PRAGUE, April 1 (Reuters) - The Czech Industry Ministry will recommend to the government that the state provide financial support for New World Resources’ Paskov hard coal mine with a condition that it remains in operation until the end of 2016, minister Jan Mladek said on Tuesday.
Loss-making NWR, looking to slim down its operations and cut costs to return to profitability, announced plans last year to close Paskov at the end of 2014, but a state commission has sought ways to delay the closure until the end of 2016 to protect jobs.
“The commission reached a conclusion that the best solution would be to give 1.1 billion crowns ($55.27 million) for a specific cause, that is for severance for the miners and rescue (of the mine),” Mladek said at news conference after meeting the company and regional government officials.
$1 = 19.9035 Czech Crowns Reporting by Robert Muller. Editing by Jane Merriman