To Vima –The Canadian mining company Eldorado Gold has announced that it will suspends a significant part of it construction and mining development operations in Greece, in response to its conflict with the Greek government in relation to licensing issues.
As such the construction operations in Skouries will be suspended, with the company warning that it will do the same for the mine in Olympiada, if it does not receive a license by the end of March. The company has also suspended construction work at Perama Hill and Sapes and is currently debating what to do with the Stratoni mine, which only has three more years of life ahead.
According to the company, it employs about 2,000 people in Greece and claims that it would prefer to crate more jobs and continue operations in Greece. The Ministry of Environment however has posed environment concerns and a number of objections, which have caused the licensing issues.
Local residents who oppose the controversial mining investment and company employees have clashed and staged protests. A company press conference on Tuesday confirmed that Eldorado Gold is suspending work at a site in northern Greece and laying off 600 workers following protests by local residents and a spat with the country’s government.
Eldorado Gold CEO Paul Wright said 500 more jobs were also likely to be cut later in the year.
Wright accused the government of using the mining project as a “political toy” but insisted the company had no plans to pull out of Greece.
Wright gave detailed figures of what the project in Chalkidiki would mean to the Greek economy:
1 billion euros in social security contributions
1.5 billion euros in salaries
100 million euros in associations and local organizations
150 million euros in environmental improvements
75 million in infrastructure projects in the region
2.5 billion euros in payments to local suppliers of goods and services
The government does not succumb to blackmail, says Environment Min Skourletis
The government does not succumb to blackmail, Environment and Energy Minister Panos Skourletis on Tuesday said in statements to Praktorio 104.9 FM following “Eldorado Gold” announcement that it partly suspends its construction works at Skouries.
Skourletis expressed his disappointment over the fact that CEO of the Canadian company, Paul Wright, decided to cancel their scheduled meeting on Tuesday.
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