Steelworkers Local 6500 president Rick Bertrand says Vale's announcement that it will shut down its Stobie Mine operations is "devastating news."

In a sombre Friday morning news release, the mining giant announced that 230 jobs could be affected.

"The phone's not stopping," Bertrand said. "People are concerned for their jobs, especially our younger members...this is a big number."

Low metal prices, seismic activity reasons for closure

Vale said it was a "necessary decision but a sad one," citing low metal prices as one of the reasons for the shut down.

Angie Robson, Vale's manager of corporate affairs, said the company is now turning its attention to softening the blow on the community.

"They'll be looking at people impacts and unfortunately we do anticipate there will be reductions in our workforce," she said. "But we're going to work really hard and try and minimize those impacts as best we can."

The company also said it was running out of quality ore, and recent seismic activity prevented miners from working below the 3,000 foot level.

No date has been set for the closure.

Stobie Mine began operating as an open pit mine in 1890 and the underground mine was dug in 1914.

Over the years Stobie has produced 375 million tonnes of nickel and copper ore. Stobie and the neighbouring Frood Mine have been the most productive mines in the history of the Sudbury basin.