Leaving no stone unturned, and after extensive drilling in and around the 777 mine, no new deposits were identified, and the difficult decision was made in late 2018 to start planning for closure of mining operations in Flin Flon.
While Hudbay’s activity in Flin Flon will be greatly reduced, we are expanding our operations at our Lalor mine in Snow Lake, where we recently completed the refurbishment of the New Britannia mill. With the New Britannia mill now in operation, Hudbay's annual gold production from Snow Lake is expected to average more than 180,000 ounces over the next six years.
We are also in the early stages of examining the potential to reprocess tailings in Flin Flon, which could bring future economic benefits to the Flin Flon community and reduce the environmental impacts of the tailings facility.
Hudbay is committed to doing everything possible to minimize the impacts of the transition on our workforce. We’ve made options available to employees to help inform their employment choices leading into the transition of operations. This was set out by our Memorandum of Understanding agreements with each of our unions.
Hudbay expects to maintain a smaller workforce in Flin Flon after 2022 for care and maintenance activities, personnel at the fabrication shop, personnel in concentrate handling and others in administrative roles to support our future business.
At our Snow Lake operation, a number of roles have been made available at the Stall and New Britannia mills, and Lalor mine, that will be filled by Hudbay employees currently working in Flin Flon. Additionally, Hudbay continues to offer upskilling opportunities at our Snow Lake operations.
Meetings with all Hudbay employees in Flin Flon and Snow Lake regarding their future position or how they will be affected by the transition are complete.