COLONSAY — Mosaic has announced its Colonsay potash mine will remain closed for the foreseeable future.
The Canadian Press reports that 80 salaried workers will be laid off as a result of the announcement, while 45 workers will remain for items like maintenance and regulatory checks.
"The ramping up of our Esterhazy K3 production combined with continued weak demand in North America has left Mosaic's potash business with excess inventory and production capacity,” said Joc O'Rourke, Mosaic’s CEO, in a media release.
“This decision will regrettably impact employees, but allows us to optimize our Canadian production assets and improve our cost position in a competitive market.”
The company says it will make up for the lost Colonsay production by relying at its mines at Esterhazy and Belle Plaine.
Mosaic said the Colonsay potash mine is to be placed in a "care and maintenance mode."
The mine was closed in August. At that time, 395 layoff notices were issued to hourly workers.
