The reason for the harm to the slurry pipeline, which occurred on Sept. 25, is being investigated, Sumitomo stated in an announcement on Monday, including that no accidents have been reported.
The Japanese buying and selling home has been struggling to stabilize manufacturing and enhance profitability on the Ambatovy mission, which launched in 2005.
The mission produced about 8,000 metric tons of nickel through the April-June quarter, down from about 10,000 tons a 12 months earlier, Sumitomo stated in July. It expects annual manufacturing of 35,000 tons for the 12 months to March 31.
It didn’t disclose its cobalt manufacturing. In response to Darton Commodities, Ambatovy produced 3,390 tons of cobalt final 12 months.
Sumitomo owns a 54.2% stake within the mission firms – Ambatovy Minerals, a mining firm, and Dynatec Madagascar, a refining firm – whereas the remaining stake is held by Korea Mine Rehabilitation and Mineral Assets.
The Ambatovy nickel mission firms filed a debt restructuring plan with a courtroom in London in August. Sumitomo Corp stated at the moment that the submitting was a part of their effort to make sure the steady and environment friendly operation of the mission, not a liquidation course of.
(By Pratima Desai and Polina Devitt; Modifying by Jan Harvey)