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2013 sustainable development report

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Cover: Underground miner personal emergency devices charging in the Diavik Diamond Mine mine dry. To see the underground mine in action, visit the media/video library section of diavik.ca

ContentsIntroductionPresident’s message ................................................................. 02Sustainable development ........................................................ 03Rio Tinto .................................................................................... 04Dominion Diamond Corporation ........................................... 04Rio Tinto Diamonds ................................................................. 05Diavik’s northern commitments ............................................. 05Diavik at a glance ..................................................................... 06

Operational updateDiavik completes first year as all underground mine .......... 07PKC dam raise a multi-year project ........................................ 08A21 pipe feasibility study ongoing ........................................ 08Reserves updated ..................................................................... 09Exploration continues ............................................................. 09Winter road successful ............................................................ 09Proven and probable reserves ................................................. 09

Economic prosperitySocio-economic highlights ..................................................... 10Employment ............................................................................. 112013 operations employment ................................................ 11Employment by priority group ............................................... 11Employment history by ethnicity (individuals) .................... 11Employment history by residency (individuals) ................... 11Training ..................................................................................... 12Apprenticeship training by priority group ............................ 12Funding to Mine Training Society surpasses $2 million ..... 12Mining Industry Human Resources certifications ................ 12Underground miner certifications ......................................... 12Mineral processor certifications ............................................. 12Spending ................................................................................... 132013 operations spending ...................................................... 13Total cumulative spending ..................................................... 13Annual spending ...................................................................... 132013 spending by category and priority group .................... 13

Social well-beingNational recognition – a Canada’s top 100 employer .......... 14Donations.................................................................................. 14Copper recycling program benefits Lights On program ...... 15Yellowknife Community Foundation partnership ............... 15Stanton Foundation partnership ............................................ 16Lutsel K’e youth attend Actua science camp......................... 16Diavik receives Det’on Cho Prosperity Award ....................... 16Support for local community groups ..................................... 17

Health, safety, and environmentDiavik recertified to international standards ........................ 18Mine rescue team wins regional competition....................... 19Diavik wind farm delivers renewable energy ........................ 20Energy management strategy ................................................. 21Fuel consumption .................................................................... 22Fuel ............................................................................................ 22Environmental compliance ..................................................... 22Inspection and enforcement ................................................... 23Environmental management system ..................................... 23 Water usage .............................................................................. 24Water monitoring ..................................................................... 24Environmental Monitoring Advisory Board .......................... 24Wildlife monitoring ................................................................. 25Caribou monitoring ................................................................. 25Lichen survey ........................................................................... 25Closure planning ...................................................................... 25Verification activities ............................................................... 26Key performance indicators ................................................... 27Environmental monitoring programs .................................... 28

02

Proud of our legacy to the North

Introduction

At Diavik, our professional team operates our world-class diamond mine in one of the most challenging environments in the world, the subarctic tundra of Canada’s Northwest Territories.

Safety is our most important value, and ensuring everyone returns home to their families and loved ones safely is our priority. 2013 demonstrated again that we can operate safely while exceeding our production targets. This is important because no other metric matters if someone is seriously hurt while working for us.

As guests on this land we recognize our responsibility to operate sustainably and ensure local communities benefit from our operations. 2013 was a successful year for everyone at Diavik. By working together we safely exceeded our operational targets as a fully underground mine. Equally important are our efforts to social well-being and to ensuring we do all we can to protect the environment in which we operate and providing benefits to our local communities. Our health, safety, and environmental management systems and product quality are all certified to global standards.

Our community partnerships continue to generate employment and business benefits for local communities, many of which are Aboriginal. We also continue to invest locally through our community contribution program and scholarships.

We are proud of our ability to operate sustainably and to be a responsible operator, and we look forward to continuing to contribute positively to the North.

I invite you to learn more about the Diavik Diamond Mine through the various pages of this report.

Diavik has a bright future ahead, which will see us continue to deliver on our social, environmental, and economic commitments.

Marc CameronPresidentDiavik Diamond Mines (2012) Inc.

President’s message

03


Introduction

Sustainable development

At Rio Tinto, sustainable development is integrated into everything we do. Our operations give us the opportunity to share benefits with the communities, regions, and countries in which we work.

We bring together our operational, technical, and sustainable development expertise at the global level, and work in collaboration with our stakeholders to deliver substantial and lasting benefits at the local level.

In 2013, Diavik’s wind farm, Rio Tinto’s first, reduced the mine’s diesel use by 3.8 million litres.

Our responsible approach to mineral development ensures we gain and maintain our licence to operate. It means we provide confidence to our stakeholders and improve our access to the mineral resources, people, and capital we need.

It also gives us the opportunity to plan, implement, and deliver sustainable contributions to social well-being, environmental stewardship, and economic prosperity, within our strong governance systems.

By continually engaging with all our stakeholders, who include communities, governments, employees, customers, suppliers and investors, we turn opportunity into advantage. The relationships we build help us to solve business and technical challenges, and contribute to society’s transition to sustainable development.

04


Introduction

Rio Tinto Rio Tinto is a leading global mining and metals company. Its focus is on finding, mining, and processing the Earth’s mineral resources in order to maximize value for shareholders.

It has the people, capabilities, and resources to supply a world hungry for the metals and minerals that are used in everyday life, in diverse products – from mobile phones to cars.

Rio Tinto’s 66,000 people work in more than 40 countries across six continents, including in some of the most difficult terrains and climates. It is strongly represented in Australia and North America, and also has significant businesses in Asia, Europe, Africa, and South America.

With headquarters in the UK, the Group comprises Rio Tinto plc, a London and New York Stock Exchange listed company, and Rio Tinto Limited, which is listed on the Australian Securities Exchange.

This global presence, and its expertise in technology and marketing, enables it to supply the right product, at the right quality, at the right time.

Businesses include open-pit and underground mines, mills, refineries, smelters and power stations, including a significant hydropower portfolio, as well as a number of research and service facilities. It also owns and operates infrastructure that takes our products to our customers, including railways, ports, and ships.

Dominion Diamond CorporationDominion Diamond Corporation is a Canadian diamond mining company with ownership interests in two major producing diamond mines. Both mines are located in the low political risk environment of the Northwest Territories in Canada.

The Company operates the Ekati Diamond Mine through its 80 per cent ownership, as well as a 58.8 per cent ownership in the surrounding areas containing additional resources, and also owns 40 per cent of the Diavik Diamond Mine. It supplies rough diamonds to the global market through its sorting and selling operations in Canada, Belgium, and India, and is the world’s fourth largest producer of rough diamonds by value.

The Company maximizes the sales value of its rough stones from the Diavik and Ekati mines, and maintains a preferred position as a supplier of rough diamonds to the world’s diamond manufacturers (cutters and polishers) by dealing directly with them and tailoring rough diamond parcels to the client’s particular needs.

2013 was the Diavik Diamond Mine’s first full year as an all underground mine. Underground teams safely exceeded mining targets setting the stage for the next decade of production.

