The British Columbia Safety Authority has concluded that a large gondola tower at Blackcomb Mountain failed because of a rare phenomenon known as “ice-jacking”.

According to a news release issued this morning by Whistler Blackcomb, water seeped into the tower and turned into ice  during the recent cold snap. This caused the December 16 rupture in the splice in tower four  of the Excalibur Gondola.

All the cabins remained on the cable, but some dropped 30 feet along the span. Two cabins hit the ground, causing minor injuries, with 12 people requiring treatment at a nearby medical clinic in Whistler. In all, 53 people were evacuated.

According to the company, the Whistler Village Gondola and the Creekside Gondola have different tower structures. All remaining lifts at Whistler and Blackcomb will have reopened by midday today.

The Excalibur Gondola was built in 1994 and is a Doppelmayr lift, which is common at ski resorts around the world.

The accident comes at a terrible time for Whistler Blackcomb, which is owned by Intrawest Corp. Last week, the resort opened its new $52-million Peak 2 Peak Gondola, which transports skiers over a 4.4-kilometre span between the  tops of Whistler and Blackcomb mountains.

At its highest point, the Peak 2 Peak Gondola is more than 400  metres above the valley floor.

The resort was preparing for the lucrative Christmas skiing season. However, if the Excalibur Gondola remains out of service, it will have an impact on the number of skiers that can be brought into the alpine areas of Blackcomb Mountain.

In addition, Whistler is cohosting the 2010 Winter Olympics with Vancouver, and this incident brings bad publicity just as the resort is trying to capitalize on increased global media interest in its facilities.

Finally, Intrawest’s parent company, hedge-fund manager Fortress Investment Group, has had a terrible year as a result of the global financial meltdown. On December 16, the New York-based investment company's stock closed at US$1.22, down from a 52-week high of US$17.32.

Fortress has been the lender for the billion-dollar Olympic Village project in Vancouver. The local city council recently provided a $100-million loan guarantee to try to ensure  that the  development will be completed in time for the 2010 Games. City officials have estimated that the project is $70 million over budget.

Meanwhile, Intrawest has reduced staff this year at resorts in other markets, which has attracted media attention in Colorado and Ontario.