Commodities Buzz: Xstrata Koniambo Nickel Project Produces First Metal

Mining major Xstrata reported that the Koniambo Nickel Greenfield project in New Caledonia worth $5 billion, which has been under construction for the past six years has produced first Nickel metal.
First metal production signals the start of Koniambo Nickel as a multi-decade, tier one asset with long-term cash costs at the bottom of the second quartile. At peak production the mine will further cement New Caledonias position as one of the most important nickel producers in the world and provide steady employment for approximately 800 workers, with a focus on local employment, and indirect employment for thousands of others.
Ian Pearce, Chief Executive of Xstrata Nickel, said: �All components of the mining and smelting process have now been successfully tested, leading to production of metal from Line 1. The production of first nickel metal at Koniambo after six years of complex design and construction is a huge achievement and a source of great pride for all of our employees. We are on track to deliver the full production rate of 60,000 tonnes per annum by the end of 2014 as scheduled, while maintaining excellence in terms of environmental and safety performance at this world-class industrial complex.�
Source by Commodity Insights