15 Jun 2012 19:42

Norilsk Nickel could cut investment if nickel falls below $15,000/tonne

MOSCOW. June 15 (Interfax) - MMC Norilsk Nickel might start drafting proposals to curtail operating and investment expenditure in the event of a severe downturn in the market situation.

Vladimir Strzhalkovsky, the Arctic mining and smelting giant's CEO, has asked Andrei Bugrov, the board chairman, to consider convoking a board meeting to discuss this. His letter, seen by Interfax, is a response to a proposal by Maxim Sokov, a board member representing UC Rusal, to hold a board meeting to look at cuts in operating and investment costs and reviewing the company's development strategy.

Strzhalkovsky is suggesting that expenditure might be cut if nickel falls below $15,000 a tonne.

Specific proposals ought to be submitted to the board's budget committee within a month of the board reaching its decision.