Dominion Diamond Corporation Announces Corporate Office Move to Calgary
November 07 2016 - 5:20AM
Business Wire
Dominion Diamond Corporation (TSX: DDC, NYSE: DDC) (“Dominion
Diamond” or the “Company”) announces that, as part of the measures
taken to reduce operating costs and support the long-term strength
of the Company, the Board of Directors and the Senior Leadership
Team have made the decision to relocate the Company’s corporate
office from Yellowknife, Northwest Territories to Calgary,
Alberta.
The move is projected to be completed by the middle of calendar
year 2017. The Company expects to realize savings of approximately
C$19 million annually.
Dominion Diamond remains committed to continuing its ongoing
operations at the Ekati mine without interruption, including the
development of the Jay Project.
The relocation of the office will impact approximately 100
employees based in the Northwest Territories. Most of the Company’s
workforce, including the majority of its northern Aboriginal
employees, will continue to be employed in the Northwest
Territories. In addition to its workforce at the Ekati mine site,
Dominion Diamond will maintain an office in Yellowknife for certain
key positions.
Brendan Bell, Chief Executive Officer, stated, “Although this
was not an easy decision, it is necessary to support the long-term
strength and viability of our operations. The Ekati mine is a
pillar of the NWT economy, and this cost reduction effort will
allow us to continue to provide northern employment opportunities
and benefits well into the future. I can assure our northern
partners that we remain committed to the people and communities of
the North and will continue to set industry standards for northern
and Aboriginal employment and sustainable development.”
Forward-Looking Information
Certain information included herein that is not current or
historical factual information, including information about the
estimated timeline to complete the relocation of the Company’s
corporate office and the expected annual cost savings to the
Company constitute forward-looking information or statements within
the meaning of applicable securities laws. Forward-looking
information is based on certain factors and assumptions including,
among other things, management’s assessment of the potential cost
savings to the Company and the estimated timeframe to complete the
relocation process. These assumptions may prove to be incorrect.
Forward-looking information is subject to certain factors,
including risks and uncertainties, which could cause actual results
to differ materially from what the Company currently expects. These
factors include, among other things, the risk of delays in
completing the relocation of the Company’s corporate office and the
risk of the Company failing to realize on the annual cost savings
as expected. Readers are cautioned not to place undue importance on
forward-looking information, which speaks only as of the date of
this disclosure, and should not rely upon this information as of
any other date. While the Company may elect to, it is under no
obligation and does not undertake to, update or revise any
forward-looking information, whether as a result of new
information, further events or otherwise at any particular time,
except as required by law. Additional information concerning
factors that may cause actual results to materially differ from
those in such forward-looking statements is contained in the
Company's filings with Canadian and United States securities
regulatory authorities and can be found at www.sedar.com and
www.sec.gov, respectively.
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. 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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version on businesswire.com: http://www.businesswire.com/news/home/20161107005607/en/
Dominion Diamond CorporationLaura Worsley-Brown, Senior Advisor,
External Relationslaura.worsley-brown@ddcorp.ca