The company has claimed that the suspension is voluntarily, although it does not agree with the unfair legal directive.

Commenting on the temporary halt Straits MD Andre Labuschagne remarked that the abrupt blockage of operations is disappointing especially at a time when the company is planning to further production.

"It also has a flow-on financial effect in the local community surrounding the Mount Muro operations, as we will be standing down some of our workforce during this period," added Labuschagne.

Labuschagne claims that the directive does not have an impact on the ‘Contract of Work’ that the company secured over its mining leases.

The firm was expecting to reach full production by March 2012, producing nearly 100,000 ounces of gold equivalent.