Nickel Asia ships out record ore volume but...
MANILA, Philippines - It's not the volume, it's the price.
This was the reason mining company Nickel Asia stressed in a statement on Thursday, January 10, for the anticipated impact of the dampened global price for nickel ore for its 2012 financial performance.
It said the total volume of nickel ore sold and delivered from its 4 operating mines reached 11.7 million wet metric tonnes, a 12.5% increase from the previous year and a record high.
But lower prices dragged total value of the shipments. Estimated value of nickel ore shipments reach only P11.2 billion in 2012, a 7.4% drop.
Nickel Asia attributed this to lower LME nickel prices, which averaged at $8.10 per pound in 2012 versus $10.53 per pound in 2011.
Nickel Asia has 4 operating mines in the Philippines: Rio Tuba in Palawan, Taganito in Surigao del Norte, Hinatuan in Surigao del Sur, and Cagdianao in the Dinagat Island.
The upcoming Taganito nickel processing plant will be opened in the first half of 2013 and will start full year of operations in 2014. Total ore deliveries to the plant from Taganito mine is expected to hit 4.5 million WMT.
It said it has sealed contracts for the delivery of 11.7 million WMT of saprolite and limonite ore, including the 1.8 million WMT of limonite ore to the Taganito processing plant. - Rappler.com