Strategic Partnerships

Tiffany & Co.

Diamond purchase and marketing arrangement with one of the world’s most prestigious jewellers — Pursuant to Tahera's agreement with Tiffany & Co., all of the Jericho diamond production will be purchased or marketed by Tiffany. This agreement allows Tahera to mitigate many of the costs associated with marketing diamonds independently, including those associated with developing a large marketing staff, shipping, insurance and security.

• Tiffany will purchase a significant quantity of the Jericho production.
• Tiffany acts as agent to sell diamonds that are not purchased for manufacturing.
• Tahera receives competitive market prices for the Jericho diamonds based on prevailing market values.
• Price discovery mechanisms are in place.
• Tahera receives a share of the manufacturing profits on diamonds purchased by Tiffany.
• Tahera delivers diamonds to Tiffany in Yellowknife, thus mitigating many of the costs associated with insuring, transporting and marketing diamonds independently.
• Tiffany provided Tahera with $35 million credit facility.

• Tiffany also provided an $8 million working capital facility.

Teck Cominco Limited

Strategic Alliance with one of the world's leading mining companies — 

• Teck Cominco’s initial investment represented approximately 16% of Tahera’s issued and outstanding common shares
• The alliance with Teck Cominco Ltd. provided Tahera with extensive operational expertise for the Jericho Diamond Mine.
  

De Beers Canada Inc.

Exploration alliance with the world’s diamond powerhouse — Tahera’s joint venture with De Beers Canada Inc. on the lands adjacent to the Jericho property (Muskox Kimberlite, Polar Project) is a key aspect of the Company’s exploration program and strategy for increasing reserves in the Jericho area.

• Joint venture with De Beers on lands immediately west of the Jericho property.
• Joint venture is part of the Company's exploration strategy of building reserves within trucking distance of Jericho Diamond Mine.
• Tahera crossed the $11 million spending threshold in April and therefore has earned its 50% interest in the Polar project, which includes the Muskox Kimberlite. Tahera has the option to earn a further 25% interest in the project from partner De Beers Canada Exploration Inc. by making certain payments to De Beers depending on the net present value of the project.
• De Beers back-in to 70% on large-scale projects.
• Tahera (or its agent) has diamond marketing rights on Tahera-operated projects.
• Property hosts significantly diamondiferous Muskox Kimberlite, plus excellent exploration potential.