05


Introduction

Rio Tinto DiamondsThrough its 100 per cent control in the Argyle mine, 60 per cent of the Diavik mine and a 78 per cent interest in the Murowa mine, Rio Tinto Diamonds is one of the world’s major diamond producers.

Rio Tinto Diamonds’ share of the production from these mines are sorted and prepared for sale at its sales and marketing headquarters in Antwerp, Belgium.

Rio Tinto Diamonds’ sales and marketing group aims to differentiate itself by:• Providing the right customer with the right assortment of

diamonds• Tailoring its approach to serve each customer• Creating long-term, mutually beneficial business

relationships• Retaining the flexibility to respond to market opportunities

It maintains an extensive industry intelligence network and a high level of customer and product support, and also believes in supporting consumer confidence in its diamonds and plays an active role in addressing key industry issues around product integrity and sustainable development.

Rio Tinto Diamonds is a founding member of the Responsible Jewellery Council. Established in 2005, the council is a not-for-profit industry organization with a mandate to promote responsible, ethical, social, and environmental practices throughout the diamond and gold jewellery supply chain from mine to retail.

Rio Tinto Diamonds supports the initiatives of the World Jewellery Confederation, the umbrella organization of the world jewellery industry. Rio Tinto Diamonds values the role of the confederation as educator and communicator

Since production began in 2003, Diavik has produced over 80 million carats of world-class rough diamonds. The natural gems are sold worldwide to customers known as select diamontaires.

on matters of business responsibility and actively participates through debate and input on all initiatives associated with protecting consumer confidence in the diamond jewellery industry.

Diavik’s northern commitmentsDiavik Diamond Mines (2012) Inc., located in Yellowknife, Northwest Territories, Canada, has committed to ensuring local communities benefit from the sustainable development of its mine.

Its commitments are formalized through individual Participation Agreements with the Tlicho Government, the Yellowknives Dene First Nation, the North Slave Metis Alliance, the Kitikmeot Inuit Association, and the Lutsel K’e Dene First Nation.

In 2013, Diavik and its community partners renewed four of the five agreements. The renewal of the fifth agreement will occur in early 2014. These long-term agreement renewals ensure local Aboriginal groups will continue to benefit from training, employment, and business opportunities at Diavik.

Diavik also has a socio-economic monitoring agreement with the Government of the Northwest Territories, which was signed by Aboriginal groups.

Regulatory requirements and an environmental agreement between Diavik, Aboriginal groups, and federal and territorial governments formalize Diavik’s environmental protection commitment.

The Environmental Monitoring Advisory Board, created under the environmental agreement and the socio-economic monitoring agreement, allows communities and governments to monitor Diavik’s operation.

The Diavik Diamond Mine is a major contributor to the North, employing 485 northerners, including George Nitsiza, with Diavik contractor Tlicho Logistics.

06

Economic prosperity


Diavik at a glance• Three ore bodies – A154 South, A154 North, and A418

pipes• Spending (2000 to 2013) – $6.0 billion ($4.3 billion

northern, of which $2.3 billion was Aboriginal)• Operations workforce (31 December 2013) – 997 (485

northern)• Total mine life – 16 to 22 years (currently in year 12)• 2013 rough diamond production – 7.2 million carats• Reserves – 16.4 million tonnes at 2.9 carats per tonne

(December 2013)

NORTH

Satellite image July 2013

Wind Farm

Waste Transfer Area

C A N A D A

NORTHWESTTERRITORIESYELLOWKNIFE Diavik Diamond Mine

Northwest Territories

Nunavut

Contwoyto Lake

Arctic Circle

Bathurst Inlet

Umingmaktok

Kugluktuk

WekweetiGameti

Wha TiBehchoko

YellowknifeDettahN’dilo

Fort Resolution

Lutsel K’eFort Providence

Coppermine River

Ekati Diamond MineDominion Diamond Corporation

Winter Road

Mackay Lake

Lac de Gras

Great Slave Lake

Coronation Gulf

Jericho Diamond MineTahera (closed)

Diavik Diamond MineRio Tinto/Dominion Diamond Corporation

Snap Lake Diamond MineDe Beers Gahcho Kue

De Beers/Mountain Province

Hay River

07


Operational update

Diavik completes first year as all underground mine

With its first year as an all underground mine complete, the Diavik Diamond Mine team demonstrated it can safely mine approximately 2 million tonnes of ore.

For the year, Diavik safely surpassed its tonnage target, mining 1.95 million tonnes of kimberlite ore. This was well above plan and resulted from accelerating the ramp up of the underground mine. The 2013 success followed the conclusion of open-pit mining in September 2012. The 2013 results demonstrate that Diavik can safely achieve its 2014 plan.

All Diavik teams put safety first, which is what matters most – production targets mean nothing if someone is seriously hurt. Diavik underground mine 2013 safety highlights include:• Underground production and development teams went

224 days with no reportable injuries• Underground fixed maintenance team went 741 days with

no reportable injuries• Underground mobile maintenance went 635 days with no

reportable injuries

In 2013, compared to 2012, Diavik reduced its lost time injury frequency and all injury frequency rates by 55 per cent and 16 per cent respectively. In 2013, there were 10 reportable injuries; three lost time injuries and seven medical treatments (all injury frequency and lost time injury frequency rates were 0.82 and 0.24 respectively). In 2012, there were 14 reportable injuries; eight lost time injuries and six medical treatments (all injury frequency and lost time injury frequency rates were 0.97 and 0.56 respectively).

2003

2004

2005

2006

2007

2008

2009

2010

2011

2012

2013

2014

2015

2016

2017

2018

2019

2020

2021

2022

2023

A154 open-pit

A418 open-pit

A154/A418 underground

Mine schedule subject to market conditions, further resource evaluation, A21 pipe evaluation, continued mine planning, etc.

Mine life

Adding to the success were the mine’s 2013 ore processing achievements. Fixed plant teams completed the year with exceptional processing rates; nearly 200,000 dry tonnes were processed in December. The final month of 2013 was, in terms of processing, the mine’s best December ever and the best single month of processing total in nearly two years.

Through sub-level retreat and blasthole stoping mining methods, Diavik produced 7.24 million carats of rough diamonds over the course of the year. Since production began in 2003, Diavik has produced over 80 million carats of high quality rough diamonds. The majority of Diavik’s product is gem-quality white stones, which are sold to select diamontaires.

Diavik, now a proven underground mine, currently has a mine plan which includes 10 more years of operations.

Through two different underground mining methods – sub-level retreat and blasthole stoping – Diavik produced 7.24 million carats of rough diamonds. Pictured left to right are Al Budgell, Richard Oxford, Justin Isaacs, and Donald MacDonnell.

08


Operational update

The Diavik Diamond Mine continues to generate local employment opportunities for northerners.

For example, in 2013, for the processed kimberlite containment dam raise construction project, northern employment was 71 per cent.

