobalt Copper Iron Magnesium Manganese Molybdenum Sodium Nickel Lead Titanium Strontium Vanadium Zinc Silver Total Mercury (filtered) Methyl Mercury (filtered)

CEQG 6.5-9.0 0.04-0.37C 8.9 (as CrIII) 2-4I 300 73 25-150D 1-7E 30 26 4 A J B PWQO 6.5-8.5 11/1,100 0.2 8.9 (as CrIII) 0.9 1/5 300 40 25 5/10/20/25 30 0.1 200 Location Station Units (ug/L or mg/L) pH °C mg/L mg/L µs/cm mg/L mg/L mg/L mg/L mg/L µg/L mg/L µg/L µg/L µg/L µg/L µg/L mg/L mg/L µg/L mg/L µg/L µg/L µg/L µg/L µg/L µg/L µg/L ng/L ng/L SGC US Average 6.7 4.5 3.1 111.7 121.0 46.4 48.3 6.1 2.0 19.4 <0.50 11.25 <0.0920 <1.008 0.298 <1.03 1378 2.23 0.1024 <1.01 4.92 <1.18 <1.00 <2.57 25.5 <1.00 4.3 <0.10 1.67 0.06 SWF Median 6.9 -0.4 2 90 122 44 47 3.6 1.0 20.1 <0.5 7.2 <0.090 <1.00 0.11 <1.0 580 1.49 0.0209 <1.0 3.79 1.0 <1.0 1.9 15.4 <1.0 2.1 <0.10 1.48 0.05 Maximum 7.5 16.9 15 360 191 81 78 19.4 8.8 28.8 <0.5 23.1 0.100 1.50 1.24 1.2 6860 5.30 0.5440 1.1 14.90 1.7 <1.0 7.1 75.90 <1.0 16.4 <0.10 3.27 0.15 Minimum 4.8 -1.5 <0.7 30 50 18 21 1.5 1.0 4.0 <0.5 2.5 <0.090 <0.80 <0.10 <1.0 264 0.39 0.0067 <1.0 1.00 <1.0 <1.0 <1.0 4.1 <1.0 1.2 <0.10 0.31 0.02 Number of Samples 12 13 12 12 4 4 4 12 12 12 12 12 12 12 12 12 12 12 12 12 12 12 12 12 12 12 12 12 12 7 % Exceeding CEQG 25------8 - -092- -0-0 0 ---0-00 % Exceeding PWQO 25------0 - 0 0 8092- -0-0 0 ---000- SGC DS Average 6.8 4.1 2.4 89.2 130.3 50.1 62.2 4.9 2.4 17.4 <0.50 14.24 <0.0920 <1.025 <0.106 <1.26 459 3.01 0.0157 <1.24 4.76 <1.17 <1.00 1.48 28.73 <1.00 3.6 <0.10 1.64 0.10 SWF Median 7.2 -0.5 1 95 113 47 48 3.6 1.7 16.2 <0.5 9.5 <0.090 1.00 <0.10 <1.0 465 2.45 0.0163 <1.0 3.85 <1.0 <1.0 1.2 20.6 <1.0 2.9 <0.10 1.74 0.05 Maximum 7.8 16.7 7 160 265 99 138 13.1 6.0 30.4 <0.5 42.4 0.100 1.30 0.13 3.6 674 7.69 0.0291 3.9 13.50 1.6 <1.0 3.5 63.3 <1.0 8.2 <0.10 3.19 0.32 Minimum 5.3 -1.2 <0.7 30 30 8 14 1.2 1.0 4.0 <0.5 3.5 <0.090 <0.80 <0.10 <1.0 189 0.49 0.0052 <1.0 1.46 <1.0 <1.0 <1.0 7.2 <1.0 1.0 <0.10 0.64 0.02 Number of Samples 12 13 12 12 4 4 4 12 12 12 12 12 12 12 12 12 12 12 12 12 12 12 12 12 12 12 12 12 12 7 % Exceeding CEQG 33------0 - -892- -0-0 0 ---0-00 % Exceeding PWQO 33------0 - 0 0 0092- -0-0 0 ---000- SGC US Average 7.5 5.8 5.3 NS 163.6 67.7 72.1 6.3 3.0 16.8 <0.50 21.46 <0.0900 <1.525 <0.183 <1.000 762 4.50 0.0333 <1.30 5.79 <1.40 <1.00 4.50 43.03 <1.00 <2.68 <0.10 1.08 0.31 CONF Median 7.6 2.5 5 NS 166 71 69 4.5 2.7 14.5 <0.5 20.4 <0.090 1.40 0.18 <1.0 740 4.41 0.0340 <1.0 5.27 1.4 <1.0 4.8 45.8 <1.0 2.6 <0.10 1.06 0.08 Maximum 7.7 18.9 10 NS 250 104 124 13.4 5.5 25.2 <0.5 37.3 <0.090 2.30 0.27 <1.0 1090 7.43 0.0566 2.2 9.35 1.8 <1.0 7.2 64.3 <1.0 4.6 <0.10 1.70 1.06 Minimum 7.1 -0.8 <0.7 NS 73 24 27 2.8 1.0 12.9 <0.5 7.7 <0.090 <1.00 <0.10 <1.0 479 1.75 0.0086 <1.0 3.29 <1.0 <1.0 1.3 16.3 <1.0 <1.0 <0.10 0.49 0.03 Number of Samples 4440444444 4 4 4 4 4444 4444 4 4444444 South Granny Creek and Confluence Creek Granny South % Exceeding CEQG 0------0 - -0100--0-0 0 ---0-00 % Exceeding PWQO 0------0 - 0 0 00100--0-0 0 ---000- GC Average 7.7 5.3 6.6 190.0 430.5 131.4 112.88 18.65 4.50 14.98 <0.50 33.50 <0.0900 <1.000 <0.195 <1.13 798 7.11 0.0258 <1.00 18.28 <1.65 <1.00 8.13 65.88 1.05 <2.43 <0.10 1.00 0.05 CONF Median 7.8 0.8 4 170 382 138 86 8.1 2.3 14.4 <0.5 26.1 <0.090 <1.00 0.18 <1.0 774 4.98 0.0228 <1.0 8.05 1.3 <1.0 7.7 55.5 <1.0 1.9 <0.10 0.88 0.03 Maximum 8.0 20.3 18 340 778 162 221 56.2 12.5 18.3 <0.5 64.7 <0.090 <1.00 0.32 1.5 1200 14.50 0.0451 <1.0 53.40 3.1 <1.0 13.8 124.0 1.2 5.0 <0.10 1.86 0.09 Minimum 7.1 -0.8 1.2 80 181 88 59 2.3 1.0 12.9 <0.5 17.1 <0.090 <1.00 <0.10 <1.0 446 3.98 0.0127 <1.0 3.63 <1.0 <1.0 3.3 28.5 <1.0 <1.0 <0.10 0.39 0.03 Number of Samples 4444444444 4 4 4 4 4444 4444 4 4444444 % Exceeding CEQG 0------0 - -0100--0-0 0 ---0-00 % Exceeding PWQO 0------0 - 0 0 00100--0-0 0 ---000-

TC14504 Page 127 Victor Diamond Mine Follow Up Program Agreement Eighth Annual Report - 2014 Reporting Period September 2015

Table 18: Receiving Water Quality (2014) (continued)

General Parameters ICP Metals Mercury

Parameter pH Temperature Total Suspended Solids Dissolved Total Solids Conductivity Alkalinity Hardness Chloride Sulphate Dissolved Organic Carbon Beryllium Calcium Cadmium Chromium Cobalt Copper Iron Magnesium Manganese Molybdenum Sodium Nickel Lead Titanium Strontium Vanadium Zinc Silver Total Mercury (filtered) Methyl Mercury (filtered)

CEQG 6.5-9.0 0.04-0.37C 8.9 (as CrIII) 2-4I 300 73 25-150D 1-7E 30 26 4 A J B PWQO 6.5-8.5 11/1,100 0.2 8.9 (as CrIII) 0.9 1/5 300 40 25 5/10/20/25 30 0.1 200 Location Station Units (ug/L or mg/L) pH °C mg/L mg/L µs/cm mg/L mg/L mg/L mg/L mg/L µg/L mg/L µg/L µg/L µg/L µg/L µg/L mg/L mg/L µg/L mg/L µg/L µg/L µg/L µg/L µg/L µg/L µg/L ng/L ng/L NR US of Average 7.8 4.9 5.8 170.0 333.5 109.0 134.05 28.99 6.90 15.25 <0.50 40.68 <0.0900 <1.025 <0.143 <1.33 874 7.86 0.0306 <1.35 24.85 <1.60 <1.00 5.20 70.38 <1.00 4.3 <0.12 0.93 0.03 Site Median 7.8 0.9 6 200 361 115 129 29.8 7.2 15.1 <0.5 40.4 <0.090 <1.00 0.14 1.1 820 6.93 0.0318 <1.0 21.90 1.6 <1.0 5.3 65.7 <1.0 4.6 <0.10 0.80 0.02 Maximum 8.0 19.1 9 250 530 164 225 54.2 12.2 17.9 <0.5 65.8 <0.090 1.10 0.19 2.1 1450 14.70 0.0348 2.4 52.70 2.3 <1.0 8.0 125.0 <1.0 7.0 0.18 1.70 0.03 Minimum 7.6 -1.3 1.6 30 83 43 52 2.1 1.0 13.0 <0.5 16.2 <0.090 <1.00 <0.10 <1.0 406 2.87 0.0238 <1.0 2.89 <1.0 <1.0 2.3 25.2 <1.0 1.1 <0.10 0.40 0.02 Number of Samples 4444444444 4 4 4 4 4444 4444 4 4444443 % Exceeding CEQG 0------0 - -0100--0-0 0 ---0-00 % Exceeding PWQO 0------0 - 0 0 00100--0-0 0 ---0250- NR DS of Average 7.7 7.3 5.8 86.7 266.3 91.6 119.53 22.36 5.87 15.60 <0.50 35.73 <0.0900 <1.800 0.170 <1.03 674 7.330 0.02237 <1.23 21.903 <1.47 <1.00 8.37 66.27 <1.00 1.53 <0.10 1.24 0.03 Site Median 7.7 2.3 4 110 188 71 90 10.0 3.1 15.4 <0.5 28.6 <0.090 <1.00 0.18 <1.0 613 4.47 0.0233 1.0 10.20 1.7 <1.0 10.0 47.3 <1.0 1.5 <0.10 1.03 0.03 Maximum 7.9 20.3 12 120 526 162 221 54.3 13.5 18.3 <0.5 64.1 <0.090 3.40 0.19 1.1 950 14.70 0.0279 1.7 52.20 1.7 <1.0 10.8 126.0 <1.0 2.1 <0.10 2.18 0.03 Minimum 7.6 -0.7 1.2 30 85 42 48 2.8 1.0 13.1 <0.5 14.5 <0.090 <1.00 0.14 <1.0 459 2.82 0.0159 <1.00 3.31 <1.0 <1.0 4.3 25.5 <1.0 <1.0 <0.10 0.50 0.02 Number of Samples 3333333333 3 3 3 3 3333 3333 3 3333333 % Exceeding CEQG 0------0 - -0100--0-0 0 ---0-00

Nayshkootayaow River % Exceeding PWQO 0------0 - 0 0 00100--0-0 0 ---000- NR US of Average 7.6 5.6 8.5 235.0 306.1 103.8 124.3 25.09 5.48 15.18 <0.50 36.98 <0.0900 <1.100 <0.163 <1.05 606 7.81 0.0202 <1.03 22.97 <1.60 <1.00 7.50 77.3 <1.00 1.5 <0.100 0.95 0.04 Attaw. R. Median 7.6 1.9 7 240 297 103 110 20.0 4.2 14.7 <0.5 33.4 <0.090 <1.00 0.18 1.0 551 6.45 0.0193 <1.0 17.07 1.6 <1.0 6.6 76.55 <1.0 1.5 <0.10 1.02 0.03 Maximum 7.8 19.8 20 310 544 166 229 57.6 12.5 18.9 <0.5 66.5 <0.090 1.40 0.20 1.2 880 15.40 0.0250 1.1 54.10 2.3 <1.0 10.8 131.0 <1.0 1.9 <0.10 1.56 0.07 Minimum 7.4 -1.3 <0.7 150 87 43 49 2.8 1.0 12.5 <0.5 14.7 <0.090 <1.00 <0.10 <1.0 443 2.92 0.0173 <1.0 3.64 <1.0 <1.0 6.1 25.1 <1.0 1.3 <0.10 0.19 0.03 Number of Samples 4444444444 4 4 4 4 4444 4444 4 4444444 % Exceeding CEQG 0------0 - -0100--0-0 0 ---0-00 % Exceeding PWQO 0------0 - 0 0 00100--0-0 0 ---000-

TC14504 Page 128 Victor Diamond Mine Follow Up Program Agreement Eighth Annual Report - 2014 Reporting Period September 2015

Table 18: Receiving Water Quality (2014) (continued)

General Parameters ICP Metals Mercury

Parameter pH Temperature Suspended Total Solids DissolvedTotal Solids Conductivity Alkalinity Hardness Chloride Sulphate Dissolved Carbon Organic Beryllium Calcium Cadmium Chromium Cobalt Copper Iron Magnesium Manganese Molybdenum Sodium Nickel Lead Titanium Strontium Vanadium Zinc Silver Total Mercury (filtered) Methyl Mercury (filtered)

CEQG 6.5-9.0 0.04-0.37C 8.9 (as CrIII) 2-4I 300 73 25-150D 1-7E 30 26 4 A J B PWQO 6.5-8.5 11/1,100 0.2 8.9 (as CrIII) 0.9 1/5 300 40 25 5/10/20/25 30 0.1 200 Location Station Units (ug/L or mg/L) pH °C mg/L mg/L µs/cm mg/L mg/L mg/L mg/L mg/L µg/L mg/L µg/L µg/L µg/L µg/L µg/L mg/L mg/L µg/L mg/L µg/L µg/L µg/L µg/L µg/L µg/L µg/L ng/L ng/L AR US Average 7.6 5.6 6.5 72.5 139.0 69.6 76.45 1.58 1.05 14.53 <0.50 22.98 <0.0900 <1.000 <0.133 <1.00 311 4.63 0.0178 <1.00 2.038 <1.15 <1.00 4.28 31.18 <1.00 <2.98 <0.100 1.23 0.03 #2 Median 7.6 1.6 4 65 140 69 67 1.6 1.0 13.5 <0.5 20.0 <0.090 <1.00 0.13 <1.0 283 4.26 0.0182 <1.0 1.89 <1.0 <1.0 4.5 30.9 <1.0 <1.0 <0.10 1.23 0.03 Maximum 7.9 20.5 18 130 204 96 127 2.5 1.2 18.9 <0.5 39.4 <0.090 <1.00 0.18 <1.0 466 6.90 0.0313 <1.0 3.37 1.6 <1.0 7.1 42.4 <1.0 8.9 <0.10 2.10 0.04 Minimum 7.2 -1.2 0.8 30 72 45 44 0.7 1.0 12.3 <0.5 12.5 <0.090 <1.00 <0.10 <1.0 211 3.09 0.0035 <1.0 1.00 <1.0 <1.0 1.0 20.6 <1.0 <1.0 <0.10 0.38 0.02 Number of Samples 4444444444 4 4 4 4 4444 4444 4 4444444 % Exceeding CEQG 0------0 - -050- -0-0 0 ---0-00 % Exceeding PWQO 0------0 - 0 0 0050- -0-0 0 ---000- AR US of Average 7.6 7.4 6.7 104.2 131.5 66.4 69.73 1.25 1.04 14.21 <0.50 21.09 <0.0900 <3.161 <0.213 <1.39 415.9 4.146 0.02013 <1.14 1.890 <2.94 <13.15 6.09 28.55 <1.00 <2.64 <0.133 1.41 0.03 Site Median 7.6 3.8 4 90 115 59 61 0.9 1.0 13.7 <0.5 18.9 <0.090 <1.00 0.17 <1.0 371 3.88 0.0205 1.0 1.82 1.1 1.0 4.5 28.1 <1.0 1.5 <0.10 1.32 0.03 Maximum 8.0 20.7 29 220 205 98 132 2.4 1.3 18.9 <0.5 40.9 <0.090 27.10 0.78 3.0 713 7.27 0.0387 2.7 3.61 20.6 129.0 15.5 43.4 <1.0 9.5 0.50 2.28 0.05 Minimum 7.3 -1.2 <0.7 30 77 46 47 0.4 1.0 11.4 <0.5 13.2 <0.090 <0.80 <0.10 <1.0 237 2.60 0.0038 <1.0 0.81 <1.0 <1.0 1.5 14.6 <1.0 <1.0 <0.10 0.65 0.02 Number of Samples 12 12 12 12 12 12 12 12 12 12 12 12 12 12 12 12 12 12 12 12 12 12 12 12 12 12 12 12 12 11 % Exceeding CEQG 0------0 - -1775- -0-0 17---0-00 % Exceeding PWQO 0------0 - 0 8 0075- -0-0 8 ---080- AR DS Average 7.6 8.2 9.0 114.5 175.1 64.9 78.15 9.65 4.23 13.68 <0.50 22.35 <0.0909 <1.845 <0.205 <2.17 378 5.432 0.02120 <2.01 7.443 <2.50 <2.06 <5.72 56.08 <1.02 <2.67 <0.144 1.437 0.028 of Site Median 7.6 10.3 5 150 131 54 64 4.6 1.8 13.1 <0.5 19.1 <0.090 <1.00 0.16 <1.0 286 4.57 0.0187 <1.0 3.98 1.2 <1.0 3.2 38.9 <1.0 1.4 <0.10 1.50 0.03

