Dominion Diamond Corporation Reports Diavik Diamond Mine Third Calendar Quarter Production
Dominion Diamond Corp. (TSX:DDC, NYSE:DDC) (the “Company” or “Dominion”) reports Diavik Diamond Mine production results for the third calendar quarter of 2016:
Diavik Diamond Mine Production (100% basis)
| Q3 | Q2 2016 | Q1 2016 | Q4 2015 | Q3 2015 | Q2 2015 | Q1 2015 | Q4 2014 | ||||||||||
| Tonnes Processed (millions) | 0.58 | 0.54 | 0.56 | 0.46 | 0.48 | 0.56 | 0.48 | 0.51 | |||||||||
| Carats Recovered (millions) | 1.54 | 1.58 | 1.88 | 1.50 | 1.27 | 2.14 | 1.50 | 1.54 |
Processing volumes in the third calendar quarter of 2016 were 22% higher than in the same quarter of the prior year primarily due to higher ore availability, particularly from A-418 which experienced poor ground conditions in the third quarter of calendar 2015.
Diamonds recovered in the third calendar quarter of 2016 were also 22% higher than in the same quarter of the prior year reflecting higher processing volumes. Diamonds recovered in the third quarter of calendar 2015 included approximately 40,000 carats recovered from Coarse Ore Rejects (“COR”). Recovered grades were also higher than the same quarter of the prior year, but below plan in the quarter as a result of increased underground dilution as a result of granite sloughing from the walls of the open pit. The Diavik Diamond Mine team is in the process of assessing this dilution increase and the possible impact on the remaining calendar year production.
The development of the A-21 pipe continues to progress according to plan. During the quarter, the closure of the dike was completed before the end of the open water season.
Diavik Diamond Mine Production 40% basis
| For the three months ended September 30, 2016 | For the three months ended September 30, 2015 | ||||||||||||
| Pipe | Ore Processed (000s tonnes) | Carats (000s) | Grade (carats/tonne) | Ore Processed (000s tonnes) | Carats (000s) | Grade (carats/tonne) | |||||||
| A-154 South | 47 | 131 | 2.76 | 55 | 145 | 2.64 | |||||||
| A-154 North | 80 | 157 | 1.98 | 66 | 155 | 2.34 | |||||||
| A-418 | 106 | 330 | 3.11 | 68 | 167 | 2.44 | |||||||
| COR | - | - | - | 1 | 40 | - | |||||||
| Total | 233 | 618 | 2.65 (a) | 191 | 508 | 2.46(a) | |||||||
(a) Grade has been adjusted to exclude COR
| For the nine months ended September 30, 2016 | For the nine months ended September 30, 2015 | ||||||||||||
| Pipe | Ore Processed (000s tonnes) | Carats (000s) | Grade (carats/tonne) | Ore Processed (000s tonnes) | Carats (000s) | Grade (carats/tonne) | |||||||
| A-154 South | 154 | 436 | 2.84 | 155 | 559 | 3.61 | |||||||
| A-154 North | 214 | 470 | 2.19 | 206 | 441 | 2.14 | |||||||
| A-418 | 301 | 1,067 | 3.55 | 244 | 893 | 3.68 | |||||||
| COR | 1 | 30 | - | 2 | 69 | - | |||||||
| Total | 670 | 2,003 | 2.95(a) | 607 | 1,963 | 3.13(a) | |||||||
(a) Grade has been adjusted to exclude COR
About Dominion Diamond Corporation
Dominion Diamond Corporation is the world’s third largest producer of rough diamonds by value. Both of its production assets are located in the low political risk environment of the Northwest Territories in Canada where the Company also has its head office. The Company is well capitalized and has a strong balance sheet.
The Company operates the Ekati Diamond Mine and also owns 40% of the Diavik Diamond Mine. Between the two mining operations, diamonds are currently produced from a number of separate kimberlite pipes providing a diversity of diamond supply as well as reduced operational risk. It supplies premium rough diamond assortments to the global market through its sorting and selling operations in Canada, Belgium and India.
For more information, please visit www.ddcorp.ca
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Contact
Dominion Diamond Corp.
Ms. Kelley Stamm, 416-205-4380
Manager, Investor Relations
kstamm@ddcorp.ca