KRONAU, Sask. – The long-awaited potash mine at Kronau, Sask., is in limbo once again, with Vale Potash putting the project on hold.
The Brazilian mining company announced the decision to suspend work on the mine in a public letter to the local community.
Vale says the recent feasibility study still shows a compelling case for a mine in Kronau someday, but market conditions make it difficult to finance the project right now.
Matthew Wood, senior project leader at Vale, says there just isn’t an opportunity to start any new construction next year.
The $3.5 billion mining project was projected to create 2,000 construction jobs and 350 permanent jobs.
The mining giant currently operates with a team of about 30 people in Saskatchewan.