December 9th, 2025 - The End of the Diamond Era in Canada’s Northwest Territories

The Northwest Territories of Canada are facing a significant shift in their economy, as the once-thriving diamond mining industry nears its closure. For decades, these mines, which were discovered after a gold rush at the turn of the 20th century, have been a cornerstone of the region’s economic vitality, particularly for its Indigenous population. But now, with the depletion of diamond reserves and changing market dynamics, the once-booming sector is winding down, with the first of the mines set to close in March.

The territory’s diamond boom began in the 1990s when new deposits were discovered, leading to the opening of several key mines, including the Ekati and Diavik mines. For many Indigenous workers, like George Betsina, these mines provided an escape from declining gold opportunities and a stable livelihood. However, the closure of these mines has brought an abrupt end to a quarter-century-long chapter for families that built their lives around the mines, including those in remote communities near Yellowknife.

The closure of these diamond mines comes as the industry grapples with a range of challenges, including a drop in global demand, tariffs on diamond exports, and increasing competition from lab-grown diamonds. In addition, the imposition of tariffs on India—the world’s largest diamond-processing hub—has further strained the industry. For example, the Ekati mine, owned by Burgundy Diamond Mines, has struggled financially, with layoffs and a suspension of trading. The company has been seeking loans from government funds, but it remains uncertain whether these efforts will succeed in the long term.

The economic impact is especially pronounced for the 3,000 Indigenous workers who were employed at the three diamond mines, as well as the many others who worked in support industries like catering and aviation. For many, the prospect of finding alternative sources of employment is uncertain, given the remote location and limited job opportunities. As Premier R.J. Simpson pointed out, the region is at a crossroads, needing to determine what comes next after the diamond mines close their doors.

In response, officials are looking toward the exploration of rare earth minerals and critical minerals used in modern technology and defense. While these resources are abundant in the Northwest Territories, the extraction process is more complex and environmentally damaging. Additionally, global supply chains for these critical minerals are controlled by countries like China, further complicating efforts to secure the territory’s economic future.

For those like Melanie Rabesca, who have built their careers and lives around the diamond mines, the end of this era represents both uncertainty and opportunity. After years of working in the mines, Melanie and her husband are retraining to operate heavy machinery, preparing for a future outside of mining. The transition, however, is not without its challenges. Beyond the income, she will miss the sense of community she found in the mines—diverse workers from all over the world who made the harsh conditions more bearable.

With the closure of the diamond mines looming, the people of the Northwest Territories are now left to grapple with the future. While alternative industries like rare earth mining and infrastructure projects hold promise, it’s unclear whether they will be able to fill the economic void left by the diamonds, and whether they can sustain the same level of employment that has defined the region for decades. For many, the loss of the diamond industry represents not just an economic shift, but the end of a way of life that has defined their community for a generation.

Word of the Day (Merriam-Webster) - Paltry (adj, PAWL-tree) - Paltry is a formal word that can describe something that is very small or too small in amount, or something that has little meaning, importance, or worth.

Example: They're offering a paltry salary for the position.

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