Premier visits Wabush, N.L., one-industry town hit by iron ore mine shutdown

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ST. JOHN'S, N.L. - Newfoundland and Labrador Premier Tom Marshall is in Wabush (WUH'-bush) today to offer support for a one-industry town devastated by news of the Scully iron ore mine shutdown.

Cliffs Natural Resources blamed volatile prices and high costs for its decision to idle the site by the end of March.

The move affects about 380 unionized workers and 120 staff.

The town of 1,900 residents relies on the mine for one-third of its budget.

But there are hopes a buyer will be found for the mine and that the premier may have some encouraging news later today about another project.

Natural Resources Minister Derrick Dalley (DAH'-lee) says the province will announce today or tomorrow if it will help pay for a new $300-million power line to Labrador West.

Alderon Iron Ore says the line is key to developing its $1-billion Kami mine, which could mean new jobs for displaced Wabush miners.

Geographic location: Wabush, ST. JOHN'S, Newfoundland and Labrador Labrador West Alderon Iron Ore

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