Vale to increase nickel production at Canadian operations

Monday, 15 March 2010 14:50:52 (GMT+2)

Brazilian mining giant Vale S.A. (Vale) has announced that it is proceeding with plans to increase nickel production at its strike-bound operations in the Canadian provinces of Ontario and Newfoundland and Labrador, where unionized production and maintenance workers have been on strike for close to eight months.

In January 2010, Vale resumed production at a one-furnace operation at the company's Copper Cliff smelter, near Sudbury, Ontario. The furnace has been operating at full capacity since, drawing down nickel inventories to produce a nickel oxide matte for the company's refinery in Clydach, Wales and producing at a nominal rate of 11 million pounds of nickel per month.

The Clydach Refinery, meanwhile, is currently operating at a rate of 2.5 million pounds of nickel per month and is expected to be back at full capacity by April, producing 7.9 million pounds of nickel per month.

The Voisey's Bay site in Labrador, which produces nickel concentrates supplies for Vale's operations in Thompson, Manitoba and Sudbury, Ontario, is currently operating on a two-week on, two-week off campaign basis, producing 3.5 million pounds of nickel per month.

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