Business
Nickel 28 Capital Releases Ramu Q1 2022 Operating Performance
TORONTO / May 09, 2022 / Business Wire / Nickel 28 Capital Corp. (“Nickel 28” or the “Company”) (TSXV: NKL) (FSE: 3JC0) is pleased to provide operational result
About this update from Nickel 28 Capital Corp
[{"type":"text","content":"TORONTO / May 09, 2022 / Business Wire / Nickel 28 Capital Corp. (“Nickel 28” or the “Company”) (TSXV: NKL) (FSE: 3JC0) is pleased to provide operational results for the quarter ending March 31, 2022 for the Company’s largest asset, being the Ramu Nickel-Cobalt (“Ramu”) integrated operation in Papua New Guinea. Nickel 28 currently holds an 8.56% joint-venture interest in Ramu which is operated by the Metallurgical Corporation of China (“MCC”). Q1 2022 Ramu Highlights: Ramu Q1 2022 production of 8,756 tonnes of contained nickel in MHP. Ramu Q1 2022 production of 830 tonnes of contained cobalt in MHP. Ramu Q1 2022 nickel sales of 3,336 tonnes of contained nickel. LME average nickel price of $11.97/lb. in Q1 2022, a 50% increase from the same period last year and a 33% increase from Q4 2021. Fast Markets average cobalt price of $36.24/lb. in Q1 2022, a 67% increase from the same period last year and a 22% increase from Q4 2021. Actual cash cost, net of by-product credits of $1.48/lb. of nickel produced as MHP, a cost reduction of 12% from Q1 2021. “Ramu’s production has rebounded to expected levels in Q1 2022 as PNG and the rest of Asia begin to emerge from the global pandemic,” stated Nickel 28’s Chairman, Anthony Milewski. “Despite significant increases in raw materials and input costs, Ramu was able to improve its cash costs for the quarter because of significantly improved by-product credits, mainly cobalt credits. We expect that Ramu’s full year costs and production will remain within guidance being 32,000 to 33,000 tonnes of contained Nickel in MHP and cash costs below $2.00/lb. of Nickel provided by-product credits remain consistent. Sales in the first quarter were impacted by increased restrictions in our main export destination as a result of the global pandemic and the 2022 Winter Olympics. We expect this to normalize in Q2 2022,” continued Mr. Milewski. Ramu’s operating performance for the period are presented below along with comparison to prior years, noting that these figures are unaudited. 2020 2021 2022 Q1 Q1 Q1 Ore Processed (dry kt) 920 952 953 MHP Produced (dry tonne) 21,177 22,845 22,229 Contained Nickel in MHP (tonne) 8,635 8,805 8,756 Contained Cobalt in MHP (tonne) 720 813 830 Nickel Capacity Utilization (% of design 1) 106% 108% 107% MHP Shipped (dry tonne) 15,121 22,648 8,436 Sales of Containe...