Hundreds of people laid off after open pit mining abruptly stops at N.W.T.’s Ekati diamond mine

Burgundy Diamond Mines says it has laid off several hundred employees and contractors and has temporarily stopped open pit mining at Point Lake — one of its two active operations at the Ekati Diamond Mine.

Ariella Calin, a communications manager for the company, said mining at the Point Lake kimberlite pipe had become “sub-economic” because diamond prices have reached record lows. And, Burgundy will continue to maintain the open pit so that operations can start again quickly if the economic situation gets better.

Ekati is one of the N.W.T.’s three diamond mines, which are all approaching closure, raising fears for how the N.W.T.’s economy will pivot once they close, and what it will mean for Indigenous governments, as the mines provide revenue and jobs for many communities.

All three mines reported millions of dollars in losses in 2024, with Ekati seeing a $97-million loss.