Attawapiskat River Attawapiskat Maximum 7.9 20.1 35 190 318 99 149 25.0 10.2 16.6 <0.5 43.2 0.100 10.90 0.40 13.2 746 10.10 0.0454 12.1 19.70 13.1 12.7 19.9 108.0 1.2 6.7 0.58 2.42 0.04 Minimum 7.0 -1.2 <0.8 30 80 36 47 0.6 1.0 11.5 <0.5 13.9 <0.090 <0.80 <0.10 <1.0 162 2.87 0.0040 <1.0 0.99 <1.0 <1.0 <1.0 17.1 <1.0 <1.0 <0.10 0.51 0.02 Number of Samples 11 11 11 11 11 11 11 11 11 11 11 11 11 11 11 11 11 11 11 11 11 11 11 11 11 11 11 11 11 9 % Exceeding CEQG 0------0 - -945- -0-0 9 ---0-00 % Exceeding PWQO 0------0 - 0 9 0945- -0-0 0 ---090- AR DS of Average 7.5 5.9 3.9 85.0 186.2 67.7 86.48 10.11 4.38 14.15 <0.50 25.08 <0.0900 <0.985 <0.133 <1.23 306 5.81 0.01780 <1.00 7.725 <1.25 <1.00 4.35 60.83 <1.00 <1.00 <0.100 1.270 0.025 NR Median 7.5 2.1 3 85 188 66 76 9.8 4.4 13.2 <0.5 21.9 <0.090 <1.00 0.11 1.2 259 5.26 0.0174 <1.0 6.77 1.3 <1.0 4.1 60.7 <1.0 <1.0 <0.10 1.33 0.02 Maximum 7.6 20.7 10 140 284 98 144 18.2 7.8 17.7 <0.5 42.5 <0.090 <1.00 0.22 1.6 506 9.24 0.0326 <1.0 15.10 1.5 <1.0 7.9 94.0 <1.0 <1.0 <0.10 1.98 0.03 Minimum 7.4 -1.4 <0.8 30 85 41 49 2.6 1.0 12.5 <0.5 14.0 <0.090 0.94 <0.10 <1.0 198 3.48 0.0038 <1.0 2.26 <1.0 <1.0 1.4 27.9 <1.0 <1.0 <0.10 0.45 0.02 Number of Samples 4444444444 4 4 4 4 4444 4444 4 4444443 % Exceeding CEQG 0------0 - -050- -0-0 0 ---0-00 % Exceeding PWQO 0------0 - 0 0 0050- -0-0 0 ---000-

Abbreviations Notes PWQO Provincial Water Quality Objectives A 11 µg/L when hardness is ≤ 75 mg/L; 1100 µg/L when hardness is > 75 mg/L. CEQG Canadian Environmental Quality Guidelines B 5 µg/L when alkalinity is < 20 mg/L; 10 µg/L when alkalinity is ≥ 20 to ≤ 40 mg/L; 20 µg/L when alkalinity is > 40 to ≤ 80 mg/L; 25 µg/L when alkalinity is > 80 mg/L. N/A Not Applicable C 0.04 µg/L when hardness is < 17 mg/L; 0.37 µg/L when hardness is > 280 mg/L; calculated from 10{0.83(log[hardness]) – 2.46} for hardness ≥ 60 and ≤ 280 mg/L. (Long term guideline) NGC - North Granny Creek D 25 µg/L when hardness is ≤ 60 mg/L; 150 µg/L when hardness is > 180 mg/L; and calculated from e{0.76[ln(hardness)]+1.06} for hardness > 60 and ≤ 180 mg/L. SGC - South Granny Creek E 1 µg/L when hardness is ≤ 60 mg/L; 7 µg/L when hardness is > 180 mg/L; and calculated from e{1.273[ln(hardness)}-4.705} for hardness > 60 and ≤ 180 mg/L. GC - Granny Creek F Some results are shown with ug/L for ease of reading. NR - Nayshkootayaow River G Cadmium CEQG guidelines (0.04-0.37 µg/L, Note A) are often below the method detection limit AR - Attawapiskat River H 100% of Be, 98% Cd, 96% Ag, 93% V, 86% Pb, 75% of Cr are below method detection limit. NWF - Northwest Fen I 2 µg/L when hardness is ≤ 82 mg/L; 4 µg/L when hardness is > 180 mg/L; and calculated from 2*e{0.8545[ln(hardness)]+1.465} for hardness > 82 and ≤ 180 mg/L. NEF - Northeast Fen J Interim PWQO is 1 ug/L when hardness is 0 to 20 mg/L; 5 ug/L when hardness is > 20 mg/L SWF - Southwest Fen NS No Sample US - upstream Where cell is denoted with'-', there is no regulatory limit available for comparison. Where cell is denoted by'0', there is a limit, and no samples exceeded the limit for the given parameter. DS - downstream For all hardness dependent regulatory limits/objectives, the average hardness for the respective parameter data set was used. Percent exceedance from > 0 to < 5 Percent exceedance from ≥ 5 to < 20 Percent exceedance from ≥ 20 to 100

TC14504 Page 129 Victor Diamond Mine Follow Up Program Agreement Eighth Annual Report - 2014 Reporting Period September 2015

TABLE 19 TOTAL MERCURY - GRANNY CREEK (Unfiltered) (concentrations in ng/L)

N. Granny Creek N. Granny Creek S. Granny Creek S. Granny Creek Date Upstream Downstream Upstream Downstream (NGC/UP/NWF) (NGC/DN/NEF) (SGC/UP/SWF) (SGC/DS/SWF) May-06 1.18 1.66 0.86 1.26 Jun-06 3.55 3.37 3.16 Jul-06 2.92 2.80 2.72 3.08 Aug-06 4.21 3.77 2.57 2.6 Sep-06 2.37 2.26 2.28 2.74 Oct-06 1.61 1.34 1.30 Dec-06 2.53 4.58 2.23 2.08 Jan-07 2.02 2.35 16.20 4.52 Feb-07 2.02 3.57 3.16 Mar-07 7.17 F F 7.43 Apr-07 8.82 5.87 3.72 3.76 May-07 3.01 3.02 2.46 2.08 Jun-07 3.34 2.99 2.49 3.04 Jul-07 3.16 2.23 2.73 2.03 Aug-07 3.10 1.94 2.17 Sep-07 1.96 2.04 4.41 1.61 Oct-07 5.91 5.67 5.16 3.79 Nov-07 3.19 3.00 2.74 2.49 Dec-07 2.42 2.60 2.67 2.61 Jan-08 2.95 2.42 2.97 2.94 Feb-08 2.19 2.29 3.76 2.91 Granny Creek Total Mercury Concentrations - Unfiltered Mar-08 0.46 2.66 3.06 3.35 18.00 Apr-08 11.90 F 2.19 2.91 May-08 3.54 3.73 3.37 3.42 Jun-08 3.06 3.08 2.55 2.81 16.00 Jul-08 3.28 1.61 3.60 2.68 Aug-08 2.71 2.69 2.63 2.38 Sep-08 1.76 2.32 1.94 2.78 14.00 Oct-08 1.37 1.57 2.14 1.83 Nov-08 3.20 2.39 1.81 Dec-08 1.82 1.83 1.84 1.88 12.00 Jan-09 1.41 1.54 4.42 1.64 Feb-09 1.18 1.34 2.22 1.52 Mar-09 1.48 2.26 2.56 1.45 10.00 Apr-09 3.19 1.41 2.19 2.98 May-09 5.18 3.81 3.31 3.82

Jun-09 2.95 2.72 2.65 2.76 Concentration (ng/L) 8.00 Jul-09 3.62 3.48 2.70 2.69 Aug-09 2.07 2.08 2.06 2.05 Sep-09 1.45 1.82 1.47 1.39 6.00 Oct-09 1.47 1.38 1.40 1.05 Nov-09 1.70 1.79 3.65 0.98 Dec-09 1.11 1.02 1.08 0.96 4.00 Jan-10 1.46 1.03 0.94 1.89 Feb-10 1.49 1.36 1.89 2.03 2.00 Mar-10 1.64 1.78 2.14 1.84 Apr-10 1.56 2.05 1.68 1.90 May-10 1.99 1.80 1.90 2.13 0.00 Jun-10 0.93 0.97 0.83 0.78 Jul-10 0.92 1.04 0.70 1.28 Aug-10 3.90 3.15 3.06 3.37 Sep-10 2.44 2.71 2.21 2.00 Oct-10 1.46 1.81 1.59 1.55 N. Granny Creek N. Granny Creek S. Granny Creek S. Granny Creek Nov-10 1.94 2.10 1.82 1.86 Upstream Downstream Upstream Downstream Dec-10 1.50 1.62 1.59 1.67 (NGC/UP/NWF) (NGC/DN/NEF) (SGC/UP/SWF) (SGC/DS/SWF) Jan-11 1.31 1.24 1.50 1.46 Feb-11 1.77 1.64 1.70 1.42 Mar-11 1.56 1.36 2.55 1.11 Apr-11 0.92 1.04 2.40 1.38 May-11 3.58 3.75 2.98 3.53 Jun-11 2.99 2.65 2.34 2.36 Jul-11 1.51 2.03 2.08 2.00 Aug-11 1.81 1.92 2.42 2.28 **Sep-11 Oct-11 4.36 4.11 3.67 3.57 Nov-11 3.12 3.45 3.00 2.72 Dec-11 1.82 2.05 2.32 1.97 Jan-12 2.33 1.56 Feb-12 0.78 0.81 2.06 0.95 Mar-12 0.78 1.15 29.4* 0.82 Apr-12 2.72 2.41 May-12 2.08 2.23 2.13 2.42 Jun-12 3.96 4.06 3.36 2.95 Jul-12 1.94 2.29 2.42 2.68 Aug-12 1.48 1.75 2.28 1.74 Sep-12 1.71 2.15 2.77 2.61 Oct-12 2.63 2.34 Nov-12 5.12 2.33 3.53 Dec-12 3.76 3.31 3.26 3.31 Jan-13 2.49 2.10 Feb-13 1.72 1.69 2.53 2.14 Mar-13 1.39 1.31 2.14 1.32 Apr-13 1.27 1.24 2.35 1.64 May-13 3.68 3.6 3.33 3.16 Jun-13 3.48 3.53 2.84 2.68 Jul-13 1.30 1.55 1.58 1.88 Aug-13 1.49 1.54 2.95 2.43 Sep-13 1.75 2.25 2.16 1.71 Oct-13 2.04 0.99 1.41 0.86 Nov-13 1.09 1.29 1.96 2.51 Dec-13 1.12 1.19 1.87 0.95 Jan-14 1.36 1.16 0.88 0.79 Feb-14 1.84 1.20 1.51 1.39 Mar-14 1.42 0.79 2.40 1.20 Apr-14 2.25 2.69 3.19 0.98 May-14 2.26 3.37 4.25 4.43 Jun-14 4.25 3.85 2.67 3.38 Jul-14 3.41 3.03 2.48 2.85 Aug-14 3.09 1.91 2.22 1.96 Sep-14 2.96 6.33 2.16 4.96 Oct-14 4.76 3.34 3.52 3.59 Nov-14 3.62 3.48 3.36 5.30 Dec-14 4.91 Average 2009 2.23 2.06 2.48 1.94 Average 2010 1.77 1.79 1.70 1.86 Average 2011 2.25 2.29 2.45 2.16 Average 2012 2.06 2.54 2.57 2.28 Average 2013 1.85 1.83 2.30 1.95 Average 2014 2.84 3.01 2.60 2.80 Average All Data 2.55 2.39 2.61 2.35 * Samples excluded from annual average calculation ** Samples discarded due to lab miscommunication F = Frozen (no sample) CEQG for Protection of Aquatic Life; 26 ng/L MDLs have been adjusted for all years for uniformity (0.1 ng/L for total mercury), as per Section 1. Blank cells indicate concentration was not determined.

TC14504 Page 130 Victor Diamond Mine Follow Up Program Agreement Eighth Annual Report - 2014 Reporting Period September 2015

TABLE 20 TOTAL MERCURY - GRANNY CREEK (Filtered) (concentrations in ng/L)

N. Granny Creek N. Granny Creek S. Granny Creek S. Granny Creek Date Upstream Downstream Upstream Downstream (NGC/UP/NWF) (NGC/DN/NEF) (SGC/UP/SWF) (SGC/DS/SWF) May-06 0.87 0.90 0.55 0.90 Jun-06 2.91 2.83 Jul-06 2.33 2.22 2.07 1.94 Aug-06 3.43 3.03 2.07 1.94 Sep-06 1.64 1.70 1.34 2.11 Oct-06 1.30 1.11 0.97 Dec-06 1.98 3.98 1.92 1.58 Jan-07 1.06 1.40 2.01 3.37 Feb-07 0.75 0.79 1.90 Mar-07 7.05 F F 2.92 Apr-07 4.19 2.50 1.96 1.84 May-07 2.40 2.56 2.40 1.83 Jun-07 2.51 2.64 2.26 1.79 Jul-07 2.96 2.10 2.32 2.01 Aug-07 1.52 1.81 1.70 Sep-07 1.96 1.75 3.87 1.49 Oct-07 5.19 5.60 4.76 3.42 Nov-07 2.91 2.74 2.45 2.16 Dec-07 2.05 2.18 2.35 2.61 Jan-08 1.42 1.63 2.21 2.33 Feb-08 1.91 1.60 2.24 2.08 Granny Creek Total Mercury Concentrations - Filtered Mar-08 1.76 1.63 1.76 1.98 Apr-08 1.84 F 1.63 2.06 8.00 May-08 3.16 3.21 2.90 2.97 Jun-08 2.74 2.72 2.29 2.36 Jul-08 2.95 1.49 2.84 2.32 Aug-08 2.39 2.34 2.23 2.06 7.00 Sep-08 1.35 1.88 1.62 1.60 Oct-08 1.19 1.40 1.88 1.27 Nov-08 2.28 2.15 1.73 6.00 Dec-08 1.30 1.65 1.77 1.71 Jan-09 1.33 1.27 2.05 1.34 Feb-09 1.15 1.05 1.68 1.19 5.00 Mar-09 1.15 1.40 1.75 1.22 Apr-09 1.56 1.09 1.34 1.78 May-09 2.43 2.34 1.98 2.19 4.00 Jun-09 3.24 3.19 2.75 2.71 Concentration (ng/L) Jul-09 2.57 2.93 2.20 1.96 Aug-09 1.66 1.69 1.80 1.59 Sep-09 1.54 1.63 1.39 1.39 3.00 Oct-09 1.45 1.38 1.01 1.08 Nov-09 1.51 1.45 2.01 0.80 Dec-09 0.97 0.68 0.95 0.75 2.00 Jan-10 1.07 1.11 1.29 1.31 Feb-10 0.88 1.05 1.37 1.32 Mar-10 0.96 1.02 1.11 1.23 1.00 Apr-10 0.97 1.10 1.14 1.07 May-10 1.43 1.11 1.54 1.45 Jun-10 1.47 0.87 0.68 0.60 Jul-10 0.89 0.65 0.50 0.70 0.00 Aug-10 3.33 2.10 2.72 2.25 Sep-10 1.66 1.57 1.69 1.48 Oct-10 1.38 0.54 1.71 1.61 Nov-10 1.59 1.63 1.61 1.54 N. Granny Creek N. Granny Creek S. Granny Creek S. Granny Creek Upstream Downstream Upstream Downstream Dec-10 0.98 0.92 1.08 0.95 (NGC/UP/NWF) (NGC/DN/NEF) (SGC/UP/SWF) (SGC/DS/SWF) Jan-11 0.82 0.81 1.07 1.02 Feb-11 1.30 1.44 1.65 1.02 Mar-11 0.94 0.70 0.75 0.69 Apr-11 0.69 0.73 0.77 0.76 May-11 2.24 1.95 1.85 1.83 Jun-11 2.94 2.45 2.13 2.16 Jul-11 1.19 1.85 1.72 1.16 Aug-11 0.73 0.84 1.09 1.10 * Sep-11 Oct-11 2.96 2.36 2.71 2.30 Nov-11 2.53 2.40 2.45 1.95 Dec-11 1.05 1.20 1.67 1.21 Jan-12 1.68 0.99 Feb-12 0.46 0.38 1.03 0.49 Mar-12 0.42 0.34 0.41 0.38 Apr-12 1.84 1.44 May-12 1.66 1.56 1.58 1.52 Jun-12 3.47 3.16 2.63 2.28 Jul-12 1.54 1.60 1.57 1.61 Aug-12 0.86 0.98 1.30 1.02 Sep-12 1.13 1.46 2.09 2.09 Oct-12 2.13 1.48 Nov-12 3.10 1.94 1.81 Dec-12 1.59 1.88 1.67 1.49 Jan-13 1.50 1.10 Feb-13 1.27 1.13 1.56 1.29 Mar-13 0.86 0.79 1.08 0.81 Apr-13 0.82 0.82 0.70 0.82 May-13 3.25 2.86 2.05 2.59 Jun-13 2.86 2.72 2.58 2.20 Jul-13 0.80 0.90 1.00 1.20 Aug-13 0.79 0.82 0.73 1.09 Sep-13 1.27 1.69 1.10 1.37 Oct-13 0.83 0.91 0.69 0.85 Nov-13 0.76 0.71 1.00 0.10 Dec-13 0.72 0.56 0.63 0.72 Jan-14 0.68 0.63 0.59 0.64 Feb-14 0.82 0.8 0.78 0.85 Mar-14 0.70 0.58 0.31 0.65 Apr-14 0.90 0.46 0.44 0.70 May-14 2.19 1.21 3.27 2.76 Jun-14 3.54 3.12 2.51 2.81 Jul-14 1.94 2.07 1.47 1.99 Aug-14 0.99 0.87 1.13 0.75 Sep-14 1.61 2.16 1.49 1.65 Oct-14 4.04 2.67 3.27 3.19 Nov-14 2.84 2.73 2.68 1.87 Dec-14 2.02 Average 2009 1.71 1.68 1.74 1.50 Average 2010 1.38 1.14 1.37 1.29 Average 2011 1.58 1.52 1.62 1.38 Average 2012 1.39 1.61 1.66 1.38 Average 2013 1.29 1.26 1.22 1.18 Average 2014 1.84 1.61 1.63 1.62 Average All Data 1.82 1.67 1.70 1.59 * Samples discarded due to lab miscommunication F = Frozen (no sample) CEQG for Protection of Aquatic Life; 26 ng/L MDLs have been adjusted for all years for uniformity (0.1 ng/L for total mercury), as per Section 1. Blank cells indicate concentration was not determined.

