TORONTO (miningweekly.com) – Global engineering, procurement, and construction management (EPCM) firm SNC-Lavalin has won a C$425-million contract to oversee construction of Quebec’s first diamond mine, Stornoway Diamond Corp’s Renard project, located in the province’s James Bay region.

SNC-Lavalin would provide EPCM services for the mineral processing plant, a liquid-natural-gas power plant and other on-site utilities, including service buildings, water treatment facilities and infrastructure. SNC-Lavalin previously participated in the front-end engineering phase of the project, which began in 2012.

Eighteen years in the making, Stornoway earlier this month announced that it had made a formal decision to build the Renard project, after the successfully closing of the project's comprehensive C$946-million financing package.

"This award is testament to our project execution capabilities around the world, including regions where climatic conditions can be challenging. We are thrilled to support Stornoway in the development of Quebec's first diamond mine, a project that will contribute to the success of the province's 'Plan Nord' economic development strategy,” SNC-Lavalin Group executive VP Dale Clarke said.

The EPCM firm said it had started mobilising the Montreal-based project team, while construction was scheduled to conclude by December 2016. The team would incorporate specialised diamond processing and recovery know-how through engaging DRA Americas and Amec Americas.

Renard is expected to produce ore at a rate of more than 2.16-million tonnes a year, producing on average 1.6-million carats a year.

The Renard diamond project is located about 250 km north of the Cree community of Mistissini and 350 km north of Chibougamau, in the James Bay region of north-central Quebec.

The project hosts probable mineral reserves, as defined under National Instrument 43-101, at 17.9-million carats. Total indicated mineral resources, inclusive of the mineral reserve, are at 27.1-million carats, with a further 16.9-million carats classified as inferred mineral resources and 25.7-million carats to 47.8-million carats classified as no-resource exploration upside. All kimberlites remain open at depth.