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PotashCorp mine closure another blow for weak New Brunswick economy

Click to play video: 'Picadilly mine closure impacts more than just jobs'
Picadilly mine closure impacts more than just jobs
Tuesday’s sudden announcement to suspend operations at PotashCorp’s Picadilly mine has sent shockwaves through New Brunswick. The closure means the loss of over 400 jobs at the mine. However as Global’s Jeremy Keefe reports, the ripple effect goes much further than that – Jan 20, 2016

The loss of more than 400 jobs following the sudden suspension of operations at PotashCorp’s Picadilly mine is being felt throughout New Brunswick as the province struggles to climb out of debt.

READ MORE: PotashCorp mine closure has Sussex residents fearing worst about economy

“There’s no doubt it’s a tough blow for the province of New Brunswick,” said Energy and Mines Minister Donald Arsenault.

In addition to the miners who are now out of work, the trucking industry is bracing for the fallout as well.

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Salt used for winter road maintenance was previously transported from the site in bulk.

“Currently they move about 100 truckloads to the port of Saint John each day,” said Jean-Marc Picard, executive director of the Atlantic Provinces Trucking Association.

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A change in that procedure could mean longer hauls and ultimately more money spent by a province pledging to cut costs.

Constantine Passaris, an economics professor at the University of New Brunswick, believes an unfortunate set of circumstances should light a fire under Premier Brian Gallant’s government.

“I think this crisis that we have with the Sussex mine closure is a good opportunity for us to create a serious plan for the government of New Brunswick,” he said.

With the province now no longer expecting approximately $18 million in annual revenue from PotashCorp, Arsenault said the government will be looking elsewhere to make it up.

“We need to continue to turn every rock we can to try to find some economic opportunities for the province,” he said.

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