TC14504 Page 131 Victor Diamond Mine Follow Up Program Agreement Eighth Annual Report - 2014 Reporting Period September 2015 TABLE 21 METHYL MERCURY - SOUTH GRANNY CREEK (concentrations in ng/L)

Upstream Downstream SGC/UP/SWF SGC/DS/SWF Date US Unfiltered US Filtered DS Unfiltered DS Filtered

Jul-06 0.06 0.05 0.04 0.02 Oct-06 0.03 0.03 0.11 0.08 Jan-07 0.10 0.08 0.13 0.10 May-07 0.04 0.04 0.06 0.06 Jul-07 0.05 0.05 0.05 0.04 Oct-07 0.05 0.04 0.07 0.05 Feb-08 0.17 0.10 0.11 0.07 Apr-08 0.06 0.04 0.15 0.09 Jul-08 0.06 0.04 0.07 0.06 Oct-08 0.02 0.02 0.04 0.03 Jan-09 <0.02 0.06 0.06 0.04 Apr-09 0.08 0.02 0.06 0.02 Jul-09 <0.02 0.04 0.05 0.05 Oct-09 0.02 0.05 <0.02 0.02 Jan-10 0.06 0.04 0.07 0.02 Apr-10 0.05 0.04 0.08 0.05 Jul-10 0.06 0.02 0.08 0.06 Oct-10 0.04 0.04 0.07 0.07 Jan-11 0.03 0.03 0.17 0.11 Apr-11 0.09 0.04 <0.02 <0.02 Jul-11 0.05 0.05 0.14 0.11 Oct-11 0.04 <0.02 0.23 0.08 Jan-12 0.25 0.10 0.07 0.04 Apr-12 0.08 0.03 0.07 0.07 Jul-12 0.07 0.05 0.17 0.12 Oct-12 0.03 0.03 0.09 0.08 Jan-13 0.06 0.04 0.08 0.06 Apr-13 0.09 0.03 0.10 0.08 Jul-13 0.08 0.05 0.49 0.33 Oct-13 0.06 0.05 0.25 0.16 Jan-14 0.11 0.08 0.06 <0.02 Apr-14 0.08 <0.02 0.03 <0.02 Jul-14 0.19 0.15 0.06 0.05 Oct-14 0.14 0.07 0.04 0.03 2009 Average <0.03 0.04 <0.05 0.03 2010 Average 0.05 0.04 0.08 0.05 2011 Average 0.05 <0.03 <0.14 <0.08 2012 Average 0.11 0.05 0.10 0.08 2013 Average 0.07 0.04 0.23 0.16 2014 Average 0.13 <0.08 0.05 <0.03 Average All Years <0.07 <0.05 <0.10 <0.07 CEQG for Protection of Aquatic Life; 4 ng/L (unfiltered) Quarterly sampling in accordance with Amended C. of A. #3960-7Q4K2G MDLs have been adjusted for all years for uniformity (0.02 ng/L for methyl mercury), as per Section 1.

SOUTH GRANNY CREEK - METHYL MERCURY CONCENTRATIONS (Filtered) 0.35

0.30

0.25

0.20

0.15

0.10

Concentration (ng/L) 0.05

0.00

Date

US Filtered DS Filtered

TC14504 Page 132 Victor Diamond Mine Follow Up Program Agreement Eighth Annual Report - 2014 Reporting Period September 2015

TABLE 22 METHYL MERCURY - NORTH GRANNY CREEK (concentrations in ng/L)

Upstream Downstream NGC/UP/NWF NGC/DN/NEF Date US Unfiltered US Filtered DS Unfiltered DS Filtered

Jul-06 0.11 0.05 0.10 0.08 Oct-06 <0.02 <0.02 0.13 0.14 Jan-07 0.12 0.08 0.18 0.13 May-07 0.07 0.06 0.09 0.09 Jul-07 0.09 0.06 0.10 0.10 Oct-07 0.09 0.09 0.10 0.07 Jan-08 <0.02 <0.02 0.26 0.15 Feb-08 0.09 0.06 <0.02 <0.02 NORTH GRANNY CREEK - METHYL MERCURY Mar-08 <0.02 <0.02 0.29 0.17 CONCENTRATIONS (Filtered) Apr-08 0.44 0.08 0.13 0.05 0.60 Jul-08 0.09 0.09 0.52 0.49 Oct-08 0.04 0.05 0.11 0.11 0.50 Jan-09 0.04 0.03 0.08 0.06 Apr-09 0.04 0.02 <0.02 <0.02 0.40 Jul-09 0.06 0.06 0.02 0.12 Oct-09 <0.02 0.04 0.07 0.04 0.30 Jan-10 0.19 0.05 0.11 0.04 Apr-10 0.06 0.03 0.10 0.05 0.20 Jul-10 0.06 0.05 0.19 0.10

Oct-10 0.07 0.05 0.16 0.13 Concentration (ng/L) 0.10 Jan-11 0.07 0.03 0.09 <0.02 Apr-11 <0.02 <0.02 0.06 0.03 0.00 May-11 0.05 0.04 Jun-11 0.07 <0.02 Jul-11 0.06 0.04 0.35 0.39 Date Aug-11 0.10 0.09 0.53 0.21 US Filtered DS Filtered Oct-11 <0.02 <0.02 0.18 Nov-11 0.11 0.07 Dec-11 0.08 0.05 Jan-12 0.18 0.06 Feb-12 0.03 <0.02 0.07 0.02 Mar-12 0.03 <0.02 0.04 <0.02 Apr-12 0.22 0.15 May-12 0.05 0.04 0.11 0.09 Jun-12 0.05 0.04 0.12 0.10 Jul-12 0.06 0.05 0.24 0.18 Aug-12 0.02 <0.02 Sep-12 0.07 0.04 Oct-12 0.19 0.16 Dec-12 0.12 0.05 Jan-13 Feb-13 0.04 0.04 0.09 0.08 Mar-13 0.04 0.03 0.09 0.06 Apr-13 0.11 0.04 0.14 0.10 May-13 0.06 <0.02 Jun-13 0.06 0.05 Jul-13 0.07 0.03 0.30 0.22 Aug-13 0.08 0.07 0.52 0.37 Sep-13 0.14 0.09 0.43 0.05 Oct-13 0.22 0.06 0.30 0.25 Nov-13 0.05 <0.02 0.16 0.11 Dec-13 0.03 0.02 0.14 0.09 Jan-14 <0.02 <0.02 0.11 0.05 Feb-14 0.05 <0.02 0.05 0.04 Mar-14 0.05 0.03 0.08 0.06 Apr-14 0.15 <0.02 0.05 0.03 May-14 0.10 0.03 0.26 0.09 Jun-14 0.08 0.07 0.18 0.17 Jul-14 0.17 0.12 0.31 0.27 Aug-14 0.32 0.16 0.24 0.17 Sep-14 0.50 0.31 0.41 0.28 Oct-14 0.14 0.12 0.18 0.13 Nov-14 0.08 0.08 0.15 0.12 Dec-14 0.13 0.10 2009 Average <0.04 0.04 <0.05 <0.06 2010 Average 0.09 0.04 0.14 0.08 2011 Average <0.06 <0.04 0.26 <0.17 2012 Average 0.05 <0.03 0.14 <0.10 2013 Average 0.08 <0.04 0.24 0.15 2014 Average <0.15 <0.09 0.18 0.12 Average All Years <0.09 <0.05 <0.18 <0.12 CEQG for Protection of Aquatic Life; 4 ng/L (unfiltered) Quarterly sampling in accordance with Amended C. of A. #3960-7Q4K2G MDLs have been adjusted for all years for uniformity (0.02 ng/L for methyl mercury), as per Section 1. Blank cells indicate concentration was not determined.

TC14504 Page 133 Victor Diamond Mine Follow Up Program Agreement Eighth Annual Report - 2014 Reporting Period September 2015 TABLE 23a TOTAL MERCURY - NAYSHKOOTAYAOW AND ATTAWAPISKAT RIVERS (Unfiltered) (concentrations in ng/L)

Monument Nayshkootayaow River Nayshkootayaow River Nayshkootayaow River Attawapiskat River Attawapiskat River Attawapiskat River Attawapiskat River Attawapiskat River Channel Date Upstream Middle Downstream A-1 A-2 A-5 A-3 A-4 (Naysh Riv (Naysh Riv up) (Naysh Riv dn) (Naysh Riv up Att Riv) (Att Riv up 2) (Att Riv up A2-1) (Att Riv dn 500(40)) (Att Riv dn A3-1) (Att Riv dn Naysh Riv) Control) Feb-08 1.48 1.47 5.33 0.81 8.75 2.19 - 10.50 2.20 May-08 4.31 4.58 3.30 3.15 3.41 3.64 - 3.64 3.61 Aug-08 1.98 2.14 2.28 2.13 1.91 2.32 - 2.09 1.82 Oct-08 2.30 2.31 2.53 1.86 1.93 1.25 - 1.72 1.79 Jan-09 1.39 1.19 2.00 1.07 1.39 2.09 - 2.35 1.34 Feb-09 - - - - - 2.17 - 1.84 - Mar-09 - - - - - 1.36 - 1.28 - Apr-09 - 1.00 1.47 0.69 1.36 1.26 - 1.93 1.22 May-09 5.26 - - - - 4.17 - 3.19 - Jun-09 - - - - - 2.81 - 2.57 - Jul-09 2.80 2.58 2.47 2.83 3.58 3.23 - 3.48 3.50 Aug-09 - - - - - 1.69 - 1.79 - Sep-09 - - - - - 1.56 - 1.56 - Oct-09 0.80 0.70 1.33 1.07 1.58 1.25 - 1.39 1.35 Nov-09 - - - - - 1.07 - 1.13 - Dec-09 - - - - - 0.81 - 0.96 - Jan-10 - - - - - 1.20 - 1.52 - Feb-10 1.39 1.11 1.50 1.03 1.76 1.43 - 1.93 1.52 Mar-10 - - - - - 1.67 - 1.80 - Apr-10 - - - 1.60 - 2.13 - 2.31 - May-10 2.54 2.21 2.17 - 2.58 2.68 - 2.82 2.77 Jun-10 - - - - - 0.70 - 0.94 - Jul-10 1.28 1.10 1.12 1.10 1.40 1.08 - 0.87 0.90 Aug-10 - - - - - 2.50 - 1.89 - Sep-10 - - - - - 1.23 - 1.12 - Oct-10 1.27 1.35 1.28 1.30 1.31 1.71 - 1.24 1.26 Nov-10 - - - - - 1.52 - 1.28 - Dec-10 - - - - - 2.17 - 1.35 - Jan-11 0.86 0.86 0.98 0.74 1.07 1.31 - 1.10 1.05 Feb-11 - - - - - 1.12 - 1.39 - Mar-11 - - - - - 2.67 - 1.22 - Apr-11 0.69 0.66 1.30 0.68 0.70 2.18 - 0.93 0.77 May-11 - - - - - 3.20 - 3.83 - Jun-11 - - - - - 1.76 - 1.90 - Jul-11 1.16 1.46 1.67 2.14 1.36 1.42 - 1.43 1.44 Aug-11 - - - - - 1.48 - 1.55 - Sep-11* ------Oct-11 1.90 2.53 2.09 2.99 - 2.85 - 1.99 1.95 Nov-11 - - - - - 1.79 - 2.09 - Dec-11 - - - - - 3.51 - 1.23 - Jan-12 1.53 1.28 1.47 0.94 1.27 1.16 - 1.28 1.15 Feb-12 - - - - - 0.85 - 0.88 - Mar-12 - - - - - 0.73 - 0.75 - Apr-12------May-12 2.22 1.86 2.06 2.54 1.80 1.62 - 1.51 1.61 Jun-12 - - - - - 3.59 - 4.00 - Jul-12 2.00 1.79 1.77 2.39 2.27 2.93 - 2.20 2.37 Aug-12 - - - - - 1.76 - 1.51 - Sep-12 - - - - - 1.43 - 1.88 - Oct-12 1.82 1.80 1.91 2.56 1.30 1.08 - 1.03 1.09 Nov-12------Dec-12 - - - - - 2.11 - 2.24 - Jan-13 2.13 6.63 1.47 3.72 1.58 3.14 - 2.63 - Feb-13 - - - - - 2.00 - 1.89 - Mar-13 - - - - - 1.24 - 1.36 1.32 Apr-13 0.82 0.88 0.78 2.79 1.77 1.09 - 1.01 0.83 May-13 - - - - - 3.11 - 2.43 - Jun-13 - - - - - 3.06 - 2.48 - Jul-13 0.77 0.76 0.84 0.99 1.04 1.16 0.98 0.95 1.06 Aug-13 - - - - - 1.90 1.48 1.34 - Sep-13 - - - - - 1.70 1.63 1.60 - Oct-13 0.96 1.16 1.12 1.08 1.08 1.03 1.22 1.21 1.35 Nov-13 - - - - - 1.14 - 0.97 - Dec-13 - - - - - 0.82 - 0.82 - Jan-14 - 0.30 0.63 <0.1 0.31 0.81 - 0.43 0.55 Feb-14 - - - - - 1.10 - 1.35 - Mar-14 0.69 - - - - 0.87 - 1.09 - Apr-14 0.98 0.81 1.32 0.52 0.82 1.42 - 2.05 2.38 May-14 - - - - - 4.02 - 6.34 - Jun-14 - - - - - 2.69 - 2.80 - Jul-14 1.71 1.81 2.07 1.74 2.54 2.59 - 2.42 2.84 Aug-14 - - - - - 1.94 2.11 1.58 - Sep-14 - - - - - 3.00 3.03 2.25 - Oct-14 2.24 2.75 3.62 2.23 4.81 2.01 1.29 1.38 3.28 Nov-14 - - - - - 1.83 - 1.85 - Dec-14 - - - - - 1.59 - - - Average 2009 2.56 1.37 1.82 1.42 1.98 1.96 - 1.96 1.85 Average 2010 1.62 1.44 1.52 1.26 1.76 1.67 - 1.59 1.61 Average 2011 1.15 1.38 1.51 1.64 1.04 2.12 - 1.70 1.30 Average 2012 1.89 1.68 1.80 2.11 1.66 1.73 - 1.73 1.56 Average 2013 1.17 2.36 1.05 2.15 1.37 1.78 1.33 1.56 1.14 Average 2014 1.41 1.42 1.91 <1.15 2.12 1.99 2.14 2.14 2.26 Average All Years 1.76 1.75 1.85 <1.67 2.03 1.90 1.68 1.93 1.73 - : total mercury concentration not determined CEQG for Protection of Aquatic Life; 26 ng/L Sampling locations and frequency governed by Amended C. of A. #3960-7Q4K2G. Bracketed sampling notations are field identifications. * Samples discarded as a result of lab miscommunication. MDLs have been adjusted for all years for uniformity (0.1 ng/L for total mercury), as per Section 1. TC14504 Page 134 Victor Diamond Mind Follow Up Program Agreement Eighth Annual Report - 2014 Reporting Period September 2015 TABLE 23b TOTAL MERCURY - NAYSHKOOTAYAOW AND ATTAWAPISKAT RIVERS (Filtered) (concentrations in ng/L)