To ensure optimum northern employment, Diavik conducted a dedicated recruiting effort in local northern communities. When year one work concluded, the crew

A21 pipe feasibility study ongoingLocated just south of the existing mining operations, the A21 kimberlite pipe continues to show potential.

In 2013, Diavik continued to examine the feasibility of open-pit mining A21. Once the feasibility study is complete, Rio Tinto will complete a technical evaluation to determine if A21 development will proceed. To mine A21, a dike, similar to the two constructed to mine the A154 and A418 ore bodies, would be required. A21’s measured resources are 3.6 million tonnes of ore with 2.8 carats per tonne.

The process kimberlite containment dam raise team. At right is liner installation and aggregate placement on the 5.6 kilometre structure.

Employment opportunities – PKC dam raise a multi-year project

In 2013, Diavik’s engineering team continued to study A21. This pipe, located just south of existing mining operations, has measured resources of 3.6 million tonnes of ore with 2.8 carats per tonne.

Diavik has completed three sample programs of A21. The most recent being the on-ice large diameter drill sampling program in 2008. It followed the 2007 bulk sample program, which included constructing a 1.2 kilometre decline tunnel. Initial drill core sampling was done in the mid-1990s.

In all, 9,635 carats of rough diamonds were recovered from these three sampling programs. This has allowed for accurate pricing predictions and assisted with planning.

included 31 individuals; 22 northern residents, of which 16 are Aboriginal peoples.

This $30 million project will continue to generate local employment benefits through 2015.

The processed kimberlite containment dam is a engineered structure constructed for waste rock generated by ore processing.

09


Operational update

Winter road successfulConstructed annually for mine resupply, the Tibbitt to Contwoyto Winter Road is the world’s longest heavy haul ice road, extending 600 kilometres when built into Nunavut.

Eighty-seven per cent of the road is constructed over frozen lakes connected by 65 land portages.

Open for approximately 10 weeks each winter, the ice road is a joint venture managed by Diavik Diamond Mines (2012) Inc., Dominion Diamond Corporation, and De Beers Canada Inc.

The road opens to light loads and full weight capacity when ice thickness reaches 0.71 metres and 1.04 metres respectively.

In 2013, Diavik trucked 3,149 loads (111,659 tonnes) of fuel, cement, explosives, equipment and other materials over the winter road.

Reserves updatedTotal reserves numbers, reflected in the accompanying table, include stockpiled ore which, as of 31 December 2013, had been mined but not processed. Diavik reserves include 16.4 million tonnes of ore containing 2.9 carats per tonne.

This compares with 18.3 million tonnes at 2.9 carats per tonne a year earlier.

Although no new reserves were identified in 2013, as a result of ongoing sampling during mining, 2.3 million tonnes of A154 North ore was upgraded to proven reserves from probable reserves, raising the robustness of the figures.

Exploration continuesIn 2013, Diavik continued its exploration efforts on the joint venture property. Work was concentrated on processing and analysis of the till sampling information collected in 2012, in addition to re-analysis of historical geophysical data.

Proven and probable reserves 31 December 2013

PipeTonnes

(millions)Carats/tonne

Carats (millions)

A154S 2.2 3.6 7.8

A154N 7.5 2.1 16.1

A418 6.5 3.4 22.4

Stockpile 0.2 2.7 0.5

Total 16.4 2.9 46.8

Some figures may not add due to rounding.

In 2014, Diavik expected to transport nearly 90,000 tonnes, or about 2,700 loads, to its mine at Lac de Gras. Benjamin Hardisty, left, and Johnathan Mackenzie offload fuel which arrived via the winter road.

10

Economic prosperity


Socio-economic highlights

Heavy equipment operator Glen Marion, with Tlicho Logistics, is among Diavik’s workforce of 997 people.

Diavik is committed to providing significant training, employment, and business opportunities to the Northwest Territories and the West Kitikmeot region of Nunavut.

These commitments have been formalized through the Diavik Socio-Economic Monitoring Agreement concluded in 1999, and in individual Participation Agreements concluded with five Aboriginal groups – the Tlicho Government, the Yellowknives Dene First Nation, the North Slave Metis Alliance, the Kitikmeot Inuit Association, and the Lutsel K’e Dene First Nation.

11

Economic prosperity


2013 Operations Employment Total 997

28% other northern (283)

51% southern (512)

20% northern Aboriginal (202)

EmploymentIn 2013, Diavik’s total northern employment and total Aboriginal employment percentages increased over the previous years’ percentages.

At year-end, Diavik employed 485 northerners or 49 per cent, up from 47 per cent in 2012. Total Aboriginal employment, some 236 people, was 24 per cent, up from 22 per cent.

Since 2000, Diavik has generated approximately 10,000 person years of northern employment.

Employment by priority groupAboriginal

Tlicho First Nation 60 6.0%

Yellowknives Dene First Nation 23 2.3%

North Slave Metis Alliance 12 1.2%

Lutsel K`e Dene First Nation 5 0.5%

Kitikmeot Inuit Association 4 0.4%

Participation Agreement group Aboriginal

104 10.4%

Other northern Aboriginal 67 6.7%

Total northern Aboriginal* 171 17.1%

Other Aboriginal residing in the North

31 3.1%

Other Aboriginal not residing in the North

34 3.4%

Total Aboriginal 236 23.7%

Non-Aboriginal employment

Other Canadian 626 62.8%

Other nationality 19 1.9%

Total non-Aboriginal 645 64.7%

Unknown** 116 11.6%

Total employment 997 100%

* Under the socio-economic monitoring agreement, northern Aboriginal is defined as First Nations peoples born in the Northwest Territories or West Kitikmeot region; or a descendant of an Aboriginal person born in the Northwest Territories or West Kitikmeot region. Diavik has Participation Agreements with the Tlicho First Nation, Yellowknives Dene First Nation, Lutsel K’e Dene First Nation, North Slave Metis Alliance, and Kitikmeot Inuit Association.

** Declaration is voluntary. At year-end 2013, ethnicity of 116 people was not known. This includes 92 individuals who chose not to declare and 24 individuals’ declarations which had not been received. As a result, status of 116 individuals (12 per cent) is unknown.

Employment history by ethnicity (individuals)2010 2011 2012 2013

Aboriginal 267 (31%) 313 (28%) 238 (22%) 236 (24%)

Non-Aboriginal 605 (69%) 824 (72%) 649 (61%) 645 (64%)

Unknown** - - 184 (17%) 116 (12%)

Total 872 1,137 1,071 997

Employment history by residency (individuals)2010 2011 2012 2013

Northern Aboriginal* 267 (31%) 313 (28%) 206 (19%) 202 (20%)

Other northern 284 (33%) 329 (29%) 302 (28%) 283 (28%)

Total northern 551 (63%) 642 (56%) 508 (47%) 485 (49%)

Southern 321 (37%) 495 (44%) 563 (53%) 512 (51%)

Total 872 1,137 1,071 997

12

Economic prosperity


TrainingDiavik utilizes its apprenticeship program to increase skills and provide opportunities for northern and Aboriginal employees. Diavik has committed to train between eight and 18 apprentices annually.

