Talks over diamond mine proposal not expected to wrap up until June or July

Consultations between the provincial government and the James Smith Cree Nation on a proposed diamond mine east of Prince Albert are expected to take another two to three months to complete, Postmedia News has learned.

The talks, part of the government’s environmental approval process for Star Diamond Corp.’s mine project, were launched in February 2017. At the time, they were expected to cost $137,000 and take six months.

While the government is silent on an official timeline, Prince Albert Carlton MLA Joe Hargrave’s constituency office last month emailed a Star Diamond shareholder, indicating the talks are now expected to wrap up in June or July.

That will set the stage for Environment Minister Dustin Duncan to decide whether the project can proceed.

Environmental approval has long been a source of worry for some Star Diamond shareholders. The federal government approved the project in 2014, but the Saskatchewan government has taken more than seven years with the file.

While it’s important to get the environmental approval process right, shareholders are growing frustrated by how long the process has dragged on, said Paul Tindle, a North Vancouver-based investor with a “significant” stake in Star Diamond.

“There hasn’t been an explanation of why it’s taking so long,” said Tindle, adding he bought his first shares in 2001 and believes — as others do — that the proposed mine has multi-generational potential.

Ministry of Environment spokesman Darby Semeniuk said in an email that the initial consultations “provided valuable information that has required detailed analysis and discussion.” No additional funds have been allocated, he said.

Star Diamond — formerly Shore Gold Inc. — has been working to build a mine in the Fort à la Corne forest since the mid-1990s. The total cost of establishing the twin open pits and processing facility is now pegged at $1.4 billion, down from $1.9 billion.

The company expects the mine to create thousands of construction jobs and employ 500 people over its 38-year life.

James Smith Cree Nation Chief Wallace Burns could not be reached for comment on Wednesday.