A done deal: De Beers now owns Chidliak diamond project near Iqaluit

Peregrine Diamonds discovered these diamonds in 2013 at its Chidliak property between Iqaluit and Kimmirut. On July 19, the company announced that De Beers Canada plans to acquire Peregrine for $107 million. (FILE PHOTO)

The legendary De Beers Group has completed its purchase of Peregrine Diamonds Ltd., a deal that gives them control of the promising Chidliak site near Iqaluit.

De Beers paid Peregrine shareholders 24 cents a share, bringing the total purchase price to $107 million, De Beers said on Sept. 13 in a news release.

Based in London, England, and controlled for many years by the Oppenheimer family, De Beers is now owned by Anglo American plc, which holds 85 per cent of De Beers’ shares. The other 15 per cent of the company is owned by the government of Botswana.

In Canada, De Beers operates the Victor mine in northern Ontario and the Gahcho Kué mine in the Northwest Territories, through a joint venture with Mountain Province Diamonds.

They also own diamond mines in Botswana, Namibia and South Africa.

By acquiring Peregrine, De Beers acquires the 317-hectare Chidliak project, located about 120 kilometres northeast of Iqaluit.

In 2016, Peregrine estimated that the three main kimberlite pipes on the property contain about 22 million carats of diamonds.

They also estimated that a mining operation at Chidliak could create between 275 and 325 jobs, with a lifespan estimated at about 10 years.

“We are very excited about the Chidliak cluster, an asset with very strong development potential,” the CEO of De Beers Canada, Kim Truter, said in a news release.

“Having built and operated three diamond mines in Arctic-like conditions in the past 15 years, our expertise in bringing projects of this nature to fruition is unparalleled,” Truter said.