At year-end, Diavik supported 27 apprentices; all of whom were northern, with 14 being northern Aboriginal. Four Diavik apprentices are working towards dual journeyperson certifications.

Since 2003, 35 apprentices have successfully completed their apprenticeships at Diavik and achieved journeyperson certifications from the Government of the Northwest Territories.

Funding to Mine Training Society surpasses $2 millionDiavik is a founding member of the Northwest Territories Mine Training Society and has supported the organization since 1997 when it helped create the North’s mine training committee, which served as the model for the current society. Since its inception Diavik has provided over $2 million to the Society and its programs. Diavik also supports the Society by providing placements for graduates to complete their practical training and employment for graduates.

The Mine Training Society offers training to northern residents to assist them with finding jobs in the resource sector. Courses include underground miner, mineral processor, apprenticeships, and summer students.

Since 2004, the Society has assessed approximately 2,000 people for training suitability, provided training or other employment related assistance for over 1,300 people, and has facilitated employment for over 700 people.

Mining Industry Human Resources Council (MiHR) certificationsIn 2013, Diavik continued its participation in the Mining Industry Human Resources Councils’ (MiHR) national certification programs for underground miners and mineral processors. Through this program, individuals who achieve certifications demonstrate they have the skills that meet national standards which have been developed by MiHR and the mining industry.

Diavik has supported the MiHR certification, a national standardized certification program, since inception in 2011. Diavik underground miners were the first in Canada to be certified under this program.

Through 2013, 46 members of Diavik’s workforce have achieved MiHR underground miner certifications and 50 team members have achieved MiHR mineral processor certifications.

The Diavik team includes 27 apprentices training to achieve journeyperson designations. Pictured is Instrumentation Technician Heather Mackenzie.

Apprenticeship training by priority group

Northern non-Aboriginal 13

Northern Aboriginal 14

Total apprentices 27

Underground miner certificationsNorthern 7


Subtotal northern 22

Southern 13

Unknown* 11

Overall total 46

Mineral processor certificationsNorthern 9


Subtotal northern 28

Southern 12

Unknown* 10

Overall total 50

* Seven individuals chose not to declare and 14 individuals did not provide details.

13

Economic prosperity


SpendingIn 2013, 72 per cent of spending was with local business, up from 67 per cent in 2012, equalling $261 million. Of the northern spend, $116 million, one-third of the total, was with Aboriginal business. In 2013, total northern spend percentage increased by four per cent.

Since 2000, Diavik has spent $4.3 billion with local businesses, or 72 per cent of the total businesses spend of $6.0 billion. Of the $4.3 billion in northern spend, $2.3 billion has been spent with northern Aboriginal businesses and their joint venture companies.

2013 spending by category and priority group ($ millions)

Category Northern Aboriginal

Other northern Subtotal northern

Subtotal other Overall total

Outsourced labour 57.8 4.5 62.4 11.0 73.4

Freight, cargo, transport 16.5 30.8 47.3 0.3 47.6

Construction 9.7 14.6 24.3 25.5 49.8

Human resources services 0.1 0.9 0.9 5.3 6.2

Consumables 5.5 24.8 30.3 34.2 64.6

Accommodations services 9.4 0.5 9.9 - 10.0

Drilling, blasting 4.2 - 4.2 0.2 4.3

Professional services - 2.6 2.6 7.7 10.3

Telecommunications - 1.3 1.3 3.2 4.5

Passenger transport 6.7 3.7 10.4 - 10.4

Environmental services 0.7 4.0 4.7 0.9 5.6

Fuels, lubricants - 47.2 47.2 - 47.2

Other 4.9 11.2 16.1 12.2 28.3

Total spend 115.5 146.0 261.5 100.7 362.2

2013 Operations Spending

$116 million northern Aboriginal

$146 million other northern

$101 million southern

Annual Spending

Total Cumulative Spending

MIL

LIO

NS

OF

DO

LL

AR

S

MIL

LIO

NS

OF

DO

LL

AR

S

YEAR YEAR

2012-2013 2000-2002(Capital)

(Operations)

2003 2004 2005 2006 2007 2008 2009 2010 2012 20132011

Other CanadianOther NorthernNorthern Aboriginal

0

$100

$200

$300

$400

$500

$600

$700

$800

$900

$1,000

$1,100

$1,200

0

$500

$1,000

$1,500

$2,000

$2,500

$3,000

$3,500

$4,000

$4,500

$5,000

$5,500

$6,000

$1,702

$2,036

$2,306

Total northernspend $4.3 B

$310

$270

$604

$135

$178

$125

$143

$180

$116

$146

$101

$115

$105

$147

$113

$144

$143

$145

$215

$256

$254

$206

$245

$276

$108

$155

$224

$101

$112

$197

$76

$84

$71

$58

$120

$66

14

Social w

ell-beingProud of our legacy to the N

orth

National recognition – a Canada’s top 100 employer

For the third year in a row, Diavik was selected as a Canada’s Top 100 Employer.

The Canada’s top 100 employers competition is the largest editorial project of its kind in Canada, with thousands of employers taking part in each year’s application process.

Diavik was the only Northwest Territories company to have been recognized as a Canada’s Top 100 Employer for 2014.

Each employer is graded by Mediacorp Canada Inc. editors on eight key areas, including:• Physical workplace• Work atmosphere and social• Health, financial, and family benefits• Vacation and time off• Employee communications• Performance management• Training and skills development• Community involvement

As part of its diamond donation program, Diavik, in partnership with local manufacturer Crossworks, donated a 1.17 carat polished diamond to the Yellowknife Seniors’ Society. Through its annual raffle, the Society generated $33,000 for its programs. Diavik’s Winter Haley and Byron Dolan presented presented the diamond, worth $16,000, to Society representatives Sandra Taylor and Linda Basillie.

DonationsDuring the year, Diavik supported numerous local community initiatives and events.

In total, Diavik donated $485,257 to community cultural, educational, health, and recreational activities, and to northerners through scholarships.

Of the total, $274,347 was for scholarships through participation agreements and Diavik employee scholarship programs.

In partnership with Crossworks Manufacturing, polished Diavik diamonds were donated to the Yellowknife Community Foundation, the Yellowknife Seniors’ Society, and the NWT SPCA. These organizations significantly increased the value of the diamonds through auctions and raffles, with proceeds supporting these organizations’ community initiatives.

15

Social w


orth

Through a multi-year sponsorship agreement, Diavik and the Yellowknife Community Foundation strengthened their partnership.

The three-year agreement supports the Foundation’s annual Forever in Our Heart’s fundraising gala and includes donation of a Diavik 1.13 carat diamond, worth $16,000, and $5,000 cash annually.

Each year, Diavik, in cooperation with Crossworks Manufacturing, has donated a diamond for the gala’s diamond draw.

