Owere Mines at Konongo in the Asante Akim-North Municipality has commenced underground gold mining as part of efforts to increase production.
Mr Bill Appiah, the Liaison Manager, told journalists that the company planned suspending surface mining operations, which is proving to be non-viable and unsustainable for the mine's future.
He said the company had been losing about US$2 million every month due to the low extraction of gold from surface mining.
"Trial mining at the surface will be suspended in the interim so that resources can be directed to a more sustainable development strategy," he said.
Mr. Appiah said almost half of the workforce is to be offloaded to allow the mine to focus on underground activity and gave the assurance that the affected workers would be adequately compensated.
He said more workers would be engaged when the underground exploration show positive sign of high gold deposits.
Mr. Appiah said the company was upbeat about the future of the mine since the company's concession was on the same belt with Obuasi.
Mr. Micheal Ataogye, the Municipal Coordinating Director, appealed to the people to show understanding as the company re-strategized to make it more viable in the interest of all stakeholders.