Harry Winston Drops Plan To Shutter Diamond Mine

TORONTO (AP) — Harry Winston Diamond Corp. said Wednesday it dropped a plan to cancel winter production at a diamond mine in Canada's Northwest Territories.

The winter shutdown at the Diavik diamond mine was to run from Dec. 1 through Jan. 11.

Diamond sales have been weak, and the company temporarily stopped production at the mine this summer. Production resumed Aug. 24 and has returned to earlier levels, the company said.

Chairman and CEO Robert Gannicott said, "We do not foresee a return to extreme conditions that would warrant a further shutdown."

Diavik is an open pit mine, although plans call for starting underground production early next year. The company said it expects to stop open-pit mining there by 2012.

Harry Winston also operates a retail division that sells diamond jewelry and watches.

Shares rose 36 cents, or 4.2 percent, to $8.90 in afternoon trading.