Venture Southland says Solid Energy's decision to pull out of lignite mining in the region is disappointing.
Announcing another 105 job losses on Wednesday, Solid Energy chair Mark Ford said lignite ventures at three sites in Southland were no longer feasible.
Venture Southland spokesperson Stephen Canny said the three sites could have provided more than 1000 jobs.
However, not everyone is disappointed. After two years of campaigning, the Coal Action Network says it's delighted and relieved.
Spokesperson Kristin Gillies said lignite is a dirty fuel, which would raise New Zealand's level of greenhouse gas emissions.