Nornickel notes some progress in reducing stocks of accumulated metals - top manager

ST. PETERSBURG. July 6 (Interfax) - Norilsk Nickel has noted some progress in its program to reduce working capital accumulated due to changes in supply chains last year, Sergei Stepanov, Senior Vice President and Chief Operating Officer of Norilsk Nickel, told Interfax on the sidelines of the Bank of Russia Financial Congress.

"We have a program [for the sale of accumulated metal reserves]. We have reduced reserves for several metals. For some metals, it's more difficult," he said.

Stock reduction is occurring both due to changes in the geographical structure of sales, and changes on the part of demand sectors, he noted.

In manufacturing, Norilsk Nickel "will strive" to meet its 2023 production guidance for all metals, despite the absence of Western components, the senior vice president said.

The capex program for this year, which was estimated at $4.7 billion, will be physically implemented, the top manager confirmed, but its estimate will change due to the volatility of the ruble exchange rate. It was calculated on the basis of a much lower dollar exchange rate, Stepanov admitted.