Diavik’s total funding and in-kind support for the gala, which includes diamonds and other auction item donations, and staff volunteers, now exceeds $125,000.

Yellowknife Community Foundation partnershipAdditionally, at the 2013 gala, the company announced the creation of the Diavik Community Scholarship, a $25,000 endowment fund administered by the Foundation.

Diavik’s goal is to continue to add to this scholarship fund and grow its value well beyond the initial $25,000.

In existence since 1993, the Yellowknife Community Foundation is one of the community’s leading philanthropic organizations.

Diavik continues to support the Yellowknife Community Foundation. Pictured are Sandra Nielsen, Charles Dent, and Tom Hall of the Yellowknife Community Foundation, and Diavik President Marc Cameron, second from right.

Copper recycling program benefits Lights On program The Lights On program in Hay River will keep the lights on for another year because of a copper donation made by Diavik. The total value of the donation was $50,000.

The copper was collected at the minesite and shipped to Hay River, with Tli Cho Landtran donating the transportation.

Community volunteers and program participants spent hundreds of hours over the summer removing insulation and plastic from the copper wiring. Russell Chase, a Hay River resident and Diavik employee, coordinated the recycling effort.

Lights On offers grade four through to high school students a safe and healthy option for their weekends. Students are welcome to socialize, play sports, and utilize school facilities after hours. In addition to providing a barrier-free environment at no cost, the youth receive snacks and full meals they help prepare. The Lights On program has a team of coordinators and volunteers who plan activities like beading with an Elder, shopping for groceries, and mentoring youth.

In 2012, Health Canada’s anti-drug grant funding concluded, leaving the program with a 2013 funding shortfall. Diavik’s donation will support the operational costs, including food and needed equipment, until June 2014. Community businesses, the Hay River District Education Authority, and government grants also assist with programming costs and in-kind services.

16

Social w


orth

Stanton Foundation partnershipWith a new three-year funding partnership, Diavik will provide $45,000 in support to the Stanton Territorial Hospital Foundation. The Stanton Foundation’s objective of improving healthcare across the North for present and future generations aligns with Diavik’s desire to operate sustainably and contribute to the North.

Since 2001, Diavik and its contractors have contributed approximately $200,000 to the Stanton Territorial Hospital Foundation. These donations have assisted the Foundation in the purchase of lab equipment and a new mammography machine for the Stanton Territorial Hospital. Diavik diamond donations have also assisted the Foundation in its fundraising initiatives.

Lutsel K’e youth attend Actua science campYouth in Lutsel K’e rolled up their sleeves and discovered firsthand what it’s like to think like an engineer, design and build like and engineer, and to be an engineer, through a week-long science and engineering camp designed to expose participants to a wide variety of science, engineering, and technology careers, and future work opportunities.

The camp, which was delivered by DiscoverE, an Actua member located at the University of Alberta, was supported by Diavik. Youth learned about the significance of the mining industry and the myriad of related career opportunities through activities, ranging from simulating the formation of igneous, metamorphic, and sedimentary rocks to designing circuits and exploring the conductivity of various materials and designing structures.

Actua is Canada’s leading science, engineering and technology youth outreach network. Over 3 million young Canadians have been inspired through their participation in Actua’s positive, hands-on educational workshops, camps, and community outreach initiatives.

Physics Engineer/Instructor Mohamed Harit and a DiscoverE science camp participant in Lutsel K’e.

After 25 prosperous years, Det’on Cho Corporation recognized those who have helped along the way by presenting its first Prosperity Awards.

The awards were an opportunity to recognize partners who have contributed to the company’s success.

Recipients included Diavik Diamond Mines (2012) Inc., Stanton Territorial Health Authority, De Beers, and the GNWT Department of Transportation.

Diavik Diamond Mines (2012) Inc. was recognized for building a partnership with Det’on Cho that led to the formation of Bouwa Whee Catering. Bouwa Whee is an example of a partnership that will provide a lasting legacy. Initially, Diavik’s food services and housekeeping was delivered by Ek’ati Services, a Yellowknives Dene joint venture company.

Diavik receives Det’on Cho Prosperity AwardThrough Bouwa Whee, the Yellowknives Dene successfully transitioned to full ownership from a partnership. Bouwa Whee, which means I am hungry in the Dene language, provides Diavik catering and housekeeping services. It also operates a training facility at its Smokehouse Cafe in the community of N’dilo.

Diavik’s Winter Haley, left, and Jon Brennan, fourth from left, present the Stanton Territorial Hospital Foundation with a $45,000 Diavik grant. Representing the Stanton Territorial Foundation: Joe Handley, Kay Lewis, Louise Matthews, Rebecca Alty, Alayna Ward, and Deborah Ross.

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Social w


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Left are Diavik’s Hans de Haas and Jon Brennan volunteering at the annual North Slave Metis Alliance fish fry at the Somba K’e Civic Plaza in Yellowknife. Right, families are presented the keys to their new Habitat for Humanity homes in Yellowknife.

Support for local community groupsIn 2013, Diavik supported the following groups and organizations:

• Hay River Play School• Yellowknives Dene First Nation Career Fair• Habitat for Humanity• Aboriginal Sport Circle Annual Charity Golf

Tournament• Yellowknife Community Foundation• Community Government of Gameti• Avens’ Seniors• Behchoko Presence Office• Hamlet of Cambridge Bay• Kugluktuk Recreation• Tree of Peace• Wekweeti Presence Office• Community of Wha Ti• RCMP Charity Golf• Yellowknife Family Centre• Yellowknives Dene First Nation• Yellowknives Dene First Nation truck donation• CNIB Golf Tournament• Lutsel K’e Dene First Nation spring carnival• Open Sky Festival• Bosco Homes• Hay River Health and Social Services –

Supportive Services• Actua science camp in Lutsel K’e• Hamlet of Cambridge Bay Omingak Frolics• Behchoko Youth Handgames

• NWT Track and Field Championships• Hay River Women’s Hockey• Yellowknives Dene First Nation summer program• Kugluktuk Recreation – canoe safety• Snowking winter festival• NWT SPCA raffle• Hamlet of Kugluktuk – 2012 summer student• Stanton Territorial Hospital Foundation• Yellowknives Dene First Nation Diavik Week• North Slave Metis Alliance Annual Fish Fry• Deninu School• Lutsel K’e Dene First Nation annual spiritual gathering• Tlicho Annual Gathering• Yellowknife Seniors’ Society • Financial Literacy Training Program• Kimberlite Career and Technical Institute• Northern Student Education Initiative• Lutsel K’e Dene First Nation traditional knowledge

archive project• Yellowknife Marine Rescue Society• Weledeh Catholic School• Kugluktuk Recreation Playground Project• Actua science camp• Diavik 150• Mine Training Society• Hay River Lights On program

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Health, safety, and environm

entProud of our legacy to the N

orth

Diavik recertified to international standards

Diavik’s health, safety, environment, and quality systems have been recertified to the highest international standards.

