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Mine closure in Red Lake, Ont., surprises mining economist

The news of a temporary closure at the Rubicon Minerals mine in Red Lake, Ont., came unexpectedly to one mining economist at the Centre for Excellence in Sustainable Mining at Lakehead University.

New strategy required for gold extraction, Lakehead postdoctural fellow says

Mining economist Karl Skogstad previously wrote that the Rubicon mine in Red Lake, Ont., was one of the more promising projects in northern Ontario. (Rubicon Minerals)

The news of a temporary closure at the Rubicon Minerals mine in Red Lake, Ont., came unexpectedly to one mining economist at the Centre for Excellence in Sustainable Mining at Lakehead University.

The shutdown of the mine is leaving 330 workers without a job in the northern Ontario town with 5,000 residents. 

In a paper highlighting key mining developments, Karl Skogstad said the Rubicon mine was one of the more promising projects in northern Ontario. 

"That came as a bit of a surprise to me," Skogstad said. "That was one of the two projects that we said, 'this is going to open, you know, relatively on schedule, and it's doing well.'"
Karl Skogstad is a postdoctoral fellow at the Centre for Excellence in Sustainable Mining at Lakehead University. (Supplied)


The volatile price of gold is presenting challenges to companies such as Rubicon, he added.

Phil Vinet, the mayor of Red Lake, echoed a similar sentiment earlier in the week, pointing at the roller coaster ride taken by gold in the stock market. 

Skogstad said a new strategy for gold extraction will be key in helping the company restart their operations in Red Lake after the company reported difficulties due to operational complexities. 

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