Diavik Diamond Mines has decided to cancel a winter production shut-down at the Diavik mine in Canada’s Northwest Territories.

Diavik, in which Harry Winston Diamond Corporation owns a 40% stake, had announced a series of actions in response to changes in market conditions, including plans for a summer and winter production shutdown.

On 24 August the summer closure was successfully completed and rough diamond output resumed to preclosure levels.

The winter closure, which has now been terminated, was initially proposed for 1 December 2009 to 11 January 2010.

Harry Winston Diamond chairman and CEO Robert Gannicott said that they are resuming regular supplies of Diavik diamonds to customers.

“We do not foresee a return to extreme conditions that would warrant a further shutdown,” he said.

Diavik is an open pit mine but plans are to begin underground production early next year.

By 2012, Diavik anticipates that open pit mining will cease and the mine will become an all underground mine.