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The owners of the Scully Mine in Wabush, Tacora Resources, have obtained creditor protection from the Ontario Superior Court.
The protection was announced on Tuesday evening in a news release.
“Our financial condition has been negatively impacted by several factors and we now find ourselves facing financial obligations which we simply cannot meet,” a statement to employees of the mine obtained by CBC News reads.
There are 280 unionized workers at the mine, according to United Steelworkers Union Local 6285 President Joshua Joy. Operations at the mine will continue as normal, according to the release, with no layoffs or impacts to payment, benefits or pensions.
Joy said the move comes after an investor fell through.
The $75 million agreement should cover costs for the next 20 weeks — or until nearly the end of February — a projection filed as part of the court submitted proposal reads.
Tacora, based in Minnesota, have operated the mine since 2019. The mine produces iron ore, and received federal funding in January to help the mine process manganese.
The mine had closed in 2014 before Tacora took over operations, which saw the loss of hundreds of jobs along with lost benefits for workers.
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