About 200 workers at a mine in NSW’s Far West will lose their jobs unless a new owner is found.
CBH Resources’ Rasp Mine in Broken Hill informed its staff on Monday morning that it would begin a staged closure of its operations in the next two months.
It’s understood about 200 staff could be impacted by the move, the ABC reports.
Japanese parent company Toho Zinc said a review of the mine’s business plan revealed the company was no longer in a position to invest in the mine’s sustained operation “without significant financial impairment”.
Zinc, lead and silver are mined at Rasp Mine.
“Unfortunately, as a result of this difficult business decision, there will be a workforce reduction this year with further reductions as Broken Hill Operations move to a staged closure in 2024,” CBH Resources said in a statement on Tuesday morning.
However, all hope is not lost yet for the hundreds employed at the mine, as CBH Resources said it was “actively seeking a new owner for the Rasp Mine” during the transition period.
Locals revealed on social media that staff were notified of the devastating news just hours before the news was made public.
“No notice at all. Damien finished night shift got home and got a call,” a family member posted to Facebook on Monday afternoon.
Voluntary redundancies have been made available to employees while the company searches for a new owner.
Broken Hill Mayor Tom Kennedy said the council was “saddened by the news” and “sincerely hope a new buyer can be found” to continue operations.
“We are confident that Toho Zinc and CBH Resources will do everything in their power to support staff through this transition period and thank both companies for their contribution and investment in Broken Hill to date,” he said in a statement posted to Facebook on Monday.
Council has offered its assistance in the search for a new buyer and promised to lobby the state and federal governments to provide any required assistance for workers and those in the broader community who may be affected by this development.
“Although this is a difficult time for our community, we believe the Rasp Mine and its remnant lodes still represent a viable mining opportunity for a new owner, and we hope there will be a new chapter in the mine’s history in the near future,” Mr Kennedy said.