PotashCorp Penobsquis layoffs put off for now

The Potash Corporation of Saskatchewan has rescinded previously announced layoff notices affecting 50 employees at their Penobsquis facility near Sussex.

They will be temporarily extending operations, allowing continued production at the Penobsquis mine as they ramp up production atthe nearly $2 billion Picadilly plant.

The company was one of theAlwardgovernments hopes for job creation in the province.

PotashCorp initially announced layoffs of more than 1,000 people a week after the provincial government issued a request for expression of interest to explore for and mine potash in New Brunswick back in November.

It said the layoffs were due to what it describedas slumping demand for its potash and phosphates, which are used to make fertilizer.

A current press release from the company explained that the situation is due to tightness in the granular potash market.

The mine was previously anticipated to cease by the second quarter of 2014.

The company now says ramp-up activities at the Picadilly mine are continuing on schedule, with initial production expected during the fourth quarter of 2014.