Diavik completed the International Organization for Standardization (ISO) and Occupational Health and Safety Advisory Services (OHSAS) recertifications in 2013.

The recertifications, conducted every three years after two annual surveillance audits, involved a comprehensive assessment of Diavik’s key business systems, procedures, and processes, and a compliance evaluation.

The ISO auditing recertification process is one way in which Diavik demonstrates its focus and ongoing commitment to health and safety, to meeting environmental commitments, and to ensuring exceptional product quality.

The recertifications include:

• ISO 14001:2004 for environmental management system• ISO 9001:2008 for product splitting facility quality• OHSAS 18001:2007 for occupational health and safety

Conducted by four auditors over five days, the audit included pre-audit planning sessions, area visits and inspections, interviews with staff in their work areas, documentation reviews, and daily follow-up meetings with the management team.

For numerous aspects of its operations, Diavik was given strong recognition for its best practices. For example, Diavik was commended for the safe and effective processes and policies associated with the operation of its minesite explosives emulsion facility and for its energy management.

ISO auditors gave Diavik several commendations, including recognition for its powerhouse energy management plan. Pictured is Diavik Power Distribution and Electrical Supervisor Michael Hjelmeland.

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orthMine rescue team wins regional competitionDiavik’s mine rescue team won the National Western Region Mine Rescue Competition’s underground event held in Fernie, British Columbia.

The event, held every two years, is North America’s largest mine rescue competition and Diavik has now won it three times in a row.

The competition included provincial, territorial, and state mine rescue teams from the Northwest Territories, Nunavut, Alberta, British Columbia, Manitoba, Saskatchewan, the Yukon, and northwestern United States.

The Diavik team, drawn from the mine’s emergency response team (ERT), competed against eight other mines in the underground competition, which includes firefighting, bench (a technical equipment problem), obstacle and recovery, smoke/search, first aid tasks, practical skills, and written tests.

Diavik qualified for the regional competition after its performance at the Workers’ Safety and Compensation Commission’s NWT Mine rescue competition held in June in Yellowknife.

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Diavik wind farm delivers renewable energyOver its first full year of operations, Diavik’s award-winning wind farm reduced diesel fuel usage by 3.8 million litres.

Until the wind farm came online in September 2012, Diavik’s only source of power was from diesel powered generators.

Each year Diavik uses over 50 million litres of fuel to generate electricity, all of which must be transported up the winter road during its eight weeks of operation. In the coldest winter months, diesel powered boilers are also required. Power is needed for building heat, for processing ore, and for pumping approximately 30,000 cubic metres of water per day to surface from the underground mine.

The 3.8 million litre reduction represents over $5 million in savings. Through the wind farm, Diavik is reducing its carbon footprint by just over five per cent.

At this rate, the $31 million renewable energy investment will pay for itself in about six years. Diavik’s mine life is currently 10 more years.

The wind farm is Rio Tinto’s first, and the first large-scale facility of its kind in Canada’s Northwest Territories. It is also the largest wind diesel hybrid system in the world.

During feasibility studies, which included a three year wind study, Diavik determined that wind power would be economic, but it also recognized the volatility of the resource. Diesel generators would need to remain the site’s

main power source. During its first winter, the turbines were barely operational in December 2012 and January 2013 due to the extreme climate challenges. The blade heating systems were adjusted to address frost build-up, lubrication was changed out, and the nacelles and bases were retrofitted with heaters. These adjustments were successful.

For 2013, the wind farm produced an average power penetration of 8.5 per cent. The 3.8 million litres fuel reduction equates to 10,726 tonnes of C0

2.

On occasion, the winds were strong enough for the turbines to provide over 50 per cent of the site’s electrical energy needs – enough to power Diavik’s underground mine.

Key to the project’s success was sourcing a product designed to best fit Diavik’s needs and its remote location, and ensuring site teams built and now operate the wind farm.

In 2013, the wind farm was awarded the Canadian Wind Energy Association’s group leadership award, and the Northwest Territories and Nunavut Association of Professional Engineers and Geoscientists environmental award.

Over the first two months of 2014, the four turbine 9.2 megawatt facility has reduced the mine’s diesel fuel usage by 891,046 litres and delivered 11 per cent of its power needs.

To learn more about Diavik’s wind farm, visit the Media/video library section of diavik.ca.

In 2013, the wind farm generated 15.9 gigawatts – enough energy to power 29,000 60 watt light bulbs for a year.

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Diavik’s energy management strategy includes an initiative to optimize the backfill plant operating times. Left to right are Backfill Plant team members Martial Papineau, Rocney Budgell, Jody Smith, Doloris Nitisza, Rolf Berg, Kelly Malcolm, and Jeff Fraser.

Energy management strategyIn an effort to reduce is diesel fuel usage, Diavik launched an energy management strategy in 2013.

The strategy identified several projects, including:• Process plant improvements in throughput rates• Optimizing heat recovery from diesel generators and heat

exchangers in the power plant, which equals significant reduction in running boilers to heating buildings

• Reducing the number of hours that the backfill plant is running, yet still meeting underground cemented rockfill requirements and allowing more time for planned maintenance

• General energy reduction, including shutting down lights, diesel plants, and heating loads in satellite buildings and areas that do not require heating during winter

• For underground mine air heating, reduce the temperature set point, yet maintain safe and comfortable operating environment

• Managed ventilation – switching off underground auxiliary fans when not required to run

• Install a waste oil burner for used site oil for space heating instead of using conventional diesel type boilers

• The vehicle idling project, which ensures vehicles are only idling during very cold days and are switched off during less cold days

These initiatives, which are in various stages of implementation, represent potential savings of approximately 3 million litres of diesel fuel.

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FuelDiesel fuel and the wind farm generate electrical power required to operate the Diavik Diamond Mine. Diesel is also required for mobile equipment.

In 2013, total diesel fuel usage increased by four per cent over 2012, largely due to the commissioning of the underground mine’s third fresh air raise ventilation system. This system, which heats and pumps air into the mine, ensures the mine’s underground workings are supplied with fresh air.

As the mine depth increased, the planned third fresh air raise was required. Each requires several million litres of diesel fuel and, as noted earlier, the fresh air raise system is one of Diavik’s several energy management strategy projects. The goal of this, and other projects, is to reduce diesel fuel usage, which makes Diavik as efficient as possible and lowers its carbon footprint.

