Kelsey Lake: First Diamond Mine In North America

Kelsey Lake kimberlites are a cluster of eight diamondiferous pipes that occur in the northern State Line kimber lite district of the Colorado-Wyo¬ming diamond province (Coopersmith 1991, 1993) (Fig. 1). This is located at the southern margin of the Wyoming Archean province. Two relatively large pipes and a few smaller bodies define the cluster (Fig. 2). The Kelsey Lake kimberlite cluster has been developed as the first diamond mine in the United States. The cluster was discovered in 1987. Full-scale production began in the spring of 1996. Mining has produced gem-quality diamonds up to 28.3 carats in size. The 30 State Line kimberlites, intruded about 390 million years ago into Proterozoic crystalline rocks, were presumed to be underlain by Archean basement of the Wyoming Province. Nearly all the kimberlite pipes contain diamond but only the Kelsey Lake pipes are economic. The Kelsey Lake kimberlites contain predominately diatreme facies kimberlite, with minor hypabyssal and crater facies rocks locally occurring. Alteration and weathering of the kimberlites is extensive. Petrologic studies indicated an underlying lithosphere that has a largely Proterozoic signature and shows evidence of deep melt and metasomatic events. Current development has concentrated on the two largest pipes. These have been bulk-sampled after geological study (1987) identified the presence of small diamonds and mineral chemistry indicating favorable diamond conditions. A 10-t/hr (11-stph) rotary pan plant was established in 1992 to process thousands of tons of bulk-sample material. Grades and gem-quality diamonds to 14.2 carats in size were recovered. Early in 1995, it was decided to move from evaluation to commercial mining. Production began in early 1996. A 195-t/hr (215-stph) rotary pan plant was built. A water supply system and tailings disposal have also been incorporated. The project straddles the Colorado/Wyoming border. Existing mining permits were amended to incorporate the increased scale and new plant facility. The permits for this project included the following: Colorado mining permit, Wyoming dozing permit, Corps of Engineers Section 404, Colorado NPDES, Wyoming NPDES, Storm water Management Plan, Air Pollution Emission Notice, various Colorado and Wyoming State Engineer and well permits, Substitute Water Sup¬ply Plan, Larimer County Special Use Review, and US Forest Service road use permits. The temporary destruction of a wetlands area was a sensitive issue. It has been addressed through the Clean Water Act Section 404 permit administered by the US Corps of Engineers. This use will be mitigated by creating new, self-sustaining wetlands in the immediate drainage system. A comprehensive and bonded reclamation plan is incorporated in the permits. Diamond mining and ore processing is environmentally benign. No chemicals are used in processing the diamonds. The plant is a water wash facility. The kimberlite ore is inert, as is the granite wall rock. The exposure of the ore body and the subsequent ore processing and waste rock and tailings containments pose no threat of release, leaching or dispersion of any detrimental elements. There is no acid-forming waste. Even a prolonged acid rain environment will not produce a harmful leachate. Slimes containment and clarification ponds will prevent unacceptable levels of suspended solids in water discharge. The isolated, restricted access and nonvisible nature of the mine and processing has led to straightforward permitting. Geology The State Line district is located in the northern