Long mine closure forces Nickel West’s hand

  • Monday, April 9, 2018
  • Source:ferro-alloys.com

  • Keywords:mine,closure,Nickle West
[Fellow]Long mine closure forces Nickel West’s hand

[ferro-alloys.com]A turnaround in nickel prices has come too late to stop BHP Nickel West placing part of the Kambalda Nickel Concentrator on care and maintenance from July, after attempts to convert the plant into a gold processing facility fell short.

 

The decision to shut the concentrator’s milling circuit has been made with the looming closure of Independence Group’s Long Nickel Mine on May 31, the last pure nickel mine in the Kambalda district and Nickel West’s main supplier of ore.

 

The concentrator had already been hit by the mothballing of a string of nickel mines across 2015 and 2016 as the metal’s price collapsed to decade-long lows, triggering a major economic slump in the Goldfields town, 50km south of Kalgoorlie-Boulder.

 

However, the bulk of the plant will remain in operation to blend concentrate from third parties, including high-grade product from Independence Group’s Nova nickel mine and Western Areas’ Forrestania project.

 

The concentrator was built by WMC at the onset of WA’s first nickel boom in 1967.

 

Nickel West boss Eddy Haegel revealed last year the division was assessing whether it could convert the concentrator to process gold.

 

But BHP confirmed yesterday recent attempts to secure alternative ore supply from gold miners had not been successful. It is understood fewer than 10 employees will be affected by the change, with all to be redeployed locally.

 

Toronto-listed RNC Minerals is also in the process of offloading its Beta Hunt mine near Kambalda, a prominent nickel mine which first opened in 1973 but has primarily produced gold in recent years, with RNC chief executive Mark Selby saying this week market interest had been “very strong”.

  • [Editor:王可]

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