News that an American company wants to buy Wabush Mines has people in western Labrador crossing their fingers.

Ron Barron worked at Wabush Mines, and is a former mayor of Wabush.

"We've been hearing all along that talks were ongoing, and there was a possible sale coming. I'm more optimistic on the future of Wabush Mines than I was yesterday."

Virginia-based ERP Compliant Fuels has submitted a bid to Cliffs Natural Resources which owns the mine but closed it in 2014.

"We are very interested and trying to close the transaction this spring," said ERP co-founder Tom Clarke.

Clarke said that there is an upswing in the iron ore market, and that if ERP can get the mine back into full production, it would mean 300 to 400 jobs.

"We've had good times. We've had bad times. Iron ore is a cyclical market, said Barron.

"I've been here with major layoffs throughout the years when communities were half empty. That's the nature of the beast. But Wabush was always a viable operation in my mind and a lot of other people's minds."

Ron Barron is a member of the United Steelworkers, and a former mayor of Wabush. (CBC )

He said people haven't left the area this time the way they did during other closures.

"Back in the early '80s, towns were half empty here. Houses were all boarded up. Many homes were taken out of here and moved throughout the country," said Barron.

"This time, they said the mine was never to operate again. But people still held on, had hope that the operation would start again, very soon."

Clarke has said that the hope is for ERP Compliant Fuels to also buy the steel works in Hamilton, Ontario, and ship ore from Wabush to that facility.

"His comments were that he wasn't inventing this. It was something that was done for years. If it is done right, it can work," said Barron.

Fingers crossed that mine could reopen. (CBC)

Clarke also talked about a partnership with the United Steelworkers (USW).

"This doesn't work unless everybody is working together, pulling that boat in the same direction." said Barron, who is a member of the USW. "Always for me it is to make sure that Wabush is a viable community."

Barron said he realizes it is still wait and see, that nothing has been signed off on.

"Hopefully the operation at Wabush will start, and we'll start seeing people employed back there in the near future. That's what I'm looking forward to, that the mine starts and I'll be back there again."