The Gahcho Kué project is located 90 km southeast of the Snap Lake Mine and approximately 300 km northeast of Yellowknife in the Northwest Territories. Gahcho Kué is a joint venture between De Beers Canada Inc. (51%) and Mountain Province Diamonds Inc. (49%).

• Eight diamondiferous kimberlite occurrences comprising pipes, dykes and sills have been discovered on the Gahcho Kué property, formerly known as Kennady Lake.
• Two conceptual project studies, based on previous exploration evaluation drilling programs carried out in 1999 and in 2001 have been completed. Thee studies indicated that there was potential to mine 3 kimberlite deposits, known as the 5034, Hearne and Tuzo pipes.
• A detailed geotechnical and environmental baseline survey study program was carried out over 2004-2005. The study, a $25 million dollar investment in the project included investigations of pit geotechnical, geo-hydrology, civil engineering and ore processing characteristics around the three kimberlite pipes and surrounding country rock, to optimize mine design. Geological logging and petrographic investigations were continued on kimberlite core samples recovered. This information was used to update resource models developed during the previous exploration evaluation programs.
• Completed in mid 2005, the study report confirmed that there is the potential to mine three kimberlite pipes; the 5034, Hearne and Tuzo pipes. The delineated resource is currently 31 million tonnes. The 2005 study indicated that 30 million tonnes could be mined out at a rate of 2.1 million tonnes of ore per year over 15 years of mining.
• In July 2005 the De Beers Board of Directors approved funding in the amount of C$38.5 million to further progress the project through an Advanced Evaluation and Permitting Program, which began in November 2005 and took place in 2006.
• In November 2005, De Beers Canada Inc. applied to the Mackenzie Valley Land and Water Board for a Class A Water License and a Type A Land Use Permit. These are the permits required to construct and operate the Gahcho Kué mine. For more detailed information on the permitting progress, see the permitting update page.
• The 2006 Advanced Evaluation program was successful, although the large diameter drilling failed to penetrate difficult overburden conditions and recover kimberlite. The program delivered updated geology and geotechnical models for mine pit designs, but did not deliver new financial evaluation. During the 2006 a series of camp upgrades were implemented, including installation of a 28 person skid camp dormitory, an upgraded kitchen facility and a new bulk fuel farm, and in April 2007, the NWT Supreme Court upheld the MVEIRB’s decision.
• In the spring of 2007, the joint venture partners approved a land-based large diameter core drilling program at the 5034 North Lobe for the summer of 2007. The program involves drilling 5 to 7 holes over about 1,500 meters and recovering close to 60 tonnes of materials and about 100 carats of diamonds. This bulk sample will be used to confirm micro to macro relationships on the North Lobe. The 2007 summer program also includes geochemical analysis on the five holes for the 5034 to increase information about the continuity between the east and north lobe of 5034.
• In May 2009, Mountain Province Diamonds released an Updated Mineral Resource Estimate for Gahcho Kue. According to the updated estimate, 50.5 million carats are indicated and 10.3 million carats are inferred.
• In July 2009, the joint venture agreement was amended with Mountain Province Diamonds, replacing the agreement from 2002.
• In September 2009, the Gahcho Kué Project advanced to the Feasibility Study stage, conducted by JDS Energy and Mining. The study is expected to be complete in twelve months time.

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