Monument Nayshkootayaow River Nayshkootayaow River Nayshkootayaow River Attawapiskat River Attawapiskat River Attawapiskat River Attawapiskat River Attawapiskat River Channel Date Upstream Middle Downstream A-1 A-2 A-5 A-3 A-4 (Naysh Riv (Naysh Riv up) (Naysh Riv dn) (Naysh Riv up Att Riv) (Att Riv up 2) (Att Riv up A2-1) (Att Riv dn 500(40)) (Att Riv dn A3-1) (Att Riv dn Naysh Riv) Control) Feb-08 1.15 1.12 2.31 0.69 2.36 2.12 - 1.73 1.97 May-08 2.71 2.71 2.35 2.57 2.62 2.58 - 2.80 2.64 Aug-08 1.66 1.71 1.89 1.68 1.57 1.53 - 1.53 1.49 Oct-08 1.79 1.79 1.90 1.72 1.60 1.24 - 1.39 1.39 Jan-09 0.96 0.99 1.99 0.80 1.14 1.58 - 1.49 1.17 Feb-09 ------Mar-09 ------Apr-09 - 0.78 0.76 0.67 1.08 1.11 - 1.36 1.06 May-09 2.40 ----2.11 - 2.07 - Jun-09 -----1.93 - 1.84 - Jul-09 1.49 1.43 1.50 1.75 2.36 1.82 - 2.03 2.34 Aug-09 -----1.20 - 1.22 - Sep-09 -----1.32 - 1.53 - Oct-09 0.80 0.68 0.86 0.80 1.05 1.05 - 1.02 0.94 Nov-09 -----0.76 - 0.69 - Dec-09 -----0.67 - 0.68 - Jan-10 -----1.41 - 1.49 - Feb-10 0.85 0.65 1.06 0.50 1.21 1.47 - 1.64 1.49 Mar-10 -----1.30 - 1.30 - Apr-10 - - - 1.05 - 1.45 - 1.58 - May-10 1.28 1.59 1.28 - 1.69 1.77 - 1.29 1.84 Jun-10 -----0.60 - 0.69 - Jul-10 0.74 0.74 0.73 0.70 0.77 0.72 - 1.55 0.63 Aug-10 -----1.62 - 1.59 - Sep-10 -----0.86 - 0.71 - Oct-10 1.07 1.08 1.10 1.09 1.17 1.24 - 1.27 1.30 Nov-10 -----1.04 - 1.39 - Dec-10 -----0.98 - 0.94 - Jan-11 0.62 0.59 0.62 0.51 0.92 0.98 - 0.89 0.99 Feb-11 -----0.85 - 0.94 - Mar-11 -----1.05 - 0.98 - Apr-11 0.68 0.46 1.12 0.37 0.67 0.78 - 0.73 0.94 May-11 -----1.99 - 2.06 - Jun-11 -----1.18 - 1.21 - Jul-11 1.15 1.15 1.28 0.94 1.28 0.93 - 0.88 0.90 Aug-11 -----<0.1 - 0.98 - Sep-11* ------Oct-11 1.35 1.53 1.51 1.72 1.35 1.73 - 1.31 1.33 Nov-11 -----1.28 - 1.23 - Dec-11 -----1.00 - 0.91 - Jan-12 1.47 0.68 0.84 0.43 0.77 0.72 - 0.75 0.73 Feb-12 -----0.49 - 0.52 - Mar-12 -----0.49 - 0.45 - Apr-12 ------May-12 1.07 1.06 1.23 1.49 0.94 0.81 - 0.86 0.87 Jun-12 -----1.68 - 1.62 - Jul-12 0.99 0.99 1.02 1.46 1.23 1.28 - 1.18 1.03 Aug-12 -----0.81 - 0.82 - Sep-12 -----1.05 - 1.23 - Oct-12 1.08 0.96 1.08 1.57 0.78 0.80 - 0.69 0.66 Nov-12 ------Dec-12 -----1.26 - 1.20 - Jan-13 1.58 1.62 0.63 1.73 1.24 1.98 - 1.94 - Feb-13 -----1.29 - 1.18 - Mar-13 -----0.91 - 0.87 0.82 Apr-13 0.40 0.44 0.47 0.41 0.63 0.74 - 0.75 0.48 May-13 -----1.65 - 1.23 - Jun-13 -----1.61 - 1.64 - Jul-13 0.40 0.40 0.50 0.40 0.70 0.70 0.6 0.60 0.60 Aug-13 -----0.82 0.79 0.80 - Sep-13 -----1.31 1.28 1.32 - Oct-13 0.82 0.25 0.68 1.07 0.73 0.78 1.03 0.73 0.76 Nov-13 -----0.10 - 0.71 - Dec-13 -----0.59 - 0.78 - Jan-14 - 0.25 0.19 0.15 0.38 0.74 - 0.51 0.45 Feb-14 -----0.94 - 1.94 - Mar-14 0.45 ----1.30 - 0.95 - Apr-14 0.40 0.50 0.75 0.34 0.70 0.65 - 0.74 0.92 May-14 -----1.81 - 2.11 - Jun-14 - 1.03 1.28 - - 2.28 - 2.42 - Jul-14 1.15 - - 1.56 1.75 1.68 - 1.56 1.73 Aug-14 -----1.24 1.28 1.16 - Sep-14 -----2.26 2.12 1.60 - Oct-14 1.70 2.18 1.56 1.21 2.10 1.22 1.24 1.32 1.98 Nov-14 -----1.33 - 1.50 - Dec-14 -----1.44 - - - Average 2009 1.41 0.97 1.28 1.01 1.41 1.36 - 1.39 1.38 Average 2010 0.99 1.01 1.04 0.83 1.21 1.21 - 1.29 1.32 Average 2011 0.95 0.93 1.13 0.89 1.06 <1.08 - 1.10 1.04 Average 2012 1.15 0.92 1.04 1.24 0.93 0.94 - 0.93 0.82 Average 2013 0.80 0.68 0.57 0.90 0.83 1.04 0.93 1.05 0.67 Average 2014 0.93 0.99 0.95 0.82 1.23 1.41 1.55 1.44 1.27 Average All Years 1.15 1.05 1.16 1.05 1.24 <1.21 1.19 1.24 1.19 - : total mercury concentration not determined CEQG for Protection of Aquatic Life; 26 ng/L Sampling locations and frequency governed by Amended C. of A. #3960-7Q4K2G. Bracketed sampling notations are field identifications. * Samples discarded as a result of lab miscommunication.

TC14504 Page 135 Victor Diamond Mine Follow Up Program Agreement Eighth Annual Report - 2014 Reporting Period September 2015 TABLE 24a METHYL MERCURY - NAYSHKOOTAYAOW AND ATTAWAPISKAT RIVERS (Unfiltered) (concentrations in ng/L)

Monument Nayshkootayaow River Nayshkootayaow River Nayshkootayaow River Attawapiskat River Attawapiskat River Attawapiskat River Attawapiskat River Attawapiskat River Channel Date Upstream Middle Downstream A-1 A-2 A-5 A-3 A-4 (Naysh Riv (Naysh Riv up) (Naysh Riv dn) (Naysh Riv up Att Riv) (Att Riv up 2) (Att Riv up A2-1) (Att Riv dn 500(40)) (Att Riv dn A3-1) (Att Riv dn Naysh Riv) Control) Feb-08 0.03 0.03 0.09 0.04 0.14 0.03 - 0.20 0.04 May-08 0.04 0.04 <0.02 0.08 0.06 0.07 - 0.05 0.04 Aug-08 0.06 0.07 0.11 0.14 0.06 0.05 - 0.03 0.04 Oct-08 0.06 0.05 0.07 0.06 0.04 0.02 - 0.03 0.02 Jan-09 0.03 0.02 0.04 0.05 0.02 0.04 - 0.03 0.02 Feb-09 ------Apr-09 - 0.03 0.02 0.02 0.03 0.02 - <0.02 0.03 May-09 0.03 - - - - 0.02 - 0.02 - Jun-09 - - - - - 0.10 - 0.07 - Jul-09 0.05 0.05 0.03 0.03 0.04 0.04 - 0.10 0.02 Oct-09 0.06 0.05 0.05 0.10 0.09 0.06 - 0.05 0.10 Nov-09 - - - - - 0.04 - 0.05 - Dec-09 - - - - - 0.08 - 0.10 - Jan-10 - - - - - 0.09 - 0.08 - Feb-10 0.20 0.04 0.03 0.02 0.04 0.05 - 0.07 0.03 Mar-10 - - - - - 0.06 - 0.03 - Apr-10 - - - 0.07 - 0.06 - 0.06 - May-10 0.05 <0.02 0.05 - <0.02 0.02 - 0.05 <0.02 Jun-10 - - - - - 0.08 - 0.05 - Jul-10 0.02 0.10 0.11 0.14 0.15 0.04 - 0.12 0.09 Aug-10 - - - - - 0.08 - 0.07 - Sep-10 - - - - - 0.04 - 0.04 - Oct-10 0.04 0.05 0.05 0.14 0.03 0.03 - 0.04 0.03 Nov-10 - - - - - 0.07 - 0.04 - Dec-10 - - - - - <0.02 - 0.04 - Jan-11 0.03 0.03 <0.02 0.05 0.04 0.04 - 0.03 0.04 Feb-11 - - - - - <0.02 - <0.02 - Mar-11 - - - - - 0.03 - <0.02 - Apr-11 - - - - - 0.06 - 0.03 - May-11 - - - - - 0.07 - 0.05 - Jun-11 - - - - - 0.03 - 0.03 - Jul-11 0.07 0.06 0.08 0.13 0.05 0.05 - 0.05 0.03 Aug-11 - - - - - 0.07 - 0.07 - Sep-11* ------Oct-11 0.27 0.08 0.08 0.12 - 0.10 - 0.07 0.04 Nov-11 - - - - - 0.07 - 0.06 - Dec-11 - - - - - 0.07 - 0.04 - Jan-12 0.08 0.09 0.06 0.12 0.06 0.06 - 0.08 0.06 Feb-12 - - - - - 0.06 - <0.02 - Mar-12 - - - - - 0.03 - 0.03 - Apr-12------May-12 0.05 0.05 0.05 0.10 0.07 0.06 - 0.06 0.04 Jun-12 - - - - - <0.02 - 0.08 - Jul-12 0.07 0.07 0.08 0.17 0.06 0.07 - 0.04 0.06 Aug-12 - - - - - 0.05 - 0.03 - Sep-12 - - - - - 0.04 - 0.04 - Oct-12 0.03 0.04 0.06 0.07 <0.02 0.02 - <0.02 0.04 Nov-12------Dec-12 - - - - - 0.05 - 0.05 - Jan-13 <0.02 0.03 <0.02 0.10 <0.02 0.04 - 0.04 - Feb-13 - - - - - 0.04 - 0.04 - Mar-13 - - - - - 0.03 - 0.04 - Apr-13 0.04 0.03 0.03 0.09 0.05 0.08 - 0.03 0.04 May-13 - - - - - 0.04 - 0.09 0.02 Jun-13 - - - - - 0.07 - 0.06 - Jul-13 0.02 <0.02 0.04 0.03 <0.02 0.04 0.05 0.02 0.08 Aug-13 - - - - - 0.05 0.06 0.07 - Sep-13 - - - - - 0.07 0.05 0.05 - Oct-13 0.18 0.08 0.05 0.11 0.04 0.04 <0.02 0.02 0.02 Nov-13 - - - - - 0.03 - 0.04 - Dec-13 - - - - - <0.02 - <0.02 - Jan-14 - <0.02 0.04 0.05 <0.02 0.03 - <0.02 0.04 Feb-14 - - - - - 0.03 - 0.05 - Mar-14 0.03 - - - - 0.02 - 0.03 - Apr-14 0.04 <0.02 0.03 0.05 0.03 0.02 - 0.05 0.04 May-14 - - - - - 0.06 - 0.06 - Jun-14 - - - - - 0.06 - 0.08 - Jul-14 0.07 0.07 0.09 0.18 0.06 0.06 - 0.05 0.07 Aug-14 - - - - - 0.06 0.05 0.06 - Sep-14 - - - - - 0.09 0.08 0.05 - Oct-14 0.07 0.04 0.08 0.08 0.05 0.05 0.10 0.06 0.05 Nov-14 - - - - - 0.04 - 0.04 - Dec-14 - - - - - 0.05 - - - Average 2009 0.04 0.04 0.03 0.05 0.04 0.05 - <0.06 0.04 Average 2010 0.08 <0.05 0.06 0.09 <0.06 <0.05 - 0.06 <0.04 Average 2011 0.12 0.05 <0.06 0.10 0.05 <0.06 - <0.04 0.04 Average 2012 0.06 0.06 0.06 0.11 <0.05 <0.05 - <0.04 0.05 Average 2013 <0.07 <0.04 <0.03 0.08 <0.03 <0.05 <0.04 <0.04 0.04 Average 2014 0.05 <0.04 0.06 0.09 <0.04 0.05 0.08 <0.05 0.05 Average All Years <0.06 <0.05 <0.05 0.09 <0.05 <0.05 <0.06 <0.05 <0.04 - : methyl mercury concentration not determined CEQG Protection of Aquatic Life; 4 ng/L (unfiltered) Sampling locations and frequency governed by Amended C. of A. #3960-7Q4K2G. Bracketed sampling notations are field identifications. * Samples discarded as a result of lab miscommunication. MDLs have been adjusted for all years for uniformity (0.02 ng/L for methyl mercury), as per Section 1.

TC14504 Page 136 Victor Diamond Mine Follow Up Program Agreement Eighth Annual Report - 2014 Reporting Period September 2015 TABLE 24b METHYL MERCURY - NAYSHKOOTAYAOW AND ATTAWAPISKAT RIVERS (Filtered) (concentrations in ng/L)

Monument Nayshkootayaow River Nayshkootayaow River Nayshkootayaow River Attawapiskat River Attawapiskat River Attawapiskat River Attawapiskat River Attawapiskat River Channel Date Upstream Middle Downstream A-1 A-2 A-5 A-3 A-4 (Naysh Riv (Naysh Riv up) (Naysh Riv dn) (Naysh Riv up Att Riv) (Att Riv up 2) (Att Riv up A2-1) (Att Riv dn 500(40)) (Att Riv dn A3-1) (Att Riv dn Naysh Riv) Control) Feb-08 0.03 0.02 0.03 0.03 0.04 0.05 - 0.03 0.04 May-08 <0.02 0.03 0.02 0.06 <0.02 0.03 - 0.02 0.03 Aug-08 0.05 0.05 0.06 0.10 0.04 0.02 - 0.03 0.03 Oct-08 0.03 0.02 0.03 0.04 0.03 0.02 - 0.02 0.02 Jan-09 0.03 0.03 0.03 0.02 0.02 0.02 - 0.02 0.02 Feb-09 ------Apr-09 - <0.02 <0.02 <0.02 0.02 0.02 - 0.03 <0.02 May-09 0.09 ----0.03 - 0.03 - Jun-09 -----0.03 - 0.03 - Jul-09 0.04 0.10 0.11 0.07 0.15 0.03 - 0.02 0.03 Aug-09 -----0.05 - 0.03 - Oct-09 0.07 0.04 0.06 0.04 0.04 0.05 - 0.06 0.07 Nov-09 -----0.03 - 0.15 - Dec-09 -----0.08 - 0.09 - Jan-10 -----<0.02 - 0.04 - Feb-10 <0.02 0.05 0.09 0.03 0.04 0.07 - 0.05 0.04 Mar-10 -----0.05 - 0.03 - Apr-10 - - - 0.05 - 0.04 - 0.03 - May-10 0.04 0.12 0.04 - 0.05 0.03 - 0.04 0.05 Jun-10 -----<0.02 - 0.02 - Jul-10 0.05 0.06 0.03 0.07 <0.02 0.03 - 0.04 0.04 Aug-10 -----0.04 - 0.05 - Sep-10 -----0.03 - 0.02 - Oct-10 0.05 0.04 0.05 0.10 0.04 0.03 - 0.04 0.03 Nov-10 -----0.02 - <0.02 - Dec-10 -----0.04 - 0.02 - Jan-11 <0.02 <0.02 <0.02 0.03 0.02 <0.02 - 0.02 <0.02 Feb-11 -----<0.02 - <0.02 - Mar-11 -----<0.02 - <0.02 - Apr-11 -----<0.02 - <0.02 - May-11 -----0.02 - <0.02 - Jun-11 -----<0.02 - 0.02 - Jul-11 0.04 0.05 0.05 0.03 0.02 0.02 - 0.02 0.03 Aug-11 -----0.07 - 0.07 - Sep-11* ------Oct-11 0.06 0.06 0.07 0.11 0.05 0.06 - 0.04 0.04 Nov-11 -----0.04 - 0.04 - Dec-11 -----<0.02 - 0.03 - Jan-12 <0.02 0.02 0.04 0.08 <0.02 0.04 - 0.05 0.02 Feb-12 -----0.05 - <0.02 - Mar-12 -----<0.02 - 0.03 - Apr-12 ------May-12 0.04 0.02 0.04 0.08 0.03 0.04 - 0.02 0.02 Jun-12 ---- <0.02 - 0.04 - Jul-12 0.04 0.05 0.05 0.09 0.03 0.05 - 0.02 0.02 Aug-12 -----0.04 - 0.03 - Sep-12 -----0.03 - 0.03 - Oct-12 0.02 0.02 0.04 0.04 <0.02 0.03 - <0.02 <0.02 Nov-12 ------Dec-12 -----0.06 - 0.04 - Jan-13 0.06 0.04 0.02 0.02 <0.02 0.03 - 0.03 - Feb-13 -----0.04 - 0.02 - Mar-13 -----<0.02 - <0.02 <0.02 Apr-13 <0.02 <0.02 <0.02 0.04 0.02 0.04 - <0.02 <0.02 May-13 -----0.03 - 0.04 - Jun-13 -----<0.02 - 0.03 - Jul-13 <0.02 <0.02 0.04 <0.02 <0.02 <0.02 0.03 0.02 <0.02 Aug-13 -----0.18 <0.02 <0.02 - Sep-13 -----0.06 0.02 0.04 - Oct-13 0.03 0.05 0.04 0.04 <0.02 0.04 <0.02 <0.02 <0.02 Nov-13 -----<0.02 - <0.02 - Dec-13 -----<0.02 - <0.02 - Jan-14 - 0.03 0.04 0.03 0.03 0.03 - <0.02 <0.02 Feb-14 -----<0.02 - <0.02 - Mar-14 0.02 ----<0.02 - <0.02 - Apr-14 0.02 0.02 0.03 <0.02 0.02 <0.02 - 0.02 <0.02 May-14 -----0.03 - 0.03 - Jun-14 -----0.04 - 0.04 - Jul-14 <0.02 0.03 0.07 0.11 0.04 0.03 - 0.03 0.03 Aug-14 -----0.04 0.03 0.03 - Sep-14 -----0.05 0.05 0.03 - Oct-14 0.03 0.03 0.03 0.04 0.04 0.03 0.02 <0.02 <0.02 Nov-14 -----0.03 - 0.03 - Dec-14 -----0.04 - - - Average 2009 0.06 <0.05 <0.05 <0.04 0.06 0.04 - 0.05 <0.03 Average 2010 <0.04 0.07 0.05 0.06 <0.04 <0.03 - <0.03 0.04 Average 2011 <0.04 <0.04 <0.05 0.06 0.03 <0.03 - <0.03 <0.03 Average 2012 <0.03 0.03 0.04 0.07 <0.03 <0.04 - <0.03 <0.02 Average 2013 <0.03 <0.03 <0.03 <0.03 <0.02 <0.04 <0.02 <0.03 <0.02 Average 2014 <0.02 0.03 0.04 <0.05 0.03 <0.03 0.04 <0.03 <0.02 Average All Years <0.04 <0.04 <0.04 <0.05 <0.03 <0.04 <0.03 <0.03 <0.03 - : methyl mercury concentration not determined CEQG Protection of Aquatic Life; 4 ng/L (unfiltered) Sampling locations and frequency governed by Amended C. of A. #3960-7Q4K2G. Bracketed sampling notations are field identifications. * Samples discarded as a result of lab miscommunication MDLs have been adjusted for all years for uniformity (0.02 ng/L for methyl mercury), as per Section 1.

