Russia-based Nornickel is planning to increase production of nickel by 15pc and copper by 20pc by 2023 to meet the increasing demand, company’s management said on Capital Market’s Day on Dec 1.
Nornickel’s nickel production is set to reach 250,000-270,000mt beginning 2030. Copper production is projected to rise to 490,000-530,000mt, up almost 15-20pc.
The jump is production is expected only through organic growth including brownfield assets redevelopment, and not acquisitions, the company said.
Nornickel will double capex to $3.5-4bn for 2022-2025 from $1.7bn which was for 2013-2020.
The company is planning full modernization of nickel facilities at Kola unit including Monchergorsk and Harjavalta processing plant in Finland to scale-up nickel refining. New scoping studies will be released by the company by the end of 2021. Norilsk-based plant after the installation of third-furnace in 2025 will increase smelting capacity by 850,000mt a year.
The company says that copper and nickel global supplies will stay in surplus of 108,000mt for nickel and 180,000mt for copper in 2020 while 2019 recorded a deficit for both. Surplus will continue into 2021 for both the metals.