Greece will not block Eldorado's mining operations, ministry official says

Greece's new left-wing government will not block Canadian firm Eldorado Gold Corp.'s mining operations in the country's north but will review permits for a processing plant at the site, a senior energy ministry official said on Wednesday.

"The mining will not stop," the official told reporters, a day after Greece climbed down from pledges to halt asset sales and roll back obligations under its bailout EU/IMF program.

The latest comments appeared to be a step back from the sharp comments by the energy minister last month when he told Reuters his government was "absolutely" opposed to the Skouries gold mine run by Eldorado and would review its next moves on it.

The official said the ministry was examining whether permits for the processing plant being built were in line with the law.

"According to our legal advisers, there are some shortcomings related to the site planning," the official said. "As a ministry we have ordered some of the permits to be recalled to re-examine whether the activity of the company is the one described in the approved permits." [Reuters]