FNX is the latest victim

Another one bites the dust, FNX stops "commercial" production at Levack but will continue work there through the year. Unless nickel recovers it'll go on care and maintenance pretty quick.

FNX was always very vulnerable to volatile commodity prices, they made their name by acquiring known deposits from INCO, these deposits were too small or not profitable enough for the big miner. FNX, who's upper management is all old INCO dudes grabbed these marginal deposits and with the help of record nickel prices produced another major company in the Sudbury district. This is why FNX is really going to have to start squeezing pennies, with nickel under 5$ we know Xstrata and ValeINCO can survive, they've been there before. FNI, who shut down their mine yesterday and FNX...they haven't proved they can do it yet.

One other interesting thing about the Levack mine is that the Levack Footwall deposit was discovered right underneath it, this is a high grade deposit that will be mined. FNX has a lot of properties as well, they'll be alright.
They have some good properties and they are in the holy grail of mining, but it'll be a rough ride for them until metal prices come back up.

LDI Mines also was to be put on care and maintencance starting Oct. 29th.

First Nickel shuts down Lockerby

FNI puts Lockerby on care and maintenance. Well, this is now the second (Blue Notes Caribou mine in NB getting the first spot) mine to be closed in Canada in recent weeks. The market conditions are wreaking havoc on the mining industry in Canada and around the world.

If the commodity prices keep declining or even stay at the current levels, we will continue to see mines closing across the country tossing hundreds of skilled workers into the workforce and into the operational mines. These people will be able to find jobs, the Canadian mining sector has been brutally under-staffed for a long time with several mines operating at 60-70% productivity. We're not just experiencing a market correction, we're experiencing an industry correction. One where bloated salaries, extremely optimistic speculative juniors, high services cost and mines operating on wishful commodity outlooks are all going to have to take a serious step back...

it sucks, but it was needed.

This is hitting me particularly close to home, I was "laid off" (told work wasn't guaranteed in the future) from a junior mining company only a few months ago and now the mid-tier miner I'm working for is on the verge of going on care and maintenance.

We'll see what the future brings, one thing is for sure, it'll be interesting as hell.