Dominion Diamond Mines could pursue a form of federal bailout after the sale of its Ekati mine collapsed this month.
Brendan Bell, a director of the company, said Dominion had spoken with a Crown corporation among others as it tried to avoid liquidation, which Bell said was now a real possibility.
Creditor protection allows a financially troubled company to pause repayment of many debts and other obligations while it restructures or seeks a buyer.
Dominion has spent most of the year in creditor protection. With the demise of an earlier deal to sell Ekati to another subsidiary of its parent compan…