THUNDER BAY -- Greenstone Gold staff has been laid off and as exploration wraps up at the Hardrock site in Geraldton, the prospective mine's future is unclear.
Layoffs to take effect in early 2017 will impact 30 workers.
The company would not make a representative available for a media interview but in a written statement, it expressed it's starting the prospective mine's permitting and environmental assessment phase.
“The recent layoffs in Greenstone are, unfortunately, a normal course development for a project of this nature," the statement reads, adding the company remains committed to the Hardrock project's success.
"The capital cost associated with this project, however, is significant and therefore certainty with respect to access to public infrastructure, financing, permitting and social and environmental acceptance is required before a decision to construct a mine can be made and the related development activities in Greenstone can continue."
Greenstone Gold owning partners Centerra Gold and Premier Gold Mines released a joint feasibility study on Nov. 16, in which it says "the partnership has not made a development or construction decision on the project."
It explains budgets are under development in the areas of First Nation discussions, project financing and environmental assessments.
Wednesday's statement refers to those processes as continuing "in an effort to de-risk the project.
"We are hopeful that these activities will progress in a timely manner and that a decision to construct a mine will ultimately be made. It is at this point in the project life cycle where employment levels in Greenstone will begin to increase again."
In an interview with CFNO, Greenstone Mayor Renald Beaulieu said the municipality continues to meet with the company.
"It's the price of gold and other things, trying to reduce costs so the (environmental assessment) will come out more positive. There are other things that have been talked about," Beaulieu said.
"Hopefully this project can move forward at a later date."
