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Dominion Diamond Mines ULC ( Dominion or the Company ) announced today that it has completed the previously announced sale of the Ekati Mine and associated assets to Arctic Canadian Diamond Company Ltd. ( Arctic ), a company formed and owned by funds and accounts managed by DDJ Capital Management, Brigade Capital Management, LP and Western Asset Management Company, LLC. The Alberta Court of Queen s Bench (the Court ) approved the sale pursuant to an order issued on December 11, 2020.
Arctic has acquired substantially all of Dominion s assets, excluding Dominion s interest in the joint venture agreement and liabilities relating to the Diavik Diamond Mine, in consideration for the assumption of various liabilities owing to Dominion s creditors, employees, suppliers and surety bond holders, including assuming US$70 million of Dominion s outstanding indebtedness under its existing revolving credit agreement and the reclamation obligations of the Ekati mine. In addition, Arcti
Sale of Ekati mine to Arctic Canadian Diamond closes February 4, 2021
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Dominion Diamond‘s sale of Canada’s first diamond mine, Ekati, to
Arctic Canadian Diamond Company has been completed. Full operations at the site, which had been placed on care and maintenance at the beginning of the pandemic last March, resumed on Jan. 20 after a 10-week restart that began in November.
A “full recall” of employees is expected to be complete by Feb. 25.
Arctic Canadian is owned by DDJ Capital Management, Brigade Capital Management, LP and Western Asset Management Company, LLC. In a sale that was approved in December, the company acquired the asset in return for assuming US$70 million of Dominion’s outstanding indebtedness under its existing revolving credit agreement, as well as the reclamation obligations for Ekati.