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Nickel 28 Announces Q2 2021 Financial Results
TORONTO / Aug 31, 2021 / Business Wire / Nickel 28 Capital Corp. (“Nickel 28” or the “Company”) (TSXV: NKL) (FSE: 3JC) has released its results for the three-mo
About this update from Nickel 28 Capital Corp
[{"type":"text","content":"TORONTO / Aug 31, 2021 / Business Wire / Nickel 28 Capital Corp. (“Nickel 28” or the “Company”) (TSXV: NKL) (FSE: 3JC) has released its results for the three-month period ended June 30, 2021. “In addition to another exceptionally strong quarterly performance from Ramu, the Company believes it has reached a significant milestone and repaid its operating debt based on Ramu Mine’s continued exceptionally strong results,” stated Anthony Milewski, chairman of the board. He continued, “we would like to thank our partners at Ramu, MCC, for their continued outstanding financial and production results from Ramu.” Q2 2021 Highlights The Company’s principal asset, an 8.56% joint-venture interest in the Ramu Nickel-Cobalt (“Ramu”) integrated operation in Papua New Guinea, continued to have another strong quarter in terms of sales and cash flow. Highlights from Ramu during the quarter include: Expected repayment of the Company’s operating debt from Ramu’s quarterly results, the first of two debt tranches from Ramu, which triggers cash-flow to the Company. Nickel 28’s cash generation from Ramu in Q2 2021 of US$7.7 million. Project revenue in Q2 2021 of over US$218 million, as a result of strong nickel/cobalt commodity prices and improved payability for mixed hydroxide (MHP). Quarterly sales of 10,975 tonnes of contained nickel and 1,004 tonnes of contained cobalt in MHP. Quarterly production of 7,773 tonnes of contained nickel and 718 tonnes of contained cobalt in MHP placing Ramu as the number one producer of MHP globally. Average cash costs for the quarter, net of by-product credits, of US$2.83/lb. of contained nickel. Nickel 28 Highlights: Strong quarter end cash balance of US$4.6 million, providing ample liquidity for the Company. Non-recourse joint-venture debt, as of June 30, 2021, of US$94.0 million, consisting of US$10.2 million of operating debt and US$83.8 million of construction debt. The Company’s semi-annual repayment of joint-venture debt from Ramu’s H1 2021’s cash flow generation is expected to be finalized in the next 6 weeks and the Company believes this cash flow will be in excess of the remaining operating debt of US$10.2 million. About Nickel 28 Nickel 28 Capital Corp. is a nickel-cobalt producer through its 8.56% joint-venture interest in the producing, long-life and world-class Ramu Nickel-Cobalt Operation located in Pap...