Fortune Minerals cuts executive pay to cope with Covid-19

The company hoping to open a mine outside Whatì says it has reduced executive pay to cope with the impact of Covid-19 and “current market conditions.”

Fortune Minerals is trying to develop the Nico mine – a deposit of cobalt, bismuth, gold, and copper – which relies on construction of the new Tłı̨chǫ all-season road between Whatì and Highway 3.

In a news release on Monday, Fortune said it had reduced president and chief executive Robin Goad’s pay while two other senior officers had left the company’s payroll.

Vice-president and chief operating officer Glen Koropchuk stepped down on May 20 but remains on Fortune’s board. Dave Massola left his part-time position as vice-president of finance and chief financial officer on June 1 and is now an advisor, the company said.

“Fortune has otherwise been able to take advantage of various government programs to mitigate the financial impact from the Covid-19 pandemic on its salaried employees and avoid any reduction of non-executive personnel,” the company’s Monday statement read.

Fortune said it continues to analyze the Nico mine’s projected construction and operating costs and has “identified several opportunities” to reduce them, though did not say what those are.

Nico will rely on a 50-km spur road from the new all-season road to allow transportation of metal concentrates to Hay River. From there, Fortune’s plan calls for materials to be taken to a southern refinery by rail.