The Asia Miner

JAN-MAR 2019

The ASIA Miner - Reporting Important Issues to Mining Companies in the Asia Pacific Region

Issue link: https://asiaminer.epubxp.com/i/1084649

Contents of this Issue

Navigation

Page 21 of 51

the asia miner • volume 16 • issue 1 20 REGIONAL FOCUS: Central Asia & Mongolia NORILSK NICKEL HARJAVALTA (FINLAND) Nickel Nickel producঞon at Norilsk Nickel Harjavalta increased 2 per cent q-o-q to 17 kt. Nickel output from the company's own Russian feed also increased 3 per cent q-o-q to 16 kt. The increase was aributed to higher processing volumes of Russian feed. The nickel output at Harjavalta increased 2 per cent y-o-y to 61 kt, almost all of which were produced from the Company's own Russian feed. The growth was aributed to the increase in processed volumes of Russian feed as a result of downstream reconfiguraঞon and processing of accumulated work-in- progress inventories. Copper Copper output at Norilsk Nickel Harjavalta increased 1 per cent q-o-q to 5kt, and 34 per cent y-o-y to 18 kt, almost all of which were produced from the Company's own Russian feed. The increase was aributed to higher processing volumes of Russian feed (concentrate made from nickel mae produced at the Polar division), following the compleঞon of downstream reconfiguraঞon as well as processing of accumulated work-in- progress inventories. Plaঞnum Group Metals Output of saleable palladium and plaঞnum (both contained in copper cake) amounted to 16 koz (up 14 per cent q-o-q) and 3 koz (down 25 per ent q-o-q), respecঞvely. The increase in palladium and decreased in plaঞnum output were aributed to higher palladium content and lower plaঞnum content in processed Russian feed in the reported quarter. The output of palladium and plaঞnum increased 39 per cent y-o-y to 58 koz and 10 per cent y-o-y to 11 koz, respecঞvely. The growth of PGM output at Harjavalta was aributed to the increase in processing of Russian feed as a result of downstream reconfiguraঞon. NKOMATI (SOUTH AFRICA) Nkomaঞ, which is 50 per cent owned by Norilsk Nickel, produced 7 kt of nickel – down 18 per cent y-o-y), 3 kt of copper (down 32 per cent y-o-y), 33 koz of palladium (down 28 per cent y-o-y) and 13 koz of plaঞnum (down 35 per cent y-o-y). The decrease was aributed to lower metal grades in the mined ore as well as temporary producঞon stoppages due to labour strikes by contractors. One of Russia's fastest-growing gold companies, GV Gold, has announced a double-digit gold producঞon growth in its operaঞonal results for the 12 months ended 31 December 2018. In 2018, GV Gold's producঞon totalled 304.3 koz, including gold in concentrate. Total gold producঞon grew by 36 per cent year-on-year (y-o-y) due to improvement in operaঞonal efficiency across all producঞon faciliঞes, as well as Taryn and Ugakhan plants reaching their designed capacity. The reported ore throughput totalled 8.2 Mt – a more than 40 per cent y-o-y increase – with the Ugakhan plant aaining its designed capaciঞes. Despite an average grade decrease at the Golets Vysochaishy site, GV Gold's overall gold producঞon remained at the same level owing to higher throughput and recovery at Mills 2 and 3. "GV Gold's performance in 2018 has posiঞoned the company as one of the most dynamic players in the sector," said GV Gold's CEO German Pikhoya. "We are confidently moving toward our goal of becoming one of Russia's top five gold producers. By ramping up producঞon capaciঞes, the Company has reached an enঞrely new level, pracঞcally doubling gold producঞon from 164 koz in 2016 to 304 koz in 2018." GV Gold also reported a successful compleঞon of geological exploraঞon, which laid the foundaঞon for sustainable future growth at all of the company's business units, with a reported expenditure of approximately US$27 million on geological exploraঞon in 2018. Revenue from gold sales is esঞmated at US$357 million, a 32 per cent y-o-y increase. 2019 GUIDANCE The company has successfully completed a major investment cycle, completed key strategic projects, and plans to focus on organic growth at its exisঞng assets. The expansion of the resource base and increase in producঞon capaciঞes at the Taryn and Ugakhan mines, combined with further opঞmisaঞon of operaঞons at all assets will enable the GV Gold to conঞnue on its growth trajectory. In 2019, the Company plans to produce 305-325 koz of gold. "We expect to extend the lifespan of our flagship Vysochaishy mine, as well as the Marakan mine, through 2024," said Mr Pikhoya. "Another important accomplishment was the acquisiঞon of the licence for development of the promising Svetlovsky ore field in the eastern part of the Bodaibinsk ore field, a project which we are considering for the development of our Irkutsk business unit." GV Gold announces operating results for FY 2018

Articles in this issue

Archives of this issue

view archives of The Asia Miner - JAN-MAR 2019