Dominion To Acquire FipkeCo's Interests In Ekati Diamond Mine - Quick Facts

(RTTNews) - Dominion Diamond Corp. (DDC.TO, DDC) announced it has entered into an agreement with C. Fipke Holdings Ltd., or FipkeCo, to acquire FipkeCo's 10% participating interests in the Ekati Diamond Mine at a price equivalent to the price paid to BHP Billiton in 2013 for its interests.

The Ekati Mine property consists of the Core Zone, which includes the current operating mine and other permitted kimberlite pipes, as well as the Buffer Zone, an adjacent area hosting kimberlite pipes with both development and exploration potential. The company currently holds an 80% participating interest in the Core Zone, with FipkeCo holding a 10% participating interest and Dr. Stewart Blusson holding the remaining 10% participating interest. FipkeCo will sell its 10% interest in the Core Zone for US$50 million.

The company holds a 58.8% participating interest in the Buffer Zone, with FipkeCo holding a 10% participating interest and Archon Minerals Limited holding a 31.2% participating interest. FipkeCo will sell its 10% interest in the Buffer Zone for US$17 million.