Colonsay potash mine will remain idle for 'foreseeable future': Mosaic

The Mosaic potash mine in Colonsay, Sask., will stay closed for the "foreseeable future," the company announcedTuesday.

Eighty salaried employees will be laid off, according to an emailed statement from Sarah Fedorchuk, Mosaic's vice-president of public affairs and government relations.

"We will be providing transition services, educational bursaries through a retraining fund to obtain new skills and education, and access to other services like our Employee Family Assistance Plan (EFAP)," Fedorchuk said.

Another 45 positions will remain at the plant for maintenance, regulatory checks and safety measures.

Mosaic shut down the mine in August for an indefinite amount of timeamid low prices, resulting in about 350 layoffs.

"The ramping up of our Esterhazy K3 production combined with continued weak demand in North America has left Mosaic's potash business with excess inventory and production capacity,"Joc O'Rourke, Mosaic CEO, said in the statement.

Colonsay is about 60 kilometres southeast of Saskatoon.