Rio Tinto's Diavik mine has closed its doors after 23 years of operation in Canada's Northwest Territories. The facility produced 150mn carats over its lifespan, generating billions in revenue but now facing exhausted reserves. The closure marks a symbolic end for an industry that transformed NWT's economy, employing 3,000 people and providing about one-fifth of the territory's GDP.

Canada's diamond sector confronts an existential crisis as global prices collapse, with rough diamond prices down 51% from 2022 highs. Lab-grown alternatives gain popularity while US tariffs on processing hubs increase costs. De Beers, attempting to sell its diamond unit, and other mines like Ekati and Gahcho Kué approach their closures, threatening more than 1,500+ jobs in the region.

The NWT government faces economic uncertainty as it seeks alternatives to diamond mining. Premier RJ Simpson hopes for a boost from Prime Minister Mark Carney's C$35bn Arctic defense plan, while Indigenous communities pursue critical mineral projects. Rio Tinto has posted a $200mn environmental guarantee for the mine cleanup, but the region's economic future remains uncertain as it transitions away from its diamond-dependent past.