The company said the cutbacks, made through voluntary redundancies, would cost about $A2.5 million.

They represent about 26% of the mine’s workforce.

Aditya said analysis showed positive signs for a restart at Nifty.

With phase 2 probe drilling completed, it said the risk of water or mud inrush had been significantly reduced due to dewatering efforts.

The risk of the creation of new sinkholes was also being mitigated and analysis had allowed it to sketch out areas capable of safe independent mining.

The company said it was working with the Department of Mines and Petroleum on the results of the testing.

In the meantime, a detailed mining schedule is being prepared to establish start-up requirements, with critical start-up constraints being reviewed.

Coffey International also visited the site to help with insurance calculations.

Along with this work, paste filling in mined areas will continue following DMP approval last month.

Aditya shares were up 2.5% to A19.5c this afternoon.