Environmental complianceAs part of its commitment to the environment, Diavik is a signatory to an environmental agreement with local Aboriginal groups, and the federal and territorial governments. Finalized in March 2000, the agreement

Fuel consumption 2013 2012 2011 2010 2009 2008

Mining 8,405,605* 13,023,945 17,568,558 24,035,288 21,480,972 23,702,128

Boiler 16,338,517** 9,853,483 12,574,541 10,158,733 4,953,313 3,346,260

Electricity*** 41,813,068 41,401,957 38,416,210 33,314,930 22,439,133 22,877,880

Capital expenditures****

441,981 333,436 872,250 1,489,797 12,841,125 23,522,738

Total 66,999,171 64,612,821 69,431,559 68,998,748 61,714,542 73,449,006

* With the conclusion of open-pit mining in 2012, and related reduction in haul truck usage, fuel usage for heavy equipment declined.** Increased volumes of underground ventilation were required for the advancement of the mine and during winter months this air required heating.*** Does not include fuel consumed for capital expenditures (construction) projects electricity.**** Construction and underground mine development.

formalizes Diavik’s environmental protection commitments, establishes reclamation security requirements, and provides transparency and oversight to local communities.

Regulatory requirements are governed by a variety of environmental acts and regulations that set specific conditions through various permits, licences, and authorizations as well as the environmental agreement.

For example, the water licence establishes effluent criteria for waste water discharge to protect the water.

Fish and fish habitat are protected, monitored, and managed in accordance with the requirements of fisheries authorizations.

Land leases outline the requirements for responsible land management practices, including provisions for infrastructure, and waste and hazardous materials management.

The public can view these various documents at a public library in the Environmental Monitoring Advisory Board’s office in Yellowknife and/or through the Wek’eezhii Land and Water Board (WLWB) public registry (online and library).

Optimizing backfill plant operating times (backfill, which includes cement, is used to fill mined out voids in the A154 North pipe underground) and fresh air raise ventilation systems monitoring are among projects aimed at reducing energy use. Right is the underground mine’s fresh air raise surface infrastructure.

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Diavik Environment Technician Darcy Bourassa conducts air quality monitoring at a dust collection point near the mine.

Under its comprehensive monitoring program, thousands of water samples are collected and analyzed every year to ensure Lac de Gras is being protected. Pictured is Diavik Environment Technician Justin Grandjambe.

Inspection and enforcementGovernment inspections provide assurances that Diavik remains in environmental compliance. In 2013, regular inspections were conducted by the federal Department of Aboriginal Affairs and Northern Development Canada (AANDC), which holds primary responsibility for enforcement and inspection of the legal provisions of permits and licences related to land and water use and waste management.

Inspection reports are included in the Wek’eezhii Land and Water Board online registry that can be sourced from its web site (http://wlwb.ca/).

Environmental management systemTo manage its environmental protection commitments, Diavik has implemented an internationally certified Environmental Management System (EMS) that:• Identifies and priorities environmental risks• Identifies activities to protect the environment• Ensures employees are properly trained• Anticipates and avoids environmental problems• Ensures regulatory compliance and due diligence• Ensures consistency with corporate environmental policy

Certified under the internationally acknowledged ISO14001 standard, Diavik’s EMS is designed to be simple, understandable, easy to implement, and adaptable.

Diavik’s EMS includes protection for wildlife, water, and fish habitat – issues of particular concern raised by local communities.

In 2010, Diavik was certified to a new integrated Rio Tinto management system for health, safety, environment, and quality (HSEQ). HSEQ is aligned with ISO 14001 (certification will be maintained) and Rio Tinto standards, procedures, and work practices that are applied at Rio Tinto operations globally.

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Water usage Volume (m3)

2013 2012 2011 2010 2009 2008

Fresh water used

Fresh water for plant 400,961 432,944 506,195 957,116 1,217,185 1,174,754

Potable water 67,774 74,938 82,399 68,127 65,781 101,704

Dust management 39,365 94,635 49,672 101,665 59,356 118,114

Fresh water, other 0 0 199 2,097 2,579 8,545

Total* 508,1000 602,517 638,465 1,129,005 1,344,901 1,403,117

Open-pit Dewatering

Pit water 2** 151,861 96,410 1,380,032 5,989,059 6,146,315

Seepage wells Data Not Available

Data Not Available

Data Not Available

Data Not Available

65,861 212,069

Total 2** + Seepage wells

151,861 + Seepage wells

96,410 + Seepage wells

1,380,032 + Seepage wells

6,054,920 6,358,384

Underground Dewatering

11,838,632 11,558,790 0 0 0 0

Effluent discharged to Lac de Gras

Collection ponds to Lac de Gras (clean water)

0 0 0 0 218,213 0

North Inlet to Lac de Gras (water treated through North Inlet Water Treatment Plant)

12,616,049 11,905,009 12,490,689 12,951,724 10,990,705 8,196,373

Total 12,616,049 11,905,009 12,490,689 12,951.724 11,208,917 8,196,373

Recycled/reused water within plant

Recycled processed kimberlite containment water

1,806,263 3,470,054 3,716,395 2,168,532 1,558,243 2,426,274

Recycled North Inlet water 275,730 1,709,906 1,206,177 1,025,178 - -

Treated sewage 66,064 72,785 71,578 64,485 63,180 90,812

Collection ponds to processed kimberlite containment (silty water)

894,330 509,663 304,251 322,049 724,803 750,823

Total* 3,042,387 5,762,408 5,298,401 3,580,244 2,346,226 3,267,909

* Construction and underground mine development.** Open-pit mining concluded in late 2012.

Water monitoringDiavik’s water quality monitoring system includes a surveillance network program for monitoring water in and around the minesite, and an aquatic effects monitoring program, which measures changes in the Lac de Gras aquatic environment.

Results from water quality monitoring programs are collated and reviewed to identify the need for any follow-up action.

Environmental Monitoring Advisory BoardIn March 2000, the environmental agreement (EA) was signed by Diavik Diamond Mines Inc., the Tlicho Government, the Yellowknives Dene First Nation, the Lutsel K’e Dene First Nation, the Kitikmeot Inuit Association, the North Slave Metis Alliance, the Government of the Northwest Territories (GNWT), and the Department of Indian Affairs and Northern Development (AANDC). Through the EA, the Environmental Monitoring Advisory Board (EMAB) was established as a not-for-profit organization that works independently and at arm’s length from Diavik and the other parties to the EA.

EMAB’s mandate is to assist with the implementation of the environmental agreement. EMAB also serves as an external reviewer of Diavik’s environmental performance.

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The Diavik Diamond Mine, surrounded by the waters of Lac de Gras.

Wildlife monitoringDiavik monitors the potential effects of the mine on wildlife and wildlife habitat. Monitoring is done to help Diavik determine if the predictions made in its environmental assessment are accurate and to help assess the effectiveness of mitigation strategies. Currently, Diavik conducts caribou, raptor, wolverine, grizzly bear, and other wildlife monitoring programs.

Caribou monitoringCaribou are a key indicator species because of their cultural and economic value to northern residents as well as being of ecological importance. Diavik conducts low impact behavioural surveys of caribou at varying distances from the mine. Each year local community members come to the mine to conduct the monitoring in conjunction with Diavik’s environment department. In 2013, members from the North Slave Metis Alliance and Tli Cho participated in the caribou monitoring program.

