Operations Stage. Mining Ready Summit Timmins Ontario October 25, 2011
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1 Operations Stage Mining Ready Summit Timmins Ontario October 25, 2011
2 De Beers Canada operations Only diamond company in Canada with two operating mines: (20 year life-of-mine) Snap Lake Gahcho Kué Project Location Average Production capacity Victor Mine Ontario 600,000 carats/year Snap Lake Mine NWT 1.5 million carats/year Gahcho Kué NWT Forecast of 4.5 million carats/year Working in Canada for 50 years Yellowknife (12 year life-of-mine) Victor Timmins Toronto
3 What is the Victor Mine? Open pit mine with 27.4Mt ore - Ore processing at 2.65Mt per annum - 6M carats Construction - $1.022 billion $4.2B GDP impact for Northern Ontario and $6.7B GDP for Ontario. 12 year Life of Mine with potential to add resources
4 Summary of Victor Mine to date Full production, full compliment of staff and mining to plan GOLF On-going drill program on key exploration targets TANGO TANGO EXT UNIFORM BRAVO CHARLIE All agreements and major permits in place VICTOR WHISKEY X-RAY DELTA YANKEE 44% of self-identified First Nation members in workforce ZULU X-RAY 01 ALPHA NORTH ALPHA New $1-million Training Facility open in Attawapiskat First Nation INDIA
5 Mining Stages Exploration (looking for potential targets) Discovery & Advanced Exploration (staking a claim, engagement with local community, drill program to determine value of discovery) Permitting & Agreements (environmental assessment process, formal community consultation, possible Impact Benefit Agreements) Construction (high intensity, short-term activity & employment) Operations (lower intensity, long-term activity & employment) Closure (dismantling of equipment, layoff of workforce) Reclamation (environmental rehabilitation according to permits)
6 Operations Stage Mine operation (also known as production ) is the phase in the mining cycle where mining and revenues begin. A mine is operating when earth and/or rock are being excavated from the ground and the processing plant is producing product. There are two types of mines: underground & open pit (surface mining) A mine operation has four main work areas: excavation areas, a processing plant, mine waste storage (tailings) and support services. The operation stage is normally the longest portion of a mine life which can last from a few years to decades.
7 Procurement Process We obtain competitive tenders from qualified bidders based on an invitation to tender package. Preference is provided to Communities of Interest as outlined in signed Impact Benefit Agreements. When the Tender is received a technical and commercial evaluation is made by the project team. Senior management recommendation is then made to De Beers based on the above evaluation. On receipt of De Beers approval a commitment is made to the selected Tender.
8 Service Contract Opportunities Camp catering / janitorial / waste management Winter road building and maintenance Transportation / freight service air, land, and water Supply of mining, plant, and surface operating supplies Process Plant/Mining/Site Maintenance / repair Security services Medical services Environmental Services Training Consultants Safety Consultants
9 Procurement Opportunities in Operations Pipe / Fittings Steel / Plate Conveyor Belting & V Belts Idlers / Rollers / Frames Flocculants & Lime & Glycol Ferro Silicon Crusher Bowls / Mantels Rubber Liners Diesel Fuel Lubricants & Filters Pumps and pump parts Services electrical / mechanical Fencing / screening Hand tools Promotional items Tires Electrical Supplies Electrical Motors / Repairs Welding Gases / Supplies Nuts, Bolts & Drill bits Safety Equipment / Supplies Cables / Slings Lumber Bearings / Seals Hydraulic Hose / Fittings Office Supplies Training Buildings & Furniture IT related equipment Equipment purchase / rental
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12 Links to additional information Mining Information Kit for Aboriginal Communities - Information Bulletins on Aboriginal Participation in Mining Our Community... Our Future: Mining and Aboriginal Communities Working Together A Checklist To Assist Mineral Companies Active in Areas Near Aboriginal Communities - Mining Industry Human Resource Portal -
13 Chi Meegwetch
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