Jan 15 (Reuters) - Tahoe Resources Inc, said on Monday it would lay off about a quarter of its employees at its flagship Escobal silver mine in Guatemala because of uncertainty over whether the company will have its mining license for the site reinstated.
The company's license to mine at Escobal was provisionally suspended by the country's Supreme Court in July. Tahoe Resources said it was terminating 250 employees from the mine, given its inability to resume operations pending the court's final decision.
The Supreme Court issued the suspension after an anti-mining organization appealed to the court alleging that the country's Ministry of Energy and Mines had not consulted with the Xinca indigenous people before awarding the license to Tahoe's Guatemalan unit, Minera San Rafael.
The mine employed more than 1,000 people before the license suspension, Tahoe Resources said. If the court decides to reinstate the license in the next several weeks, the need for future job cuts could be eliminated, the company said.
(Reporting by Divya Grover in Bengaluru; Editing by Frances Kerry)