A renowned mining company, Industrias Peñoles, announced on Saturday its plans to indefinitely suspend zinc mining operations in central Mexico. The company claims the decision was made due to difficult mining conditions and low market prices. 

Industrias Peñoles revealed it was laying off more than 500 unionized workers who were employed in the Madero Mining Unit-an operation located 20 kilometers from the nation's capital. The company did not specify whether they were also letting go of some of the staff of the contractor companies that they collaborated with on the project. According to their statement, other workers and contractors might be reassigned to other units. 

According to a local news site, the National Metallurgical Mining Union signed an agreement with the mining company to settle over 400 unionized people. A vast majority of them were also offered a plant position in the Fresnillo company which is a subsidiary of Peñoles. 

The other 105 non-union employees were reportedly relocated in different operating units. Contractors were also provided with job options in the mining company and its subsidiary. 

The company declared the temporary suspension of the mine after the high cost of operation was met with an abrupt drop in the price of the precious metal. Difficult mining conditions also played a part in making the mining unit "no longer feasible." The indefinite pause in operations would reportedly not affect the production of refined zinc. 

Industrias Peñoles said the first-quarter saw a severe decline in the prices of industrial metals when compared to the same period from the previous year. According to their reports, the value of zinc suffered a 21.3 percent drop. 

The Francisco I. Madero mine in the Zacatecas state began its operations nearly a decade ago. In 2019, the mining company reportedly ground and processed more than 2.3 million tons of ore, over 41,500 tons of zinc, and nearly 9,000 tons of lead. 

Zinc is a precious metal that was discovered during the 13th century C.E. The malleable metal is often used to plate iron to prevent corrosion. It is also found in batteries, tires, cement, paint, plastics, soap, fluorescent lights, T.V. screens and other material products. Zinc can also be found in most coins. The U.S.penny is mostly made of zinc with a bronze plating. 

Zinc mining began in the 18th century after miners discovered that zinc sulfide could be smelt and processed. There are over 50 zinc mines all over the world, with the largest one being the Red Dog Mine in Alaska. The zinc operations in the Red Dog Mine reportedly contributes to 4.2 percent of the world's zinc production. 

Canada, Australia, China, Peru, and the U.S. are among the world's largest producers of zinc. In 2019, global zinc mine production was estimated to have reached more than 13 million tonnes. Meanwhile, several zinc mines in Canada, Australia, Ireland and Namibia are set to close within the coming years due to depletion of the resources. 

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