Taoiseach Leo Varadkar has vowed that the “Government is here to help” 650 workers who have been temporarily laid off from Tara Mines.
Mr Varadkar told the Dáil that the Swedish-owned company “appears to have done the maths” and that the rising cost of zinc has led to the closure of the Meath mine.
A new licence was issued to extend exploration at the mines just last month. Prospecting licences are typically valid for six years.
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Workers at Tara Mines were told on Tuesday evening that they were being temporarily laid off. The company has not, however, confirmed how temporary the layoffs will be.
Speaking in the Dáil, Sinn Féin leader Mary Lou McDonald asked the Taoiseach how much engagement the Government has had with the company and what engagement Energy Minister Eamon Ryan has had.
Mr Varadkar said that there has been “ongoing engagement with the company for quite some time” and that he visited the mine in late-2021.
He said that there were “concerns at the time about the future of the mine”.
Mr Varadkar said: “There has been ongoing engagement with the company and we want to help.
“That can involve putting in place an energy scheme. We have energy schemes in place for small businesses and large businesses. In addition, bespoke schemes are available where they are required.”
The Taoiseach said that the “Government is here to help” the 650 people who have lost their jobs. This, he said, will include job searches, income support or advice.
The Taoiseach also rejected Ms McDonald’s suggestion that the Government knew the extent to which the mine was in trouble and was “feigning surprise”, arguing that the news came as a shock to everyone.
A new licence was issued by the Department of Energy for Tara Mines in May. It has been outstanding since December 2022.
An email from Sinn Fein TD for Meath West Johnny Guirke to Eamon Ryan, seen by the Irish Mirror, warned Minister Ryan on May 11 that there were “concerning trading and operational difficulties being experienced by Boliden Tarhas leda Mines in Navan”.
A spokeswoman for Minister Ryan said that “issues relating to the finances, employment or trading challenges of individual mining companies are not within the remit of the Department of the Environment, Climate and Communications”
SIPTU Division Organiser, Adrian Kane, told the Irish Mirror that workers who have been laid off are “angry” over the news.
He said: “We would have hoped that the company would have engaged to a greater degree with unions prior to any such decision and we are now calling on it to embark on such an engagement with the aim of maintaining the mine in operation.
“Management has said it will reflect on the position of the unions and revert to us as soon as possible.”
Gunnar Nystrom, CEO of Tara Mines, said the decision to temporarily close and lay off workers was done in the face of “tremendous unsustainable losses”.
Speaking to RTE’s Morning Ireland on Wednesday, Mr Nystrom said the closure was brought about by a “perfect storm” of four factors; falling zinc prices, electricity prices, inflation, and operational issues.
Minister for Enterprise Simon Coveney said that the news could affect up to 2,000 people in the surrounding area of Navan.
His department has been engaging with the mine for several months and he was due to meet the company in Sweden next week.
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