Doug Ashbury
Northern News Services

NNSL (Sep 10/99) - If interim receiver PricewaterhouseCoopers accepts Miramar's offer to buy Giant Mine, only 50 of the 280 Giant Mine workers could be rehired, Miramar Mining Corp., revealed Tuesday.

"Should its offer be accepted, Miramar is committed to offering its first vacancies at the Giant Mine to previous Giant Mine employees terminated by the receiver.

"Miramar believes, subject to detailed planning, that approximately 50 of the previous workforce at the Giant Mine could be hired," Miramar said in a release.

Miramar's plan is to buy mineral resources and the property assets only. The company's wholly-owned subsidiary, Miramar Con Mine Ltd., is amid talks with the receiver on the proposed acquisition.

That means shutting down the mill at Giant. Ore from Giant, 300 to 400 tons per day, would be processed at Miramar's Con mine. Miramar would continue to process between 600 tons and 900 tons from the Con mine.

The company said processing ore from two locations would be redundant. Con has capacity for up to 1,200 tons per day.

It also said that it will under no circumstances produce arsenic trioxide in Yellowknife.

"Operation of the roaster at Giant would be inconsistent with this commitment," the release stated.

The arsenic trioxide is a byproduct of the gold-roasting process.

"Miramar had no role in creating environmental conditions at the Giant Mine and therefore has no responsibility for ameliorating them."

But the company is willing to participate in the arsenic trioxide cleanup.

"Cleanup of existing arsenic trioxide at the Giant Mine will be the major focus of any future abandonment and restoration plan. Miramar would work co-operatively with the Department of Indian and Northern Affairs, and the NWT Government to develop such a plan."

Government has estimated it could cost $250 million to clean up arsenic trioxide stored in drifts underground at Giant.

As well, Miramar added its plan would mean no layoffs at Con.

PwC, appointed interim receiver by an Ontario court, suggested Giant employees be given to Sept. 27 to come up with a plan to keep the mine running.

Miramar agreed that Giant workers, like those in Timmins, Ont., should be provided an opportunity to formulate a rescue plan.

Marc Danis, president of Canadian Autoworkers Local 2304, the labour group representing 200 Giant miners, said last week the local's members are in the same position as workers at the Pamour and Nighthawk mine in Timmins -- come up with a rescue plan or face job losses.