Norilsk scraps launch of Australian Black Swan nickel mine
ST. PETERSBURG. June 22. (Interfax) - MMC Norilsk Nickel has scrapped the launch of Australian nickel mine Black Swan, which was slated to be the Russian company's second enterprise in that country opened after the crisis, following Lake Johnston, the Director of Norilsk's Overseas Operations Roman Panov told journalists.
Norilsk arrived at such a decision after evaluating the possibilities of developing the deposit and processing concentrate from Black Swan at the Cawse plant. "Given current market conditions, we don't see the necessity of launching this deposit. In the future, Black Swan is only being considered as a supporting resource base," he said.
The company has planned $5.5 million of investments in further geological survey at Lake Johnston, its only operating mine in Australia, in order to strengthen its resource base, Panov said.
Lake Johnston will produce 10,000 tonnes of nickel in concentrate this year, compared to 2,500 tonnes last year (the enterprise was launched last June). Norilsk will use part of the concentrate from this deposit for processing at its nickel refinery in Finland, it will sell a portion in China, and it will sell another part to BHP, which has enterprises in the vicinity.
Norilsk and BHP carry out joint geological survey at the Albion Downs copper and nickel deposit. However, Norilsk is not considering a joint venture with BNP to develop other Australian assets, including at the major sulphide nickel ore deposit Honeymoon Well, Panov said. Such a move would be inexpedient because Norilsk has the full production-refining cycle (the Cawse hydrometallurgical plant in Australia and the Harjavalta refinery in Finland) for its reserves in Australia and does not see synergy, he said.
