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COVID-19 pandemic cited as reason behind suspension of Glenwood mine

In the early part of 2019, there was plenty of optimism from the provincial government and investors at the announcement of plans to reopen the Beaver Brook Antimony Mine near Glenwood. Earlier this week it was announced the mine was suspending operations, citing the COVID-19 pandemic as one of the reasons. — SaltWire Network file photo
In the early part of 2019, there was plenty of optimism from the provincial government and investors at the announcement of plans to reopen the Beaver Brook Antimony Mine near Glenwood. Earlier this week it was announced the mine was suspending operations, citing the COVID-19 pandemic as one of the reasons. — SaltWire Network file photo

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Jason Kinden spent much of Thursday morning on the phone and checking his email.

The Glenwood mayor was doing his best to gather information and wrap his head around the announcement of the suspension activity at the Beaver Brook Antimony Mine on the outskirts of town.

The mine is some 40 kilometres from town and while Kinden doesn’t work there, he does have friends who were employed there.

“It was tough for me to hear because it was such a surprise,” Kinden said about the suspension of operations.

Mine operators will continue to monitor the pandemic and keep a close eye on the possibility of restarting the project sometime in 2021.

The Beaver Brook mine has a history of restarts. It was just in 2019 that the mine secured new financial backing and again went into production.

Then, it was anticipated the mine would operate for three to four years and produced 160,000 tonnes of material. Prior to that 2019 announcement, the mine had been closed for almost a decade.

On Nov. 17, the operators of the Beaver Brook Antimony Mine made the decision to fully suspend operations at the site.

“I was amazed they took it so soon,” said Kinden.

The moves come after the mine had just returned to limited operations in July after a three-month suspension of activity due to the COVID-19 pandemic.

“Our most recent suspension comes as a result of the ongoing global COVID-19 pandemic and the threat of a second wave as cases increase across Canada, combined with the significant negative impacts the crisis has had on our financial situation,” a spokesperson for the mine said in a statement.

During the winter, the mine’s production costs historically increase, which also contributed to the decision to suspend operations. After assessing the situation, it was decided it wasn’t feasible to continue things this upcoming season.

The latest suspension means the majority of the more than 100 workers at the site were laid off.

According to the release from the mine, other layoffs are expected to be issued in the coming weeks. A small group of personnel will remain at the site to monitor the situation and make sure the mine stays true to its legislative requirements and fufill its environmental responsibilities.

They will also attempt to continue positively contributing to Glenwood and nearby Gander.

“This is certainly not a decision we take lightly and fully understand the resulting impacts on our workforce and local communities,” a mine spokesperson wrote in the release. “We have so far taken every reasonable measure to prevent this suspension but were sadly unable to do so.”

As news broke Wednesday of the mass layoffs, the Gander Chamber of Commerce started looking at options. The hope amongst chamber members is some of the skilled workers affected may be able to find work close to home with one of the several gold mining projects in the region.

“It is devastating news for the workers given the time of year,” said Sheldon Handcock, chairperson for the Gander and area Chamber of Commerce. “Right before Christmas to be laid off unexpectedly and I think everyone was pretty much blindsided by the fact.”

The chamber indicated they’re willing to help where they can.

“Anything the chamber can do to help the situation in any way,” said Handcock. “We advocate for our members, we advocate for any other businesses whether they are a member or not.”

One thing is for sure and that is the loss of the mine will have an impact on the economic outlook of the area as a whole.

“It will affect businesses,” said Handcock.

Earlier on Wednesday, Kinden had been in contact with the site manager at the mine and he was told the company hopes to be able to resume operations in the spring.

He knows the closure is going to affect businesses in town and accommodation rentals. Kinden spoke with the principal of the town’s school who told him there were families who moved in to work at the mine who have children enrolled.

“Hopefully, in the spring it will be running again,” he said.

Nicholas Mercer is a local journalism initiative reporter covering central Newfoundland for SaltWire Network.

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