The company expects the work force to be cut to about 10 at the mine, to implement the care and maintenance of the mine and facilities.

The company, which had lost more than half its value in the past 12 months, giving it a market valuation of C$46.6 million, said it would continue exploration activities at the Beaufor mine in hope of increasing its gold resource over the longer term, given the high-grade results obtained since the end of 2017.

"This decision was necessary for the future of the corporation," said president and CEO Jean-Marc Lacoste in a statement Thursday. "Our goal is to restart the Beaufor mine as soon as we are able to ensure that our operations will be profitable."

The company's Camflo's custom milling operations, which reported a consecutive increase in revenues in the fourth quarter of more than 31%, would not be affected.

Monarques said its focus would turn to developing and completing the feasibility study on its core asset, the Wasamac gold deposit, which contains measured and indicated resources of 2.59 million ounces gold. The company had acquired land nearby the Wasamac project, with more than 1km strategically located along the Trans-Canada Highway and the Ontario Northland Railway.

Monarques also advised that it had sold its 2% net smelter return royalty in the East Amphi property to Canadian Malartic, a joint venture owned 50/50 by Agnico Eagle and Yamana Gold, for C$250,000.