Nornickel sticks to production outlook despite furnace repairs
Russia’s Nornickel, the world’s largest producer of palladium and a major producer of refined nickel, reported on Monday a 1% drop in nickel output for the first half of the year, but kept its 2024 production guidance for both metals.
The repaired furnace will return to operation in early August, suggesting Nornickel has found ways to overcome the problem. It did not disclose its new equipment suppliers.
In April, the United States and Britain banned their metal-trading exchanges from accepting new nickel, aluminum and copper produced by Russia and barred imports of the metals to try to disrupt Russia’s export revenues.
Nornickel said this would further increase price volatility and supply uncertainty, but pledged to fulfil all its contractual obligations.
Like many other Russian companies, Nornickel is pivoting to China and other non-Western countries in search of technology and new markets for its products.
The company is in talks to move its copper smelting to China, to build a nickel plant for the battery sector in China, and plans to build a platinum group metals refinery in Bahrain.
Nornickel said its palladium production was little changed in the first six month of 2024, while platinum output fell 3%.
The repaired furnace will return to operation in early August, suggesting Nornickel has found ways to overcome the problem. It did not disclose its new equipment suppliers.
In April, the United States and Britain banned their metal-trading exchanges from accepting new nickel, aluminum and copper produced by Russia and barred imports of the metals to try to disrupt Russia’s export revenues.
Nornickel said this would further increase price volatility and supply uncertainty, but pledged to fulfil all its contractual obligations.
Like many other Russian companies, Nornickel is pivoting to China and other non-Western countries in search of technology and new markets for its products.
The company is in talks to move its copper smelting to China, to build a nickel plant for the battery sector in China, and plans to build a platinum group metals refinery in Bahrain.
Nornickel said its palladium production was little changed in the first six month of 2024, while platinum output fell 3%.