Northern Star plan to continue cutting jobs at its recently acquired Plutonic gold mine in an effort to cut costs.
It comes after Northern Star's acquisition of Plutonic from Barrick, and his comments earlier this month when he outlined a focus on reducing production costs.
Speaking at a resources lunch yesterday, he detailed plans to achieve these cost cutting goals, one of which is a reduction in its workforce at Plutonic.
While there have already been cuts at the site, taking the number of workers down from more than 400 to 340, there are another 50 positions be cut, according to the Australian.
"It's not a nice process, but it is something that has to be done," Northern Star's CEO Bill Beament said.
''I think we can get it down to sub 300, so that's probably about 120 people we can drop off and we are going through that process now,'' he said.
This will aid it in achieving around $20 million in labour costs, the SMH reports.
''By the time you pay, feed and fly someone on a FIFO mine you are looking at $200,000 per head, so if you drop 100 people that's $20 million per year.
''Now is the time to build a mine, you can get a workforce cheaper than … 18 months ago.''
Northern Star will continue to focus on its Kundana mine, near Kalgoorlie Boulder, which hosts the Pegasus deposit, which is believed to host more than one million ounces of gold.