TC14504 Page 137 Victor Diamond Mine Follow Up Program Agreement Eighth Annual Report - 2014 Reporting Period September 2015

TABLE 25 GRANNY CREEK MEASURED AVERAGE ANNUAL AND MONTHLY FLOWS - STATION 04FC011 (data expressed as m3/day)

Month Year Mean Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec 2000 NA NA NA NA NA 103,165 41,986 25,576 24,848 50,567 R R 49,228 2001 RRRRR104,314 123,299 56,431 105,222 117,805 163,573 27,869 99,788 2002 14,729 7,888 4,327 47,178 480,255 164,818 11,766 106,829 137,110 61,484 31,188 15,465 90,253 2003 7,769 3,902 1,837 1,517 143,646 44,747 23,859 5,347 21,866 60,879 12,621 947 27,411 2004 67 151 0 3,158 DDDDDDDD N/A 2005 3,526 1,659 D D D 39,872 98,789 48,879 66,306 97,112 48,178 26,149 47,830 2006 13,398 4,402 3,022 D D 52,042 32,825 31,660 40,501 100,421 54,558 12,631 34,546 2007 2,512 0 0 NA 69,837 63,919 38,707 28,512 165,888 260,928 52,324 8,726 62,850 2008* 2,377 475 0 NA 191,789 141,831 88,500 49,579 30,154 39,796 32,597 15,184 53,844 2009* 7,299 6,067 7,825 46,992 366,791 170,546 139,003 167,864 89,696 98,948 146,029 21,619 105,723 2010* 9,912 11,113 8,426 54,345 34,557 29,294 35,208 65,168 36,841 29,890 29,756 18,845 30,280 2011* 12,700 9,763 10,282 64,714 127,181 49,162 28,253 33,696 99,101 98,150 50,285 12,182 49,622 2012* 5,443 9,331 62,813 235,526 80,525 67,046 24,365 20,822 32,832 54,346 48,557 16,416 54,835 2013* 8,554 6,305 5,866 113,492 293,629 61,295 20,288 24,094 27,212 21,516 14,117 7,075 50,287 2014* 4,752 3,835 3,197 5,827 280,440 76,399 23,799 26,000 63,110 113,108 133,272 32,215 63,830 Mean 7,157 4,992 8,966 63,639 206,865 83,461 52,189 49,318 67,192 86,068 62,850 16,563 59,105

Notes: D - Station damaged, no data available Average annual runoff: 248 mm (Based on years 2000 to 2014. Annual average is based on monthly data averages) R - Station removed, no data available Average annual flow predicted in CSR was 32,000 m3/day for each branch, or 64,000 m3/day combined system NA - Insufficent data Watershed area: 87 km2 (at flow monitoring station) *Supplementation occurred for a period during given year

TABLE 26 TRIBUTARY 5A MEASURED AVERAGE ANNUAL AND MONTHLY FLOWS - STATION TRIB-5A (data expressed as m3/day)

Month Year Mean Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec 2007 NA NA NA NA NA 15,811 10,428 8,312 53,482 75,535 19,699 1,771 26,434 2008 726 86 0 TD TD 65,291 37,301 18,905 6,853 14,753 6,200 1,617 15,173 2009 0 0 0 91,927 204,038 52,128 36,567 49,108 40,056 65,083 65,678 5,669 50,855 2010 1,248 0 0 25,370 20,052 9,637 31,546 54,618 30,963 13,026 13,832 7,223 17,293 2011 13,046 13,824 7,258 31,018 72,403 15,638 2,074 3,283 38,794 41,299 20,390 2,592 21,802 2012 432 0 NA 76,118 37,757 26,698 3,110 605 11,146 35,597 32,486 11,146 21,372 2013 3,183 1,445 808 14,515 142,386 36,398 1,028 661 3,953 4,549 1,976 233 17,595 2014 25 0 0 0 106,410 40,001 6,843 3,612 25,579 49,075 26,037 6,405 21,999 Mean 2,666 2,194 1,344 39,825 97,174 32,700 16,112 17,388 26,353 37,365 23,287 4,582 25,083

Notes: NA - No data. Station established June 2007 Average annual runoff: 306.2 mm (Based on years 2007 to 2014. Annual average is based on monthly data averages) TD - Transducer destroyed Watershed area: 29.9km2

TC14504 Page 138 Victor Diamond Mine Follow Up Program Agreement Eighth Annual Report - 2014 Reporting Period September 2015

TABLE 27 NAYSHKOOTAYAOW RIVER MEASURED AVERAGE ANNUAL AND MONTHLY FLOWS - STATION 04FC010 (data expressed as m3/day)

Month Year Mean Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec 2000 NA NA NA NA NA 2,446,390 1,189,755 715,583 391,782 819,864 1,622,043 412,904 1,085,474 2001 107,212 53,819 36,201 514,375 4,443,850 1,906,975 4,325,761 2,159,135 2,516,656 2,415,004 3,112,149 1,035,706 1,885,570 2002 388,704 167,296 98,166 350,866 11,888,050 3,468,702 434,497 1,951,250 2,643,217 1,352,735 776,015 353,279 1,989,398 2003 200,743 112,321 61,091 53,067 3,662,257 1,044,901 931,924 298,442 541,064 1,497,555 660,679 329,988 782,836 2004 139,662 88,543 77,490 90,692 9,949,048 4,029,705 1,812,173 562,318 4,651,914 5,202,311 2,528,612 648,358 2,481,736 2005 175,541 85,541 90,865 5,320,161 3,180,671 1,181,461 2,658,145 1,406,524 2,090,061 2,964,534 1,304,777 692,875 1,762,596 2006 382,377 154,747 111,661 D D 995,124 563,913 437,723 229,189 327,730 514,944 208,742 NA 2007* 85,104 50,890 32,918 D 3,190,855 1,843,776 988,416 956,448 3,845,664 6,341,760 1,632,960 416,880 1,762,334 2008* 133,488 100,010 97,204 4,452,590 5,890,856 4,895,694 2,800,576 1,124,561 482,180 1,495,938 1,336,051 405,614 1,934,563 2009* 125,937 80,656 63,751 D 9,424,174 3,347,983 3,824,046 5,403,309 2,604,505 2,542,656 3,410,212 430,979 2,841,655 2010* 205,304 138,780 402,653 1,388,430 1,578,449 615,896 636,616 2,032,366 1,201,319 889,727 881,096 552,538 876,931 2011* 378,567 229,817 243,221 2,377,869 4,780,018 1,110,879 199,016 758,222 2,568,723 3,052,196 1,414,052 345,467 1,454,837 2012* 123,654 101,713 274,376 3,749,384 2,853,712 2,196,945 388,821 127,587 328,409 1,186,666 919,332 478,265 1,060,739 2013* 240,159 146,253 128,684 794,594 7,446,025 1,892,934 121,158 182,707 250,385 360,813 384,523 312,059 1,021,691 2014* 165,494 85,629 67,121 152,938 7,781,475 3,039,926 439,903 230,868 2,725,573 3,291,853 1,657,934 594,196 1,686,076 Mean 203,710 114,001 127,529 1,749,542 5,851,495 2,267,819 1,420,981 1,223,136 1,804,709 2,249,423 1,477,025 481,190 1,616,174

Notes: D - Station damaged, no data available Average annual runoff (mm): 320.6 (Based on 2000 to 2014. Annual average is based on monthly data averages) NA - Insufficient data Average annual flow predicted in CSR was 1,353,700 m3/day Watershed Area: 1840 km2 (at station 04FC010) *Supplementation occurred for a period during given year

TABLE 28 SUMMARY OF MONITORING WELLS AND END FORMATIONS

End Formation1 Monitoring Network Mineral All End Peat Bedrock Sediments Formations Central Quarry 32 2 10 44 Prototype Well (2006)2 40 12 71 123 Well Field Dewatering (2007)3 45 45 81 171 Well Field Dewatering (2008)4 48 53 56 157 Well Field Dewatering (2009)5 51 56 56 163 Well Field Dewatering (2010) 52 48 58 158 Well Field Dewatering (2011) 52 45 58 155 Well Field Dewatering (2012) 52 45 58 155

Notes:1 Each level of a multi-level well was counted as one well. 2 The Prototype and well field dewatering networks have five bedrock monitoring locations that are also part of the Central Quarry 3 The Well Field monitoring network includes all wells that were part of the Prototype Well monitoring network, plus additional wells drilled in 2007. 4 Program modified to remove dry wells, wells destroyed during construction and wells with duplicate coverage. 5 Program modified add new wells as per Permit To Take Water Requirements. Does not include eight multi-level muskeg piezometers (each consisting of three screens in upper, middle and deep horizons of the muskeg) drilled for PK Cell and Low Grade Stockpile constructed for water No new data for 2014

TC14504 Page 139 Victor Diamond Mine Follow Up Program Agreement Eighth Annual Report - 2014 Reporting Period September 2015

TABLE 29 SUMMARY OF VICTOR SITE AREA MONITORING PROGRAMS INVOLVING MUSKEG SYSTEMS

System / Approximate Coordinates Groundwater Sampling Surface Water Sampling Location Easting Northing Frequency Frequency Muskeg Monitoring Program – Piezometer Water Cluster 1 MS-1-D 312376 5862048 Annually - MS-1-F 313720 5862550 Annually - MS-1-H 314926 5862785 Annually - MS-1-R 314107 5862951 Annually Quarterly Cluster 2 MS-2-D 312604 5857473 Annually - MS-2-F 313440 5858030 Annually - MS-2-R 307520 5857800 Annually Quarterly Cluster 7 MS-7-D 298460 5862200 Annually - MS-7-F 299180 5862458 Annually - MS-7-H 398820 5865293 Annually - MS-7-R 701593 5862531 Annually Quarterly Cluster 8 MS-8-D 302822 5860398 Annually - MS-8-F 303100 5859600 Annually - MS-8-H 303200 5858384 Annually - MS-8-R 302232 5858645 Annually Quarterly Cluster 9(1) MS-9(1)-D 299240 5847200 Annually - MS-9(1)-F 299196 5848137 Annually - MS-9(1)-H 300551 5845677 Annually - MS-9(1)-R 300760 5848462 Annually Quarterly Cluster 9(2) MS-9(2)-D 308710 5847680 Annually - MS-9(2)-F 307915 5847679 Annually - MS-9(2)-H 310243 5847142 Annually - MS-9(2)-R 309566 5847400 Annually Quarterly Cluster 13 MS-13-D 679692 5860993 Annually - MS-13-F 680119 5860918 Annually - MS-13-H 680724 5858613 Annually - MS-13-R 679990 5861750 Annually Quarterly Cluster 15 MS-15-D 685685 5845879 Annually - MS-15-F 690392 5844380 Annually - MS-15-H 689226 5844185 Annually - MS-15-R 691010 5843829 Annually Quarterly Cluster V(1) MS-V(1)-D 304750 5858600 Annually - 1 MS-V(1)-R 307520 5857880 Annually Quarterly Cluster V(2) MS-V(2)-D 306075 5854950 Annually - MS-V(2)-R 305970 5855110 Annually Quarterly Cluster V(3) MS-V(3)-D 307280 5853390 Annually - MS-V(3)-R 307230 5853220 Annually Quarterly D = domed bog; F = flat bog; H = horizontal fen; R = ribbed fen

TC14504 Page 140 Victor Diamond Mine Follow Up Program Agreement Eighth Annual Report - 2014 Reporting Period September 2015

TABLE 30 ELEVATION MONITORING STATIONS - GROUND SETTLEMENT TO THE END OF 2014

Elevations (masl) Year End Estimated Distance from Station Differential Overburden Edge of Pit ID from Static Thickness (m) (km) Static 05-Jun-08 21-Sep-08 24-Nov-08 14-Mar-09 10-Sep-09 16-Mar-10 02-Dec-10 08-Sep-11 22-Jun-12 13-May-13 07-Sep-13 06-Jul-14 (m)

SS-1 155 0.05 83.62 83.59 83.57 83.54 83.50 83.45 83.42 83.38 83.35 83.33 83.31 83.30 83.28 -0.34 SS-2 18 0.1 84.18 84.20 84.20 84.20 84.22 84.22 84.20 84.21 84.22 84.20 84.20 84.21 84.20 0.02 SS-5 23 2.1 82.79 82.81 82.76 82.82 82.80 82.81 82.80 82.82 82.80 82.81 82.82 82.82 82.79 -0.001 SS-7 Unknown 3.3 86.47 86.49 86.42 86.50 86.49 86.49 86.48 86.46 86.50 86.52 86.51 86.50 86.52 0.05 SS-7A 6.1 3.4 86.82 86.88 86.75 86.86 86.87 86.85 86.84 86.81 86.87 86.83 86.86 86.80 86.89 0.07

Year End SS-8 Northing Easting Elevations (masl) Differential Series (m) (m) from Static Station ID Static 30-Apr-08 07-May-08 11-Jun-08 03-Aug-08 30-Sep-08 26-Oct-08 25-Nov-08 14-Mar-09 10-Sep-09 13-Mar-10 10-Oct-10 07-Sep-11 24-Jun-12 18-May-13 01-Sep-13 30-Jul-14 (m) VM ED1 5,857,237 306,341 82.58 82.58 82.59 82.57 82.60 82.57 82.57 82.56 82.55 82.56 82.56 82.44 82.50 82.49 82.60 82.57 82.49 -0.09 VM ED2 5,857,152 306,601 85.22 85.19 85.19 85.13 84.80 84.73 84.70 84.69 ------0.53 VM ED3 5,857,132 306,590 82.65 82.63 82.62 82.63 82.63 82.63 82.62 82.64 82.71 82.76 82.84 82.84 82.87 82.90 82.24 83.21 83.16 0.53 VM ED4 5,857,103 306,836 84.71 84.70 84.70 84.64 84.37 84.20 84.17 84.15 ------0.56 VM ED5 5,857,076 306,832 82.63 82.62 82.61 82.60 82.61 82.59 82.60 82.61 82.69 82.71 82.75 82.76 82.68 82.66 - - - 0.03 VM ED6 5,857,067 306,978 84.59 84.57 84.57 84.46 84.22 84.04 84.00 83.99 ------0.60 VM ED7 5,857,050 306,962 82.61 82.60 82.60 82.59 82.59 82.59 82.59 82.59 82.61 82.61 82.61 82.63 82.62 82.59 - - - -0.03 VM ED8 5,856,965 307,124 83.58 83.56 83.56 83.42 83.00 82.82 82.79 82.79 ------0.79 VM ED9 5,856,951 307,118 81.91 81.90 81.90 81.90 81.89 81.88 81.88 81.89 82.02 82.09 82.09 82.08 82.05 82.04 - - - 0.13 VM ED10 5,856,953 307,361 81.66 81.65 81.64 81.64 81.68 81.64 81.66 81.66 81.63 81.67 81.61 81.61 81.61 81.63 - - - -0.02

Notes: SS-3 and SS-4 stations were destroyed. SS-6 stataion is monitored by the University of Waterloo. VM ED2, 4, 6, and 8 are located on top of a constructed berm and are not reported as they are strongly affected by slumping and settlement within the berm. VM ED5, 7, 9 and 10 were destroyed after 2012.

TC14504 Page 141 Victor Diamond Mine Follow Up Program Agreement Eighth Annual Report - 2014 Reporting Period September 2015

TABLE 31: 2012 BREEDING BIRD SURVEY RESULTS

Total Number of Distance from the Mine Observed Species both Number of Species Site Centroid Location Vegetation Type Visits Observed during both (June 16-18 and June 26- June visits (km) 27) Domed Bog 8 3 10.00 S-1 Ribbed Fen 13 6 11.9 Domed Bog 12 5 8.4 S-2 Ribbed Fen 13 6 3.6 Domed Bog 13 7 8.6 S-7 Ribbed Fen 17 8 9.5 Domed Bog 13 3 4.8 S-8 Ribbed Fen 20 6 3.6 Domed Bog 14 5 10.4 S-9(1) Ribbed Fen 15 2 9.5 Domed Bog 13 3 9.3 S-9(2) Ribbed Fen 17 8 10.00 Domed Bog 17 6 29.6 S-13 Ribbed Fen 17 6 29.5 Domed Bog 11 6 25.5 S-15 Ribbed Fen 13 3 22.1

TC14504 Page 142 84° 82° 53° Akimiski Island Attawapiskat

VICTOR SITE Attawapiskat - Victor South Winter Road James Bay J a m e s Winter Road B a y

Kashechewan

Fort Albany

52°

James Bay Winter Road

Moosonee

Moose Factory

51°

Otter Rapids

50° Constance Lake New Post

0 20 40 80 LEGEND: SCALE (Km) South Winter Road VICTOR DIAMOND MINE James Bay Winter Road Project Location

SCALE: AS SHOWN DATE: June 2015

PROJECT No: TC140504 FIGURE: 1 P:\2014\Projects\TC140504_De_Beers_Victor_Mine_2014\09_GIS\FUPA_Report_2014\CDR\Project_Location.cdr 302000 303000 304000 305000 306000 307000

MINE FEATURES 34 1 - Airstrip 2 - Airstrip Muskeg / Overburden Stockpile 3 - Polishing Pond (Former Central Quarry)

4 - Polishing Pond Discharge Ditch 5862000 5 - Fine Processed Kimberlite Containment Facility Cell 1 6 - Fine Processed Kimberlite Containment Facility Cell 2 7 - Fine Processed Kimberlite Containment Collection Ditch Attawapiskat River 8 - West Muskeg Stockpile 9 - Coarse Processed Kimberlite and Overburden Stockpile 10 - Mine Rock Stockpile 11 - Low-grade Ore and Coarse Processed Kimberlite Stockpile 12 - Construction Accommodation Complex 13 - Permanent Accommodation Complex 14 - Process Plant 15 - Crusher 37 16 - Fuel Storage Tanks 17 - Services (Potable Water, SewageTreatment Plant, Incinerator) 18 - Landfill 19 - Open Pit 5861000 20 - Southwest Overburden Stockpile 21 - Northeast Overburden Stockpile 22 - Overburden Dyke 23 - Phase 1 Mine Water Settling Pond 24 - North Muskeg Stockpile 25 - 115 kV Transmission Line 26 - South Quarry 27 - Southeast Fen 28 - Exploration Camp 29 - South Winter Road 30 - Bulk Emulsion Plant 33 31 - Ammonium Nitrate Storage 32 - Explosives Magazine

33 - Attawapiskat River Intake Road 5860000 34 - Attawapiskat River Pumphouse 35 - Northwest Fen 36 - Northeast Fen 37 - Nayshkootayaow River Flow Supplementation Pipeline 38 - North Granny Creek Supplementation Pipeline 39 - South Granny Creek Supplementation Pipeline

38

32

5859000 ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! 31 ! !

