SNC-Lavalin to lead Renard’s feasibility study

Montreal-based engineering and construction firm SNC-Lavalin (SNC-T) has been awarded the lead contract for a feasibility study of Stornoway Diamond’s (SWY-T) Renard diamond project in Quebec’s Otish mountains.

The contract will cover principal mine design and engineering work, with AMEC (AMEC-L) to be retained to provide diamond mining and processing expertise under subcontract. The Renard project is a 50-50 joint venture with the Quebec government.

Matt Manson, Stornoway Diamond’s president and CEO, said in a statement, “The award of the lead contract for the Renard feasibility study is an important milestone for the project. We are very pleased to have retained a team with broad experience in recent Canadian diamond mine development and in the Quebec mining sector. The feasibility study will form an important component of our overall program of mine design, social and environmental assessment and permitting that is being overseen by our Quebec- based mine development team.”

The study will include open-pit and underground mine design, production scheduling, diamond process plant design and metallurgical testing. Site infrastructure design will include worker accommodations, warehousing, maintenance infrastructures and onsite power generation.

Mineral resource and reserve estimation, and specialized aspects of mine design will be completed under separate contracts. The feasibility study is expected to be substantially completed by the third quarter of 2011.