Diavik Diamond Mine

MonTREAL — SNC-Lavalin will be providing project, engineering and construction management services for Stornoway Diamonds Inc., for a diamond mine located in Quebecs James Bay region.

It is not being announced how much the contract is worth, but $425 million is roughly what the work will cost.

SNC-Lavalin will be responsible for managing the building of the mineral plant, a LNG power plant, and other on-site facilities, including service buildings, water treatment facilities, and infrastructure. Work is set to be completed by December 2016.

The roughly $1-billion project is Quebecs first diamond mine and is being developed by Stornoway Diamond Corp. in a remote area 350 kilometres north of Chibougamau in Northern Quebec. Anticipated average diamond production of 1.6 million carats per year.

Stornoway, based in Longueuil, Que., has said commercial production is scheduled to begin in the second quarter of 2017.

The Quebec government has said the 30 months it will take to build facilities will create about 600 jobs, while mining activities will create 475 direct and 600 indirect jobs.

once mining gets underway, the mine is expected to make Quebec the sixth-largest producer of diamonds in the world.

Stornoway secured $946 million in funding for the Renard mine with Investissement Quebec and the Caisse de depot et placement, Quebecs largest pension fund manager, both participating in the financing.

The province has a 29 per cent investment in the project, which Economic Development Minister Jacques Daoust has said will translate into $1 billion in taxes and interest for the province.