Canadian miner Eldorado Gold has solved part of its dispute with the Greek government, after the environment ministry granted a licence for its Olympias mine.

Vancouver-based Eldorado had warned Athens it would cease operations at the Olympias mine if it did not secure necessary permits by the end of March.

The government revoked Eldorado's permit in August over environmental tests on the project but Greece's top administrative court reversed that decision in January.

The permit granted on Tuesday allows Eldorado to set up a processing plant in Olympias, which is crucial for the development of the mine.

"The project can now continue so that from the first quarter of 2017 the ore that will be produced at the mine will be processed at the Olympias facility," Hellas Gold, Eldorado's Greek unit, said in a statement.

The dispute with the government continues over the Skouries mine in Halkidiki in northern Greece.

Eldorado halted construction there, ending the jobs of 500 people, after the Greek government withdrew its licence and insisted on further environmental testing.

It has invested about $700 million to develop the Skouries and Olympias mines since 2012 and plans to invest another $1 billion in the projects.

With files from Reuters