!

!

!

! 30 ! !

!

5858000 !

2 !

! 1 4 N o ! r th 29 ! Gr an ! ny C reek ! 7 35 22 ! 36 !

!

! 10 ! 24 5857000 23 ! ! 5 21 ! 3 !

18 !

!

12 k ! 13 e e ! 14 r 19 C ! n y 17 Gran ! uth So ! !

6 8 15 5856000 !

!

! 20 ! ! 16 ! ! ! ! ! ! ! 9 ! ! ! ! ! ! ! ! ! ! 11 ! ! ! ! ! ! 25 10 5855000

r e 26 v 27 i R w yao koota sh ay N 39 28 5854000 P:\2014\Projects\TC140504_De_Beers_Victor_Mine_2014\09_GIS\FUPA_Report_2014\MXD\General_Site_Plan_6.mxd NOTES: LEGEND - Site plan extracted from as built De Beers CAD drawing 130916 Watercourse - Imagery current as of September 7, 2014 Mine Feature (Pleides satellite platform) VICTOR DIAMOND MINE

General Site Plan

Datum: NAD83 o Projection: UTM Zone 17N PROJECT N : TC140504 FIGURE: 2

0 0.25 0.5 1 1.5 2 SCALE: 1:24,000 DATE: June 2015 Kilometres ² 295000 300000 305000 310000 315000

HV-4A#* LV-4 (!

7.5 kilometre !. Marker DF-4 PM-4 )"XY (north)

WS-2 "/ 5 kilometre 5860000 Marker N !. o rt hw e st T oad ra Winter R ns South e 2.5 kilometre ct Marker !. DF-3 WS-1 West Winter Road PM-3 "/ )"XY(west) "/ WS-3 DF-1 NOISE CENTRE XY)" PM-1 !( (east) !. East T 5 kilometre ransect Marker Victor Mine 2.5 kilometre !. 7.5 kilometre Marker Marker !. 5855000

DF-2 LV-2 )" PM-2 (!XY WS-4"/ (south)

VICTOR DIAMOND MINE Path: P:\2014\Projects\TC140504_De_Beers_Victor_Mine_2014\09_GIS\FUPA_Report_2014\MXD\NoiseMonitoringStations_and_AirQualityStations_June2009_2.mxd LEGEND Air Quality and Noise Monitoring Sites Noise Transect Lines Around Victor Mine XY Passive (SOx, NOx) Sampling "/ Air Quality Station (snowpack) 0 0.5 1 1.5 2 Winter Roads )" Dustfall Sampling !( Noise Central Point SCALE: As Shown DATE: June 2015 7.5km Buffer Zone (from noise centre) Kilometers #* High Volume Sampling !. 2.5km Incremental Noise Monitoring Sites (Along Transects) NAD83 UTM Zone17N Satellite Image: Mine Site: Pleiades Sept 7, 2014; Property Boundary Surrounding Area: GeoEye-1 Sept 20, 2012 ² PROJECT No: TC140504 FIGURE: 3 (! Low Volume Sampling Figure 4: Dustfall Measurements at Victor Diamond Mine - 2006 to 2014

10.0

9.0

8.0

7.0

6.0 days) /30 2 5.0 (g/m

4.0 Dustfall

3.0

2.0

1.0

0.0 14 14 20 2006 2006 2007 2007 2008 2008 2009 2006 2006 2009 2010 2007 2007 2010 2011 2008 2008 2011 2012 2009 2009 2012 2013 2010 2010 2013 2014 2011 2011 2012 2012 2013 2013 2014 20 ‐ ‐ ‐ ‐ ‐ ‐ ‐ ‐ ‐ ‐ ‐ ‐ ‐ ‐ ‐ ‐ ‐ ‐ ‐ ‐ ‐ ‐ ‐ ‐ ‐ ‐ ‐ ‐ ‐ ‐ ‐ ‐ ‐ ‐ ‐ ‐ t Jul Jul Jul Jul Jul Jul Jul Jul Jul Jan Jan Jan Jan Jan Jan Jan Jan Jan Oc Oct Oct Oct Oct Oct Oct Oct Oct Apr Apr Apr Apr Apr Apr Apr Apr Apr

DFJ‐3 West DFJ‐2 South DFJ‐4 North DFJ‐1 East O. Reg. 419/05 limit Figure 5: Ratio of NEF / HgCON ‐ Methyl Mercury (filtered ) July / October Combined Data

20

18

16

14

Concentrations 12

10 Mercury

8

Methyl 6 of

4 Ratio

2

0 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 Year Figure 6: Pumping Rates and Chloride Concentration at VDW Wells

After Aug 15/2012 Chlorides in VDM Well Discharge are not displayed - discharge line was twinned and the former well discharge sampling port is on one of the two lines and no longer representative of mixed well discharge from all dewatering wells. In 2012, only very limited water from other sources is directed to the final discharge, and as such final discharge is representative of undilute mixed well discharge after Aug 2012. 298000 300000 302000 304000 306000 308000 310000 312000 314000 298000 300000 302000 304000 306000 308000 310000 312000 314000

A@ A@ MS-7H 2013 A@ 2014 DAS-2 A@ MS-7H DAS-2 5864000 Unnamed Creek 5864000 Unnamed Trib MS-1R MS-1F MS-7-CL & WBR MS-7-CL&WBR MS-7D A@ A@ MS-1R A@ A@ MS-1-CL&WBR A@ MS-7R MS-1F A@ A@ A@ A@ A@ MS-7D MS-1-CL & WBR A@ A@ A@ A@ V-05-437 A@ A@ MS-7R A@ MS-7 A@ MS-7F A@ MS-7 BR A@ BR MS-1D 5862000 MS-7F V-05-437 5862000 MS-1-BR South Unnamed Creek A@ B1-07-008C South Unnamed Creek A@ MS-1D MS-1-BR A@ AttawapiskatA@ RiverHCI-05-3 B1-07-008C Attawapiskat River HCI-05-2 HCI-05-2 MS-8-D HCI-05-3 A@ A@ MS-8-D MS-8-4CL&WBR A@ A@ MS-8-1BR A@ MS-8-1 BR HCI-03-12 A@ A@ A@ MS-8-F HCI-05-4 A@ MS-8-4 CL & WBR A@ MS-8-F 5860000 MS-8-1CL&WBR 5860000 HCI-05-4 A@A@ A@ A@A@ A@ HCI-03-12 MS-8-3 CL & WBR V-05-434 A@ A@ MS-8-1 CL & WBR MS-8-3CL&WBR MS-V-1-CL MS-V-1-D V-05-434 MS-8-2 CL & WBR MS-8-R A@ MS-8-H A@ MS-8-H MS-V-1-CL MS-8-2CL&WBR NGC MS-V-1-D MS-2F @ HCI-05-1a MS-8-R @ MS-8-2 A@ A@ ! Well A@ A@ A@ ! A@ MS-2F A@ @ A A@ V-03-334E A@ @ A A@ V-03-334E BR A@ A A@ MS-8-2 BR A@ A A@ A@ CQ-N1 NGC Well A@ HCI-05-1a NQ-500NW A@ NQ-500NW A@ A@ A@ A@ A@ A@ A@ A@ A@ HCI-03-01 A@ HCI-05-1c DAS-1 (MS-2 BR) A@ NQ-165NW NQ-500E A@ MS-2D NQ-165NW A@ 5858000 NQ-165E HCI-03-01 CQ-250N NQ-500E 5858000 CQ-N1 HCI-05-13 A@ MS-2-R A@ MS-2D CQ-250N A@ HCI-05-1c CQ-165N A@ NQ-165E HCI-05-11 MS-2-R DAS-1(MS-2BR) HCI-05-12 HCI-05-12 A@ HCI-05-13 A@ AA@@A@ V-03-300E AA@@A@ V-03-300E A@ MS-2-CL&WBR A@ CQ-165N CQ-100N MS-2-CL & WBR CQ-100N A@A@! 20 HCI-05-11 A@A@! A@ VDW-CH-A A@A!A@A CQ-SE-1 A@ A@A!A@A CQ-SE-1 A@A@ A@ A@! ! 10 CQ-100SE A@A@ A@ A@! ! A@ A@ A 4 A@ A@ A 20 A@ ! A@ ! 4 A@ ! @A A@ ! @A 10 2 !A MS-V-2-CL 2 CQ-165SE !A CQ-100SE CQ-165SE A A@ A A A@ A VDW-CH-I ! !A@A! MS-V-2-D CQ-250SE ! !A@A! A A@A A@ A A@A A@ MS-V-2-CL

HCI-03-02 5856000 CQ-250SE A@ A@ HCI-03-02 A@ A@ 5856000 CQ-SE-2 DW-1 MS-V-2-R A@ HCI-03-03 CQ-SE-2 DW-1 A@ VDW-22 MS-V-2-D A@ HCI-03-04 A@ HCI-03-04 V-03-321E SGC HCI-03-03 HCI-05-9 A@ A@ W-07-008C A@ A@ W-07-008C A@ A@ HCI-03-7 A@ HCI-05-9 A@ A@A@ A@ A@A@ MS-V-2-R A@ HCI-03-7 South Granny Creek @@ South Granny Creek @@ HCI-03-8 A@AAAAA@@@ HCI-03-9 V-03-321E A@AAAAA@@@ SQ-WL-4(M,C,BR) SGC HCI-03-11 HCI-03-10 HCI-03-9 SQ-WL-2(M,C,BR) HCI-03-6 SQ-WL-4(M, C, BR) 5854000 HCI-03-8 X-07-014C HCI-03-6 X-07-014C 5854000 HCI-03-11 A@ A@ SQ-WL-2(M, C, BR) HCI-03-10 A@ A@ HCI-05-20 X-07-014C HCI-05-8 MS-V-3-CL A@ MS-V-3-D A@ A@ MS-V-3-CL HCI-05-20 A@ MS-V-3-D A@ MS-V-3-R HCI-05-8 A@ MS-V-3-R

Y-07-007C 5852000 5852000

A@ A@ Y-07-007C

Nayshkootayaow River HCI-05-5 Nayshkootayaow River A@ A@ HCI-05-5 5850000 5850000

MS-9-1R MS-9-1R MS-9-1F A@ MS-9-2D A@ MS-9-2D MS-9(1)-BR MS-9-2F MS-9-2F A@ MS-9-1F A@ MS-9(2)-BR MS-9-2R MS-9(2)-BR MS-9-2R A@ A@ MS-9-2H MS-9(1)-BR A@ A@ MS-9-2H 5848000 MS-9-1D A@A@ MS-9-1D A@A@ 5848000 Trib 5 @ @ @A MS-9-2-CL & WBR @A A@ MS-9-2-CL&WBR A A@ MS-9-1-CL & WBR A@ A A@ Path: P:\2014\Projects\TC140504_De_Beers_Victor_Mine_2014\09_GIS\FUPA_Report_2014\MXD\UpperBR_drawndown_RibbedFenStation_2013_2014_2.mxd HCI-05-7 HCI-05-7 Trib 5 MS-9-1-CL&WBR NOTES: LEGEND 2013 Panel Imagery: - Mine site features current as of of A@ Ribbed Fen Station (Clay/PeatA@ Piezometer) A@ September 13, 2013 (GeoEye-1 satellite platform) Drawdown in Upper Bedrock Aquifer Unit - Area surrounding mine site features (2 m or 10 m Contour Interval) current as September 20, 2012 (GeoEye-1 satellite platform) VICTOR DIAMOND MINE Monitoring Locations 2014 Panel Imagery: - Mine site features current as of ! September 7, 2014 Interpreted Drawdown Contours A Pumping Wells (Pleides satellite platform) @ - Area surrounding mine site features in Upper Bedrock Aquifer A Bedrock Monitoring Well current as September 20, 2012 (GeoEye-1 satellite platform) (2013 and 2014 data) A@ Clay/Peat Piezometer Datum: NAD83 o A@ Clay/Peat/Bedrock Piezometer Projection: UTM Zone 17N PROJECT N : TC140504 FIGURE: 7a 0 1 2 4 6 8 SCALE: 1:90,000 DATE: June 2015 Kilometres ² 270000 275000 280000 285000 290000 295000 300000 305000 310000 315000 320000 325000

MS-7H A@ DAS-2U A@ DAS-2L 5865000

MS-13R T-13-012C TE-3 A@ MS-7-CL V-05-437 MS-13CL A@ + WBR MS-1R A@ A@ A@ MS-7D A@ MS-1H MS-13D MS-7RA@ MS-1F A@ A@ @ TE-10-066C A@ A A@ < ! MS-13F MS-7F A@ A@ A@ < ! MS-1-CL + WBR MS-13 BR MS-7 BR D A@ A@ TE-10-030C A@ A@ TE-P MS-1D TE-10-056C TE-10-055C A@ @ HCI-05-3L A A@ TE-13-059C B1-07-008C HCI-05-3U TE-4 A@ A@ A@ Attawapiskat River A@ MS-13H HCI-05-4L A@ A@ A@A@ A@

HCI-05-4U 5860000 A@ < !

West Winter Road A@ ! NR-003 South Winter Road ! A@ A@ A@ ! @ @ A@ A@ MS-2F A A U! ! A@ A@A@ A@ A@A@ A@ !R@ A@ A@ A ! TRIB-7 @ A@ A@U! A@ < ! Tributary 3 !

!R < ! A@A@ !R!R!R U! < !

!R!R ! < ! A@ !A@&

UNNAMED TRIB < ! Y-07-007C A@ Nayshkootayaow River A@ < !

HCI-05-5U < ! HCI-05-5L TRIB-5 5850000 TRIB-4 Tributary 4 MS-9-1R @ MS-9-2-CL A MS-9-2D MS-9-1F A@ + WBR A@ MS-9-2F A@ MS-9-2R A@ MS-9-1-CL Tributary 5 A@ MS-15D A@ MS-9-1D HCI-05-7L A@ A@ + WBR HCI-05-7U MS-9-2H MS-15F MS-9-1H A@ A@ A@ A@A@ MS-15CL < ! MS-15H A@ TRIB-5A Z-07-014H A@ MS-15 BR

MS-15R 5845000

U! TRIB5A-D/S

Tributary 5A 5840000

TRIB5A-U/S U! 5835000 P:\2014\Projects\TC140504_De_Beers_Victor_Mine_2014\09_GIS\FUPA_Report_2014\MXD\Well_Locations_Regional_Scale.mxd LEGEND NOTES: Existing Winter Road Central Quarry / Polishing Pond Well Type / Description Monitoring Stations < ! !! 115 kV Transmission Line Watercourse A@ Bedrock Monitoring Well Flow Monitoring Station Granny Creek Pipeline Attawapiskat River A@ Clay/Peat Piezometer U! Surface water Monitoring Station VICTOR DIAMOND MINE Nayshkootayaow River Pipeline Tributary 5A Watershed A@ Clay/Peat/Bedrock Piezometer !R Subsidence Monitoring Station Mine Feature Granny Creek Watershed A! Pumping Wells Distal Monitoring Well Locations Stockpile Areas &< Other Well Pit Extent Datum: NAD83 o South Quarry Projection: UTM Zone17N PROJECT N : TC140504 FIGURE: 7b

0 2.5 5 10 15 20 25 SCALE: 1:145,000 DATE: June 2015 Kilometres ² 295000 300000 305000 310000 315000 320000 325000

A-1 A! 5865000

A! A-4

A-2 ! A! N-3 A A-3 A!

