The Brazilian miner Vale is set to downscale its nine-billion US dollar nickel plant in New Caledonia in the face of competition from China.
The company is yet to detail its plans publicly but informed members of Congress in a closed session of its new strategy.
Vale has reportedly suggested closing the nickel refinery for technical and financial reasons and exporting more nickel ore while maintaining cobalt production.
A union leader has told the news agency AFP that 90 jobs may be lost.
But they say a further 1300 jobs could be under threat if the operation at Goro is reduced.