Glencore has announced it will place its zinc sulfide in Portovesme, Italy, on care and maintenance until the end of 2021 as it waits for a "meaningful change" in power market prices.

The mining company said it decided to suspend operations at the Portovesme srl due to high power prices in Europe. It described Portovesme srl as being "highly dependent" on competitive and stable electricity prices.

Additionally, it said operations less dependent on market prices, such as Waelz and SX, will continue to operate normally.

"The decision will have an impact on approximately 400 direct employees and a range of associated contracting services," Glencore said.

"Portovesme srl will continue to review this decision against the backdrop of the European energy market."

According to Glencore, Portovesme srl is the only primary zinc and lead producer and has an annual capacity of 100,000 tonnes.