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Fewer than 100 more Vale workers will lose jobs this year, North Atlantic mining director tells city

Vale spending 37 per cent more for exploration in Nickel Belt region this year than previously budgeted
Vale’s North Atlantic mining operations director Alistair Ross
Vale’s North Atlantic mining operations director Alistair Ross

Fewer than 100 more Vale Manitoba Operations are expected to be laid off by Dec. 31 of this year, according to a press release form the city regarding a recent meeting with the company’s North Atlantic mines director.

“We do still anticipate a smaller adjustment in 2019,” said Ryan Land, corporate affairs and Indigenous relations manager for Ontario and Manitoba

City officials met earlier this month with Alistair Ross, previously the director of Ontario mining operations, who was put in charge of mining operations for the North Atlantic division, including mines in Sudbury and mining and milling operations in both Thompson and Voisey’s Bay, in July. He said that the production pause that began following the annual maintenance shutdown to improve safety practices and production procedures shows considerable promise for improved safety and has improved workers’ morale, though United Steelworkers Local 6166 president Warren Luky said how good workers morale is depends a lot on whether they are one of the workers who are going to be affected by coming layoffs or not.

Ross also emphasized that the concentrate load-out facility, an $80 million project, was completed on time and on budget and with zero lost-time injuries.

“We will realize the potential of our Manitoba Operations by positioning employees to execute safely and reliably, leveraging digital technology, utilizing data, and designing work differently,” said Ross in a city press release. “In doing so, we need to move towards guaranteeing the safety of our workforce. The recent extension of the shutdown will allow us to move closer to that goal.”

The city’s release said that growth in demand for electric vehicles and energy storage technology is increasing confidence in the future demand for nickel and that the company recently completed a $1.2 million aerial electromagnetic survey in the Thompson Nickel Belt zone and that Vale plans to spend $750,000 more than its planned exploration budget by the end of this year. Land said $2 million was budgeted for this year, making the additional funding a 37.5 per cent increase.

“Unbudgeted allocations, especially this large and inside such a tight timeframe, are certainly significant for the future of Thompson,” said Land, though what it might ultimately lead to is unknown at this point.“It’s hard to draw a straight line between these types of exploration activities and future production as the results won’t be reported or in our mine plan for some time.”

“Both our employees and the community have demonstrated tremendous resiliency through challenging times,” said Ross. “It’s time for a return to certainty in Thompson to ensure it remains a city of promise and opportunity.”

"Vale has been a substantial community partner since the company began operating in Thompson, and we look forward to working and growing together for decades to come," said Mayor Dennis Fenske. "Mining is alive and well in the region, and Thompson is ready to thrive as the service and development centre for a vibrant and growing north."

The city says that Vale’s recent expenditure on the load-out facility is part of more than $160 million in investments being made by the public and private sector in Thompson this year, including construction of new hangars at the airport and renovations at businesses in the city. One quarter of that $160 million comes from government projects and the rest from the private sector.

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