The Globe and Mail

Go to the Globe and Mail homepage

Jump to main navigationJump to main content

Mary River iron ore on Baffin Island, Nunavut.
Mary River iron ore on Baffin Island, Nunavut.

Subscribers Only

Cliffs to idle Quebec iron ore plant

Struggling with high labour costs, Cliffs Natural Resources Inc. will close its iron ore pellet plant in Quebec by mid-year and shift its focus to production at the Bloom Lake project nearby.

The Wabush Pointe Noire pellet plant in Sept-Îles, Que., currently employs 165 people. But for months now, management has signalled that the costs from this operation were too high for their liking because the Wabush operation was running at a loss. In just one quarter last year, cash costs per tonne jumped 21 per cent, eating into the bottom line.