BC Iron shuts Pilbara Mine
Iron ore miner BC iron has announced that it will be shutting its Pilbara mine as a result of poor commodity prices.
Hundreds of jobs are at risk after the company confirmed that it will suspend production at its Nullagine operations.
The suspension is set to come into effect during the next few weeks. The decision to suspend operations came after the prolonged slide in the iron ore price.
“Despite achieving material cost reductions at the Nullagine joint venture, the continued decline in the iron ore price, in particular in the last two weeks, has resulted in an iron ore price and outlook whereby the BC Iron board believes it is not in the interests of the company’s shareholders for the NJV to continue to operate in its current form,” the business said in a statement.
The business is in possession of an 11 million tonne stockpile of low grade ore and is currently trying to figure out what it will do with this stockpile.
The business has stated that operations would resume should the market conditions improve.
