Australia-based Nickel Mines reported record-high quarterly production in the December quarter with a 7.7pc increase from the prior quarter.
Production of nickel metal through Rotary Kiln Electric Furnace (RKEF) stood at 11,527mt. The company sold 11,401mt of nickel, a decline of 4.8pc from the prior quarter.
Nickel Mines holds 80pc interest in Hengjaya Nickel and Ranger Nickel Projects, both operate on RKEF plants in Indonesia Morowali Industrial Park. Nickel Mines’ share of production from RKEF operations accounts for 9,221.6mt for the quarter.
Production increase in nickel was reported at both Hengjaya and Ranger Nickel projects aided by consistent monthly production of 1,900mt from each project, which accounted for 11,527mt in the December quarter. Higher ore grades were consistently observed at Hengjaya, said the company. The Hengjaya mine is currently under preparation for a ramp-up in 2021, including the construction of haul roads and the installation of culverts.
The company’s quarterly sales stood at $158.8mn from RKEF operations, up 16.6pc from the prior quarter and operational profits stood at $71.6mn, up 45.6pc from the September quarter.
Nickel Mines has also inked a deal with Shanghai Decent Investment for a 70pc stake in the Angel Nickel project in Indonesia worth $490mn. The Angel Project is stated to have a capacity of 36,000mt of nickel with four RKEF lines and 380mw coal-based power plant.