Lichen surveyThroughout the year, lichen is an important food source for caribou. Every three years Diavik undertakes a study to measure dust deposition on lichen, both on and off site. In 2013, Diavik partnered with the newly formed Tli Cho Research Institute to conduct this program. Diavik conducted the scientific portion of the program, while the research institute conducted its program based on elder traditional knowledge. Separate reports were generated and then incorporated based on each programs’ findings.

Closure planningAs a requirement of Diavik’s Type A water licence and land leases, a report is prepared annually to report on progress, research results, and ongoing alterations or changes to the interim closure and reclamation plan. The progress report is externally reviewed and approved.

Approximately 80 bird species, including peregrine falcons, migrate through the Lac de Gras area.

Portions of the Barthurst caribou herd migrate through the Lac de Gras area twice yearly.

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Verification activitiesArea External Rio Tinto Internal

Environment Environmental monitoring advisory board

Inspections by government regulators and inspectors

Facility inspections

Independent technical audits, plus Rio Tinto environmental standards review

Environmental management system audits

Facility inspections

Social Health and safety audits by government regulators and inspectors

Socio-economic monitoring advisory board monthly review

Participation implementation committee performance review

Annual health and safety management audits against Rio Tinto safety standards

Workplace health and safety audits

Workplace safety interactions

Human resource system audits

Economic Socio-economic monitoring advisory board

Independent financial audits

Audits by government regulators

Best-practice audits

Annual review

Financial audits

Each day, Diavik pumps approximately 30,000 cubic metres of water to surface. Pictured is one of the underground mine’s pump stations.

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orthKey performance indicators

2013 actual 2013 target 2012 actual 2012 target* 2011 actual 2011 target

Lost time injuries 3 6 8 - 4 -

Lost time injury frequency rate**

0.24 0.50 0.56 - 0.85 0.14

All incident frequency rate**

0.82 0.87 0.97 0.68 0.28 0.38

Medical treatments 7 5 6 - 8 -

Significant potential incidents

7 8 8 - 16 16

Health and safety non-compliances

0 0 0 0 0 0

Environmental regulatory non-compliances

0 0 0 0 1*** 0

Significant environmental incidents

0 0 0 0 0 0

Environmental management system

Maintained ISO 14001

Maintain ISO 14001

certification, certified to Rio Tinto

HSEQ-MS v2 standard

Maintain ISO 14001


HSEQ-MS v2 standard

Maintain ISO 14001


HSEQ-MS v2 standard

Maintain ISO 14001

certification, certify to Rio Tinto

HSEQ-MS v2 standard

Fresh water use per tonne of kimberlite

0.19 m3 0.23 m3 0.29 m3 0.47 m3 0.29 m3 0.47 m3

Litres spilled per 1,000 litres of mobile diesel consumed

0.23 litres 0.54 litres 0.27 litres 0.54 litres 0.20 litres 0.54 litres

Greenhouse gas emissions (+CO

2 equivalent)

192,544**** 184,817 198,832

Closure security*****$159.0 million

$161.5 million

$203.0 million

* 2012 injury performance measured using all incident frequency only and, as such, lost time and medical treatments targets were not calculated. Significant potential incident performance measured based on closure, not frequency. 2012 significant potential incident closure target and actual were both 100 per cent.

** Lost time injury frequency rate (injuries x 200,000 hours ÷ total hours worked). All incident frequency rate (lost time injuries + medical treatments x 200,000 hours ÷ by hours worked).

*** Elevated zinc measured in seepage from the processed kimberlite containment east dam (August to October).**** Overall greenhouse gas emissions increased in 2013 compared to 2012 as a result of commissioning of the underground mine fresh air raise number

three. Fresh air raises include diesel burning equipment required to heat and pump fresh air into the underground mine. The wind farm diesel fuel offset reduced CO

2 emissions by 10,726 tonnes.

***** Reduction largely due to proactive implementation of waste rock segregation, which has reduced closure activities and costs.

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Environmental monitoring programsPurpose of monitoring Key activities

Dust monitoring Determine if environmental assessment predictions are accurate.

• Ongoing notification to operations for dust suppression

• Summer and winter dust sampling to determine extent of dust dispersion related to operations activities

• Dust suppressant used on airport apron, taxi-way, helipad, and parking lot

• Air quality monitoring

Meteorological Measure/detect meteorological trends. Determine influences on site water balance.

Provide design and construction information to operations.

Measured:• horizontal wind speed and direction, and standard deviation of

horizontal wind direction• ambient temperature• relative humidity• precipitation – rain and snow• incoming solar radiation• evaporation rates

Water quality Measure levels, limits, and sources of water use, as established in water licence.

• All water used for consumption and operations is metered

• PKC facility levels monitored

• All make-up water measured

• Annual update to water balance

Water quality compliance

Monitor effluent limits as required by water licence.

• Samples collected and analyzed in compliance with the water licence at required SNP locations

Aquatic effects Collection of information to determine the short and long-term effects in the aquatic environment resulting from the project.

• Samples collected at AEMP sites for water quality, phytoplankton, zooplankton, benthic invertebrates, sediment chemistry, and fish health

Wildlife Determine if predictions in environmental assessment are accurate.

Assess the effectiveness of mitigation strategies.

• Caribou monitoring for:1. numbers on island2. mitigation effectiveness3. zone of influence

• Raptor and waterfowl monitoring

• Wolverine track survey for presence

• Grizzly bear hair snagging survey to determine population density

• Track incidental sightings of most species at the minesite

Wildlife habitat (vegetation loss)

Determine if environmental assessment predictions (linked to wildlife program) are accurate.

Determine extent of vegetation/habitat loss.

• Survey extent of mine footprint related to vegetation loss

• Vegetation plots are surveyed every three years for changes in plant species population and density

• Survey dust deposition on lichen at site and control areas

Fisheries Fisheries authorization requirements.

Initiate long-term monitoring programs.

• Slimy sculpin studies to determine metal concentrations in fish tissue

Reclamation research

Re-vegetation test plots

Country rock test piles

To establish research programs related to reclamation research.

Information gathered from these programs will be used for closure.

• Continue to assess additional research needs relating to closure

• The test piles research monitoring and maintenance continued in 2013. Instruments installed in the core of the piles were sampled regularly through the 2013 field season.

• Phase III of revegetation research program commenced in 2013

Rio Tinto plc2 Eastbourne TerraceLondon W2 6LGUnited Kingdomriotinto.com

T+44 (0)20 7781 2000

Production: Diavik Diamond Mines (2012) Inc., Yellowknife, CanadaDesign: Inkit Ltd., Yellowknife, Canada

Document control #: CCOM-017-0414 RO Effective date: 30 April 2014

Diavik Diamond Mines (2012) Inc.#300, 5201-50th AvenueNorthwesTel Tower 3rd FloorYellowknife, NTCanada X1A 2P8 diavik.ca

T 867 669 6500

Dominion Diamond CorporationCorporate head office#1102, 4920-52nd StreetYellowknife, NTCanada X1A 3T1ddcorp.ca

T 867 669 6100

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