Att awa No pisk rth at Gr Riv an er ny 10 September 2015

C 5860000 re ek

G-1 S-4 A! A! G-2 S-2 A! G-3 VICTOR SITE A!A! G-4 A! G-8 A! A! G-7 STATION ID LOCATION DESCRIPTION Hg SAMPLING FREQUENCY S-1 A-1 Attawapiskat River upsteam #2 Quarterly A-2 Attawapiskat River upstream of site Quarterly A! ! ek A! A N-2 A-3 Attawapiskat River downstream of site Quarterly re A! C S-3 ny G-6 A-4 Attawapiskat River downstream of Nayshkootayaow River Quarterly n 5855000 ra G N-1 Nayshkootayaow River upstream of site Quarterly G-5 h ut So N-2 Nayshkootayaow River downstream of site (US of Granny Creek) Quarterly A! N-3 Nayshkootayaow River upstream of Attawapiskat River Quarterly G-1 North Granny Creek N. Granny Creek-upstream NW fen Quarterly G-2 North Granny Creek N. Granny Creek-downstream NW fen Monthly, Quarterly G-3 North Granny Creek N. Granny Creek-downstream NE fen Monthly, Quarterly G-4 North Granny Creek N. Granny Creek-downstream Quarterly er iv G-5 South Granny Creek S. Granny Creek-upstream SW fen Monthly, Quarterly R w G-6 South Granny Creek S. Granny Creek-downstream SW fen Monthly, Quarterly ao ay ot G-7 South Granny Creek S. Granny Creek-downstream Quarterly ko sh ay G-8 Granny Creek Confluence Granny Creek confluence Quarterly N S-1 Southwest Fen Southwest fen Monthly, Quarterly ! S-2 Northeast Fen Northeast fen Monthly, Quarterly A S-3 Southeast Fen Southeast fen Quarterly N-1 Path: P:\2014\Projects\TC140504_De_Beers_Victor_Mine_2014\09_GIS\FUPA_Report_2014\MXD\Surface_Water_Monitoring_Stations_3.mxd, P:\2014\Projects\TC140504_De_Beers_Victor_Mine_2014\09_GIS\FUPA_Report_2014\MXD\Surface_Water_Monitoring_Stations_3.mxd, Path: S-4 Northwest Control Fen Northwest control fen Quarterly

NOTES: 5850000 LEGEND - Mine site features current as of September 7, 2014 Surface Water Monitoring Station Location (Pleides satellite platform) - Area surrounding mine site features A! Attawapiskat River current as of September 20, 2012 (GeoEye-1 satellite platform) VICTOR DIAMOND MINE A! Nayshkootayaow River A! Granny Creek Surface Water Monitoring Stations A! Fens

Datum: NAD83 o Projection: UTM Zone 17N PROJECT N : TC140504 FIGURE: 8

03691215 SCALE: 1:86,000 DATE: June 2015 Km ² Figure 9 - Nayshkootayaow and Attawapiskat River Total and Methyl Mercury Trends (filtered values)

Nayshkootayaow River Total Mercury Values (filtered) Attawapiskat River Total Mercury Values (filtered) 3.00 3.00

2.50 2.50 (ng/L)

(ng/L) 2.00 2.00

1.50 1.50

1.00 1.00 Concentration

Concentration 0.50 0.50

0.00 0.00

Naysh. R. Up Naysh. R. Mid Naysh. R. Dn Atta. R. Up A1 Atta. R. Up A2 Atta. R. Dn A5 Atta.R. Dn A3 Atta. R. Dn A4

Nayshkootayaow River Methyl Mercury Values (filtered) Attawapiskat River Methyl Mercury Values (filtered) 0.16 0.16 0.14 0.14 0.12 0.12 (ng/L 0.10 0.10 (ng/L)

0.08 0.08 0.06 0.06 0.04 0.04

Concentration 0.02

Concentration 0.02 0.00 0.00

Atta. R. Up A1 Atta. R. Up A2 Atta. R. Dn A5

Naysh. R. Up Naysh. R. Mid Naysh. R. Dn Atta R. Dn A3 Atta. R. Dn A4 LEGEND: NOTE: THIS DRAWING IS IN UTM NAD 83 ZONE 17 Flow Monitoring Station Water Station Other Structure Mine Site

270000 UNNAMED TRIB UNNAMED TRIB TRIB-4 TRIB-4 TRIB-5A NR-002 NT-002 NT-001 NR-003 NR-001 SG-001 NG-001 AR-004 04FC011 04FC010 TRIB-7 TRIB-5 TRIB-3 tto Easting Station WATER STATION COORDINATES (UTM Nad 83) NR-001 280000 301,176 696,296 703,568 698,287 298,699 293,512 315,275 301,079 314,391 320,325 681,906 308,950 308,888 309,290 306,278 693,219 304,252 303,226 TRIB-3 5,845,106 5,851,989 5,849,520 5,850,427 5,849,433 5,850,777 5,857,341 5,849,762 5,872,017 5,859,098 5,853,074 5,856,541 5,856,686 5,856,565 5,854,251 5,852,883 5,879,970 5,861,949 Northing UNNAMED TRIB Zone 17 16 17 16 16 17 17 17 17 17 16 17 17 17 17 16 17 17 ESKER

0 290000 TRIB5A-D/S TRIB5A-U/S SGC-3DS SGC-2ML SGC-1US NGC-3DS NGC-2ML NGC-1US tto Easting Station

WATER STATION COORDINATES (UTM Nad 83) NAYSHKOOTAYAOW NR-002 TRIB-4 5 304,107 302,745 305,359 303,949 302,702 307,471 305,005 307,432 Construction Camp TRIB5A-D/S TRIB5A-U/S Climate Station NT-002 NGC-1US 5,854,071 5,838,341 5,857,535 5,858,365 5,841,688 5,856,417 5,854,955 5,857,171 Northing SGC-2ML SGC-1US 10 300000

RIVER Zone 17 17 17 17 17 17 17 17 TRIB-5 TRIB-5A NG-001 AR-004 NR-002 NT-002 NT-001 NR-003 NR-001 SG-001 NG-001 AR-004 04FC011 04FC010 TRIB-7 TRIB-5 TRIB-3 tto Latitude Station WATER STATION COORDINATES (Lat, Long)

NGC-2ML Exploration Camp NORTH RIVER NORTH ƒ  ƒ  ƒ  ƒ  ƒ  ƒ  ƒ  ƒ  ƒ  ƒ  ƒ  ƒ  ƒ  04FC010 NGC-3DS SGC-3DS 20 310000 SG-001 04FC011

80m ƒ  ƒ  ƒ  ƒ  ƒ  ƒ  ƒ  ƒ  ƒ  ƒ  ƒ  ƒ  ƒ  Longitude TRIB-7 NT-001

30 320000

NR-003 ATTAWAPISKAT ATTAWAPISKAT

40 330000 Km PROJECT NUMBER: TC140504 SCALE: AS SHOWN Water Flow and Level Monitoring Stations

RIVER Victor Diamond Mine Site Locations 60m DATE: JUNE 2015 FIGURE: 10

340000 5880000 5840000 5850000 5860000 5870000 Figure 11 - Granny Creek Flow Station 04FC011 - Flows for 2006 to 2014

900,000

800,000 Frozen to channel bottom. Data starts on first day the transducer comes back online (April 28,2008) 700,000

600,000 /day) 3

500,000

400,000

Daily Discharge (mDaily 300,000

200,000

100,000

0 Figure 12 - North Granny Creek Water Level Station Data (2007-2014)

89

87

85

83 Elevation (masl)

81

79

77

75

NGC-1US NGC-2ML NGC-3Ds Figure 13 - South Granny Creek Water Level Station Data (2007-2014)

105

100

95 Elevation (masl) 90

85

80

75

SGC-1US SGC-2ML SGC-3Ds 290000 294000 298000 302000 306000 310000 314000 318000

S-7 U+ U+ ² S-1

S-8-1 5860000 U+ Attawapiskat River 5860000

S-8-2 ?! U+ S-2(DAS-1) NGC Discharge Point U+ Nayshkootayaow River Discharge Point

Victor Mine 5856000 5856000

SGC Discharge Point LEGEND ?! General Flow Direction ?! North and South Granny Creek Discharge Points U+ Muskeg Monitoring Station Cluster Granny Creek Supplementation Pipeline Property Line Nayshkootayaow River Supplementation Pipeline

5852000 Watercourse 5852000 Nayshkootayaow River Granny Creek Watershed Boundary

PIT/QUARRY Pit Extent South Quarry Central Quarry

Satellite Imagery: Mine Site: Pleiades Sept 7, 2014; Surrounding Area: GeoEye-1 Sept 20, 2012

S-9-2 S-9-1 5848000 U+ U+ 5848000 VICTOR DIAMOND MINE

Nayshkootayaow River and Granny Creek Flow Supplementation Systems

SCALE: 1:75,000 DATE: June 2015 (NAD83 UTM Zone17N) 0 1 2 4 6 8 o Kilometers PROJECT N : TC140504 FIGURE: 14

Path: P:\2014\Projects\TC140504_De_Beers_Victor_Mine_2014\09_GIS\FUPA_Report_2014\MXD\Water_Supplementation_Plan_GrannyCreek_2.mxd Figure 15 - Nayshkootayaow River Flow Station 04FC010 - Flows for 2006 - 2014 25,000,000

20,000,000 /day)

3 15,000,000

10,000,000 Daily Discharge (mDaily

5,000,000

0 Figure 16 - Prorated Attawapiskat River Flows Calculated for the Victor Site (prorated from Station 04FC001, Attawapiskat River Below Muketei River)

300,000,000

250,000,000

200,000,000 /day) 3

150,000,000 Flows (m Flows

100,000,000

50,000,000

0 302000 302500 303000 303500 304000 304500 305000 305500

Flow Supplementation Discharge !( NGC-REF-1 Easting: 303603 ?! Northing: 5858554 !( !( NGC-REF-2 5858500 NGC-REF-3 !( NGC-REF-4 !( NGC-REF-5

No rth G r a

n

n

y

C

r

e

e k 5858000 PKC Discharge Easting: 304605 Northing: 5857793

?! NGC-EXP-4 !( !( !( !( AIRSTRIP NGC-EXP-1 NGC-EXP-2 !( NGC-EXP-3 Discharge Drainage Way NGC-EXP-5

5857500 E

From Fine PKC Facility

MINE ROCK Water Quality and Aquatic STOCKPILE Toxicity Sampling Station Easting: 302991 Northing: 5856880 5857000

FINE PKC FACILITY CELL 1 ?! CENTRAL QUARRY/ POLISHING

DocumentPath: P:\2014\Projects\TC140504_De_Beers_Victor_Mine_2014\09_GIS\FUPA_Report_2014\MXD\NGC_Sample_Locations_2.mxd POND NOTES: LEGEND Sample ID Zone Easting Northing - Imagery current as of NGC-REF-1 17 303605 5858569 September 7, 2014 Processed Kimberlite Containment (PKC) Discharge Drainage Way (Pleiades satellite plateform) ?! Flow Supplementation Discharge NGC-REF-2 17 303624 5858518 NGC-REF-3 17 303664 5858506 Processed Kimberlite Containment (PKC) Discharge Watercourse ?! NGC-REF-4 17 303716 5858430 VICTOR DIAMOND MINE Water Quality and Aquatic Toxicity Sampling Station NGC-REF-5 17 303822 5858399 ?! NGC-EXP-1 17 34697 5857745 North Granny Creek Exposure Area and Reference Area !( NGC-EXP Replicate Sample Station NGC-EXP-2 17 34745 5857716 NGC-EXP-3 17 34835 5857724 Sampling Stations !( NGC-REF Replicate Sample Station NGC-EXP-4 17 34879 5857740 Datum: NAD83 o NGC-EXP-5 17 34905 5857653 Projection: UTM Zone 17N PROJECT N : TC140412 FIGURE: 17 0 100 200 400 600 800 1,000 SCALE: 1:10,000 DATE: June 2015 Metres / Figure 18 Total Mercury Body Burden Data General Additive Model for Pearl Dace Granny Creeks and Tributary 5A Hg (mg/kg) Hg (mg/kg) Hg (mg/kg) Figure 19 Total Mercury Body Burden Data General Additive Model For Trout Perch - Nayshkootayaow River Hg (mg/kg) 288000 292000 296000 300000 304000 308000 312000 316000 320000 324000 5868000

ATT-US 5864000 ATT-REF2 >! NAY ATT-NF At taw N apis ort kat River h G ra nn y C ATT-FF r 5860000 k ive . yaow R >! NGC ota NAY hko >! Nays >! NAY-DS6 >! Victor Mine 5856000 k. C South Grann y >!>! NAY-US3 SGC 5852000

Sampling Areas Overview

nument wapiskat R Mo C h Atta iver a nnel Monume nt C h a n Attawapiskat MC n Attawapiskat e l 5848000

0 5 10 20 30 40 50 0 1 2 3 Km Km

T r ib u t LEGEND a r y 5844000 >! Drainage Inflow Point 5 A >! Flow Supplementation Discharge VICTOR DIAMOND MINE >! Leachate Discharge >! Processed Kimberlite Containment Discharge Fish Sampling Areas 2007 - 2014 >! Well Field Dewatering Discharge ² ST-5A Fish Sampling Area Datum: NAD83 o Projection: UTM Zone 17N PROJECT N : TC140504 5840000 Overlapping Fish Sampling Area: FIGURE: 20 Imagery: Mine Site - Pleides Sept 7, 2014 0 1 2 3 4 5 NAY & NAY-DS6 Path: P:\2014\Projects\TC140504_De_Beers_Victor_Mine_2014\09_GIS\FUPA_Report_2014\MXD\Fish_Sampling_Mercury_3.mxd Surrounding Area - GeoEye 1, Sept 20, 2012 Km SCALE: 1:155,000 DATE: June 2015 Figure 21 Least Square Plots of Total Mercury Body Burden Data For Trout Perch - Attawapiskat River

ATT-FF 0.4 ATT-NF ATT-US 0.3

0.2

0.1

0 Total Hg Hg for adjusted (mg/kg) total length Total 2009 2014 Year Figure 22 Total Mercury Body Burden Data General Additive Model For Trout Perch - Attawapiskat River Hg (mg/kg) Hg (mg/kg) Hg (mg/kg) FIGURE 23 COMPARISON OF TOTAL MERCURY IN YOY TROUT PERCH - ATTAWAPISKAT RIVER

Comparison of total Hg levels (mg/kg) for YOY Trout Perch in the Attawapiskat River from 2008 to 2014. Age class was determined by otolith aging structures in 2001, 2013 and 2014, and length frequency distributions from 2008-2010 and 2012. Each box shows the first quartile, median and third quartile. Whiskers show minimum and maximum values. Black dots represent outliers. Y-axis is log transformed. FIGURE 24 COMPARISON OF TOTAL MERCURY IN AGE 1+ TROUT PERCH - ATTAWAPISKAT RIVER

Comparison of total Hg levels (mg/kg) for age 1+ Trout Perch in the Attawapiskat River from 2008 to 2014. Age class was determined by otolith aging structures in 2001, 2013 and 2014, and length frequency distributions from 2008-2010 and 2012. Each box shows the first quartile, median, and third quartile. Whiskers show minimum and maximum values. Black dots represent outliers. 300000 302000 304000 306000 308000 310000 312000

A@ MS-8-D HCI-05-2L A@ HCI-05-2U A@ HCI-03-12 MS-8-1 BR I Attawapiskat River

A@ MS-8-1 BR D A@ 5860000 MS-8-4 CL + WBR A@A@ MS-8-F A@ V-05-434 A@ MS-8-1 CL + WBR

MS-8-3 CL + WBR A@ ! ! ! ! ! ! ! ! ! ! ! MS-8-R A@ MS-8-2 ! A@ A@A@ CL + WBR A@ NGC Well MS-V-1-CL ! South Winter Road MS-V-1-D MS-8-2 U! NGC-1US A@ V-03-334E A@ A@ ! BR D MS-8-H A@ N NQ-500NW o HCI-05-1a ! rt A@ h SS-5 ! A@ NQ-165NW G r a !R ! n A@ HCI-05-1c DAS-1 @ ny A@ A Muskeg / Overburden NQ-165E A@ A@ C MS-2-R (MS-2 BR) r HCI-03-1 A@ ! e 5858000 Stockpile NQ-500E ek ! Airstrip U! NGC-2ML ! MS-2-CL ! + WBR A@ PZ-1-09 SC A@ PZ-1-09 MC A@ West Winter Road A@ CQ-N1b ! MS-2D PZ-1-09 DC SS-8 Transect HCI-05-13aL PZ-1-09 PT !R ! HCI-05-13bU NGC-3DS ! VDW-CH-H !R U! HCI-05-12aM A@ VDW-2 !R !R A@ CQ-250N !R !R!R ! HCI-05-12aL A@CQ-165N A@ SS-1 !R !R ! HCI-05-12aU CQ-100N HCI-05-19 SS-2 ! < ! HCI-05-17 ! A! NG-001 A ! HCI-05-18 A@&< VDW-17 !R CQ-SE-1b !R &< !A@ < ! @ AA@ !

A < ! CQ-SE-1a HCI-05-16U A@ HCI-05-15 V-09-559H SGC-3DS HCI-05-11 OPW-1L SG-001 CQ-165SE CQ-100SE U! ! A@ A@ VDW-7C !VDW-25 04FC011 A@ V-03-300E VDW-11 A!A A A! VDW-14 A@ HCI-05-14 ! HCI-03-2 HCI-05-16L A@ PZ-3-09 SC CQ-250SE A@ A@ VDW-CH-A &< ! VDW-15 ! ! A PZ-3-09 DC PZ-3-09 PT ! A@ ! A ! A &< Plant A VDW-21 VDW-3A VDW-CH-E In-Pit A! PZ-3-09 MC ! DW-1 VDW-8A! (NIPW-1.8) VDW-6 CQ-SE-2b &< VDW-18 ! VDW-CH-B &

SS-7A < ! HCI-03-7 SGC-1US HCI-03-10 A@ HCI-03-9 !R 04FC010 South Granny Creek HCI-03-11 5854000

MS-V-3-D MS-V-3-CL A@ A@ X-07-014C

MS-V-3-R A@ P:\2014\Projects\TC140504_De_Beers_Victor_Mine_2014\09_GIS\FUPA_Report_2014\MXD\Well_Locations_Local_Scale_2.mxd LEGEND NOTES: A@ Existing Winter Road Pit Extent Selected Well Locations Monitoring Stations A@ Well Type / Description < ! !! 115 kV Transmission Line South Quarry Flow Monitoring Station A@ Bedrock Monitoring Well Granny Creek Pipeline Central Quarry / Polishing Pond U! Surface water Monitoring Station VICTOR DIAMOND MINE A@ Clay/Peat Piezometer Nayshkootayaow River Pipeline Watercourse !R Subsidence Monitoring Station A@ Clay/Peat/Bedrock Piezometer Mine Feature Attawapiskat River Infrastructure and Monitoring ! Pumping Wells Stockpile Areas Granny Creek Watershed A Locations Near the PIt &< Other Well

Datum: NAD83 o Projection: UTM Zone17N PROJECT N : TC140504 FIGURE: 25

0 0.5 1 2 3 4 5 SCALE: 1:35,000 DATE: June 2015 Kilometres ² Figure 26: Groundwater Elevation in Pit Perimeter Monitoring Wells Figure 27: Groundwater Elevation at Muskeg Monitoring Site MS-8 275000 280000 285000 290000 295000 300000 305000 310000 315000 320000 325000 330000 335000 340000 5870000 5870000

MS-7H MS-13D Cluster MS-13 Cluster MS-1 MS-13R 5865000 Cluster MS-7 5865000 MS-13 BR MS-1F MS-1R MS-1D MS-7R MS-7-CL & WBR MS-1H MS-13F MS-7D MS-1-CL & WBR MS-13CL Cluster MS-8-1 MS-1-BR MS-7F MS-8-D MS-7 BR MS-8-1 BR MS-13H MS-8-F MS-8-4 CL & WBR MS-8-3 CL & WBR MS-8-1 CL & WBR

