For immediate release
March 23, 2007
MEDIA RELEASE
PROPOSED ONTARIO DIAMOND ROYALTY
Toronto - Friday March 23, 2007 - The future growth and sustainability of the mining industry
in Ontario will be best served by a tax regime which is applied equally across the mining
sector, is predictable, stable and non-discriminatory.
The diamond royalty as proposed in yesterday’s Ontario provincial budget has not
previously been covered in any dialogue between the industry and the Ontario Government.
We look forward to the opportunity to work with the Government on its proposed diamond
royalty to ensure that the economic development implications for future exploration and
mine development are clearly understood.
We are concerned about these apparently arbitrary changes to the tax structure so close to
the start of production at Victor. Once we have more information regarding how its proposed
diamond royalty will be implemented, we will be in a position to assess the impact on the
economics of the Victor diamond mine.
De Beers is currently investing one billion dollars in the construction of Ontario’s first
diamond mine. This investment will add approximately $7 billion dollars to the growth of the
Ontario economy. The mine is scheduled to start production in the first half of 2008. There
are currently 600 people employed on site in construction and when the mine is in
operations it will create approximately 400 new jobs in northern Ontario.
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| For further information contact: |
Linda Dorrington
Director, Public and Corporate Affairs
De Beers Canada Inc
Telephone: 416-645-1710 ext 2107
Mobile: 416-818-2254
Email: linda.dorrington@ca.debeersgroup.com
Tom Ormsby
Manager Public and Corporate Affairs
De Beers Canada Victor Project
Tel: 705-268-0988
Cell: 705- 266 5830
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