Bloomberg quoted Mirabela Nickel Limited, an Australian producer as saying that missed payment of interest due on its debt will only cause a default should it continue for 30 days.

Perth based Mirabela Nickel said that the company didn’t make a payment of interest on October 15 relating to the about USD 395 million of 8.75% unsecured notes maturing in 2018.

Mirabela Nickel, halted from trading in Sydney on October 7 has seen its market value plunge to AUD 14 million from AUD 421 million at the start of the year. The company had its credit rating lowered to Caa3, from Caa1, by Moody’s Investors Service Inc. this month and cut to CCC+, from B-, by Standard & Poor’s.