5860000 DAS-1 (MS-2 BR) 5860000 MS-8-R MS-V-1-CLMS-V-1-D MS-2F MS-2-R Cluster MS-2 MS-8-2 CL & WBR MS-8-H MS-2D MS-8-2 BR Open Pit MS-2-CL & WBR Cluster MS-8-2 MS-V-2-CL MS-V-2-D MS-V-2-R 5855000 5855000 MS-V-3-CL MS-V-3-D MS-V-3-R

Cluster MS-9-1 Cluster MS-9-2

5850000 MS-9-1F 5850000 MS-9-1R MS-9-2D MS-9-2-CL & WBR Cluster MS-15 MS-9(1)-BR MS-15D MS-9(2)-BR MS-9-2R MS-9-1D MS-15F MS-15CL MS-9-2F MS-9-1-CL & WBR MS-9-1H MS-9-2H MS-15H MS-15 BR 5845000 5845000 MS-15R 5840000 5840000

LEGEND 2006 IKONOS Satellite Image Coverage Boundary

5835000 Muskeg Monitoring Stations ² VICTOR DIAMOND MINE 5835000 Bedrock Monitoring Well Muskeg Monitoring Cluster Locations Clay/Peat/Bedrock Piezometer and 2006 IKONOS Clay/Peat Piezometer Satellite Image Coverage 01 2 4 6 8 o *Imagery current as of 2006 PROJECT N : TC140504 FIGURE: 28 (IKONOS satellite platform) Kilometres

5830000 SCALE: 1:175,000 DATE: June 2015 5830000

Path: P:\2014\Projects\TC140504_De_Beers_Victor_Mine_2014\09_GIS\FUPA_Report_2014\MXD\muskeg_monitoring_cluster_locations_2.mxd 275000 280000 285000 290000 295000 300000 305000 310000 315000 320000 325000 330000 335000 340000 5870000 5870000

MS-7H MS-13D Cluster MS-13

MS-13R Cluster MS-1 5865000 5865000 MS-13 BR Cluster MS-7 MS-1F MS-1R MS-1D MS-7R MS-7-CL & WBR MS-1H MS-13F MS-7D MS-1-CL & WBR MS-13CL MS-1-BR MS-7F Cluster MS-8-1 MS-8-D MS-7 BR MS-8-1 BR MS-13H MS-8-F MS-8-4 CL & WBR MS-8-3 CL & WBR MS-8-1 CL & WBR

5860000 DAS-1 (MS-2 BR) 5860000 MS-8-R MS-V-1-CLMS-V-1-D MS-2F MS-2-R MS-8-H MS-8-2 CL & WBR MS-2D Cluster MS-2 MS-8-2 BR Open Pit MS-2-CL & WBR

Cluster MS-8-2 MS-V-2-CL MS-V-2-D MS-V-2-R 5855000 5855000 MS-V-3-CL MS-V-3-D MS-V-3-R

Cluster MS-9-1

5850000 MS-9-1F Cluster MS-9-2 5850000 MS-9-1R MS-9-2D MS-9-2-CL & WBR MS-9(1)-BR MS-9(2)-BR MS-15D Cluster MS-15 MS-9-2R MS-9-1D MS-15F MS-15CL MS-9-2F MS-9-1-CL & WBR MS-9-1H MS-9-2H MS-15H MS-15 BR 5845000 5845000 MS-15R 5840000 5840000

LEGEND 2006 IKONOS Satellite Image Coverage Boundary Muskeg Monitoring Stations ²

5835000 Bedrock Monitoring Well VICTOR DIAMOND MINE 5835000 Clay/Peat/Bedrock Piezometer 2014 Pleiades Satellite Imagery Clay/Peat Piezometer Coverage and Muskeg *Mine site imagery current as of September 7, 2014 Monitoring Locations (Pleiades satellite platform) 01 2 4 6 8 o Area surrounding site site current as of September 20, 2012 PROJECT N : TC140504 FIGURE: 29 (GeoEye-1 satellite platform) Kilometres

5830000 SCALE: 1:175,000 DATE: June 2015 5830000 Path: P:\2014\Projects\TC140504_De_Beers_Victor_Mine_2014\09_GIS\FUPA_Report_2014\MXD\Muskeg Overview_MuskegMonitoringStations_2.mxd !( 296000 297000 298000 299000 300000 301000 302000 303000 304000 5865000 5864000

Attawapiskat River

Unnamed Creek

MS-7 5863000

MS-7R MS-7D !( MS-7-CL & WBR !(

MS-7F !( 2 MS-7 BR

!( 5862000

4 5861000 P:\2014\Projects\TC140504_De_Beers_Victor_Mine_2014\09_GIS\FUPA_Report_2014\MXD\Site_7_4.mxd NOTES: LEGEND - Imagery in bottom of the map Label Key current as of September 7, 2014 !( Bedrock Monitoring Well (Pleides satellite platform) MS-7 F D - Domed Bog - Imagery in top of the map current !( Clay/Peat/Bedrock Piezometer as September 20, 2012 F - Flat Bog (GeoEye-1 satellite platform) !( Clay/Peat Piezometer H - Horizontal Fen VICTOR DIAMOND MINE Drawdown in Upper Bedrock Aquifer Unit R - Ribbed Fen (2 m or 10 m Contour Interval) BR - Bedrock Typical Muskeg Monitoring Program Large River Cluster Arrangement (MS-7)

Datum: NAD83 o Projection: UTM Zone17N PROJECT N : TC140504 FIGURE: 30

0 0.5 1 2 3 4 5 SCALE: 1:20,000 DATE: June 2015 Kilometres ² 300000 301000 302000 303000 304000 305000 306000 307000 308000

Attawapiskat River 5861000 2

4 MS-8-D !(

MS-8-1 BR 5860000 MS-8-F !( MS-8-4 CL & WBR !(!( 10

!( MS-8-1 CL & WBR

MS-8-3 CL & WBR MS-8 !( 5859000 20

MS-8-2 CL & WBR !( MS-8-R !(

!( !( MS-8-H MS-8-2 BR

MS-2-R !( 5858000

North Granny Creek P:\2014\Projects\TC140504_De_Beers_Victor_Mine_2014\09_GIS\FUPA_Report_2014\MXD\Site_2_2.mxd NOTES: LEGEND - Imagery current as of Label Key !( Bedrock Monitoring Well September 7, 2014 (Pleides satellite platform) !( Clay/Peat/Bedrock Piezometer MS-7 F D - Domed Bog F - Flat Bog !( Clay/Peat Piezometer H - Horizontal Fen VICTOR DIAMOND MINE Drawdown in Upper Bedrock Aquifer Unit R - Ribbed Fen (2 m or 10 m Contour Interval) BR - Bedrock Large River Muskeg Monitoring at MS-8

Datum: NAD83 o Projection: UTM Zone17N PROJECT N : TC140504 FIGURE: 31

0 0.5 1 2 3 4 5 SCALE: 1:20,000 DATE: June 2015 Kilometres ² .!

.!

85°0'0"W 84°0'0"W 83°0'0"W 82°0'0"W 22 21 20 19 18 James 17 Bay 16 15 14 13 53°0'0"N Attawapiskat iver t R 12 iska .! wap Atta 11 10 9 8 7 6 5 4 3 2 52°30'0"N 1 Missisa Lake Path: P:\2014\Projects\TC140504_De_Beers_Victor_Mine_2014\09_GIS\FUPA_Report_2014\MXD\Flight_Line_Transect.mxd

LEGEND .! Community .! Victor Diamond Mine VICTOR DIAMOND MINE Flight Lines (Labelled with ID at east end) .! Aerial Survey Flight Line Transects

SCALE: 1:600,000 0 15 30 60 90 120 150 DATE: June 2015 PROJECT No: TC140504 FIGURE: 32 Kilometres Datum: NAD83 ² 85°0'0"W 84°0'0"W 83°0'0"W 82°0'0"W

James Bay

Attawapiskat 53°0'0"N 52°30'0"N Path: P:\2014\Projects\TC140504_De_Beers_Victor_Mine_2014\09_GIS\FUPA_Report_2014\MXD\Caribou_Density_Avg_2005_to_2014.mxd

Missisa Lake

NOTES: Average General Caribou Density - Relative observation density values LEGEND within the aerial survey study area were classified into five ordinal Low categories based on the Jenks optimization/natural breaks Victor Diamond Mine classification technique Medium Low - There was no weighting applied VICTOR DIAMOND MINE to survey points for track sightings H! Community or animal sightings. Medium Average of all Aerial Survey Flight Lines (Labeled with ID at east end) Density Surfaces of Caribou Sightings and Medium High Tracks (December 2005 - March 2014)

Datum: NAD83 o High Projection: UTM Zone 17N PROJECT N : TC140504 FIGURE: 33

0 12.5 25 50 75 100 125 SCALE: 1:600,000 DATE: June 2015 Kilometres ² 85°0'0"W 84°0'0"W 83°0'0"W 82°0'0"W

James Bay

Attawapiskat 53°0'0"N 52°30'0"N Path: P:\2014\Projects\TC140504_De_Beers_Victor_Mine_2014\09_GIS\FUPA_Report_2014\MXD\Moose_Density_Avg_2005_to_2014.mxd

Missisa Lake

NOTES: Average General Moose Density - Relative observation density values LEGEND within the aerial survey study area were classified into five ordinal Low categories based on the Jenks optimization/natural breaks Victor Diamond Mine classification technique Medium Low - There was no weighting applied VICTOR DIAMOND MINE H! to survey points for track sightings Community Medium or animal sightings. Average of all Aerial Survey Flight Lines (Labeled with ID at east end) Density Surfaces of Moose Sightings and Medium High Tracks (December 2005 - March 2014) High Datum: NAD83 o Projection: UTM Zone 17N PROJECT N : TC140504 FIGURE: 34

0 12.5 25 50 75 100 125 SCALE: 1:600,000 DATE: June 2015 Kilometres ² 92°0'0"W 88°0'0"W 84°0'0"W 80°0'0"W

Fort Severn s e Ha y

ods

G 56°0'0"N

Winisk

Polar Bear Provinical Park 54°0'0"N

S n ever James Bay

apiskat tt a w A Akimiski Island Attawapiskat

Fort Albany in O t os kw ny ba

l 52°0'0"N P:\2014\Projects\TC140504_De_Beers_Victor_Mine_2014\09_GIS\FUPA_Report_2014\MXD\Calving_Areas_and_PP_CollarSet_Summary_Map_1.mxd A ba Al ny LEGEND Victor Mine

!( Combined Calving Areas, based on 70% kernel contours for all collared caribou (Fourth set of collars: 2013 - Present) VICTOR DIAMOND MINE !( Combined Calving Areas, based on 70% kernel contours for all collared caribou (Third set of collars: 2010 - 2013) Caribou Calving Areas Combined and !( Combined Calving Areas, based on 70% kernel contours for all collared caribou (Second set of collars: 2007 - 2010) Probable Parturition Locations !( Combined Calving Areas, based on 70% kernel contours for all collared caribou (First set of collars: 2004 - 2007) for All Sets of Collars (2004 - 2014)

Probable Parturition Locations, based on the minimum distance travelled over 3 successive days in May and June SCALE: 1:3,400,000 DATE: June 2015 0 75 150 300 450 PROJECT No: TC140504 FIGURE: 35 Kilometres Datum: NAD83 ² 96°0'0"W 92°0'0"W 88°0'0"W 84°0'0"W 80°0'0"W

Thompson

MANITOBA

Fort Severn s e y H a

Gods 56°0'0"N

Winisk

Polar Bear Provinical Park

Cobham 54°0'0"N

S rn e ve James Bay

apiskat a w Att Akimiski Island Attawapiskat

Fort Albany

in O to sk w ny lba

A 52°0'0"N Alban Red Lake y

P:\2014\Projects\TC140504_De_Beers_Victor_Mine_2014\09_GIS\FUPA_Report_2014\MXD\Wintering_Areas_CollarSet_Summary_Map_2.mxd Moosonee peg nglish ni E in W LEGEND Victor Mine

Combined Overwintering Areas, based on 70% kernel contours for all collared caribou (First set of collars: 2004 - 2007) VICTOR DIAMOND MINE Combined Overwintering Areas, based on 70% kernel contours for all collared caribou (Second set of collars: 2007 - 2010)

Combined Overwintering Areas, based on 70% kernel contours for all collared caribou (Third set of collars: 2010 - 2013) Caribou Overwintering Areas for All Sets of Collars (2004 - 2015) Combined Overwintering Areas, based on 70% kernel contours for all collared caribou (Fourth set of collars: 2013 - 2015) SCALE: 1:4,400,000 DATE: June 2015 0 100 200 400 600 PROJECT No: TC140504 FIGURE: 36 Kilometres Datum: NAD83 ² 85°0'0"W 84°0'0"W 83°0'0"W 82°0'0"W

James Bay

Attawapiskat 53°0'0"N 52°30'0"N Path: P:\2014\Projects\TC140504_De_Beers_Victor_Mine_2014\09_GIS\FUPA_Report_2014\MXD\Wolf_Density_Avg_2005_to_2014.mxd

Missisa Lake

NOTES: Average General Wolf Density - Relative observation density values LEGEND within the aerial survey study area were classified into five ordinal Low categories based on the Jenks Victor Diamond Mine optimization/natural breaks Medium Low classification technique - There was no weighting applied VICTOR DIAMOND MINE !H to survey points for track sightings Community Medium or animal sightings. Average of all Aerial Survey Flight Lines (Labeled with ID at east end) Medium High Density Surfaces of Wolf Sightings and Tracks (December 2005 - March 2014)

High Datum: NAD83 o Projection: UTM Zone 17N PROJECT N : TC140504 FIGURE: 37

0 12.5 25 50 75 100 125 SCALE: 1:600,000 DATE: June 2015 Kilometres ² 96°0'0"W 92°0'0"W 88°0'0"W 84°0'0"W 80°0'0"W

Thompson

MANITOBA

Fort Severn s e y H a

Gods 56°0'0"N

Winisk

Polar Bear Provinical Park

Cobham 54°0'0"N

S rn e ve James Bay

apiskat a w Att Akimiski Island Attawapiskat

Fort Albany

in O to sk w ny lba

A 52°0'0"N Alban Red Lake y

P:\2014\Projects\TC140504_De_Beers_Victor_Mine_2014\09_GIS\FUPA_Report_2014\MXD\HomeRange_Areas_CollarSet_Summary_Map_1.mxd Moosonee peg nglish ni E in W LEGEND Victor Mine

Combined Home Range Areas, based on 90% kernel contours for all collared caribou (First set of collars: 2004 - 2007) VICTOR DIAMOND MINE Combined Home Range Areas, based on 90% kernel contours for all collared caribou (Second set of collars: 2007 - 2010)

Combined Home Range Areas, based on 90% kernel contours for all collared caribou (Third set of collars: 2010 - 2013) Caribou Overall Home Range Areas

Combined Home Range Areas, based on 90% kernel contours for all collared caribou (Fourth set of collars: 2013 - end of April 2015) SCALE: 1:4,400,000 DATE: June 2015 0 100 200 400 600 PROJECT No: TC140504 FIGURE: 38 Kilometres Datum: NAD83 ² Victor Diamond Mine Follow Up Program Agreement Eighth Annual Report – 2014 Reporting Period September 2015 DRAFT

APPENDIX A

LIST OF ACRONYMS

TC140504 Victor Diamond Mine Follow Up Program Agreement Eight Annual Report – 2014 Reporting Period September 2015 DRAFT

LIST OF ACRONYMS

AMM Adaptive management measure AMS Adaptive management strategy ANCOVA Analysis of Covariance AttFN Attawapiskat First Nation BACI Before-After-Control-Impact BCI Bray-Curtis Index BOD5 5-day biological oxygen demand CEAA Canadian Environmental Assessment Act CEM Continuous emission monitoring CEMI Centre for Excellence in Mining Innovation CEQG Canadian Environmental Quality Guidelines CES Critical Effect Size COC Contaminants of Concern C. of A. Certificate of Approval CPUE Catch per unit effort CQ Central Quarry CSR Comprehensive Study Report dBA A-weighted decibels DFO Department of Fisheries and Oceans EA Environmental Assessment EC Environment Canada EEM Environmental Effluent Monitoring EMC Environmental Management Committee FAFN Fort Albany First Nation FN First Nation (or First Nations) FUPA Follow up Program Agreement GPS Global positioning system HCl Hydrogen chloride IBA Impact Benefit Agreement ICP Inductively coupled plasma JBET James Bay Employment and Training KFN Kashechewan First Nation LOA Letter of Authorization MBR Membrane bioreactor MCFN Moose Cree First Nation MCP Minimum convex polygon MERC Mushkegowuk Environmental Research Centre MMER Metal Mining Effluent Regulations MNDM Ministry of Northern Development and Mines MNRF Ministry of Natural Resources and Forestry MOECC Ministry of the Environment and Climate Change NEF Northeast Fen NRCan Natural Resources Canada NSERC Natural Sciences and Engineering Research Council NWF Northwest Fen PC Processed kimberlite PKC Processed kimberlite containment POI Point-of-impingement PTTW Permit to Take Water PWQO Provincial Water Quality Objectives ROW Right-of-way

Victor Diamond Mine Follow Up Program Agreement Eight Annual Report – 2014 Reporting Period September 2015 DRAFT

SAC Spills Action Centre SEF Southeast Fen SIMC Senior Implementation Management Committee SQ South Quarry STP Sewage treatment plant SWF Southwest Fen TC Transport Canada TEK Traditional Ecological Knowledge THC Total hydrocarbons TID Total Invertebrate Density TSP Total suspended particulate TSS Total suspended solids TTN Taykwa Tagamou Nation US EPA United States Environmental Protection Agency VDM Victor Diamond Mine VDW Victor dewatering well VTS Victor Tyrrell Sea WSC Water Survey Canada WHMIS Workplace Hazardous Materials Information System YOY Young-of-year ZOI Zone of Influence