The Northern Territory Mining Minister says the Government will not offer any financial aid to GBS Gold, despite the potential loss of hundreds of Territory jobs.

GBS Gold say it’s had to go into administration because production costs have soared at its mines at Tom’s Gully and Brock’s Creek.

GBS Gold employs about 200 people and it’s likely there will be job losses, but the administrators Ferrier Hodgson says it’s too early to put a figure on just how many.

“It is simply too early to tell what will be happening terms of redundancies of employees,” says the administrators Darren Weaver.

“Certainly it is the desire of the boards of directors and management to keep the group together and for operations to continue and that’s certainly with a view to restructuring and see it continuing.”

Territory Mining Minister Kon Vatskalis says he’s not too worried about any redundancies that may be caused by GBS Gold going into administration.

“The miners keep telling me they can’t find workers, so I’m pretty sure that these people will be able to find work very quickly.

“When you expand very quickly, and probably that’s what happened, and when your costs are high, very high, because your quite a difficult mine, I think it’s very wise for GBS gold and any other company to have a look at its expediture and profitability.”

He says the company will not get financial aid from the Government.

“Government will not dig into its coffers to help GBS company. GBS is an independent company. It’s a commercial entity, Government is not a partner. Government does not own GBS, Government will not provide funding to GBS.