NICKEL DEVELOPMENT: Sherritt updates Ambatovy progress

MADAGASCAR – All the systems in the pressure acid leach (PAL) area at the Ambatovy nickel development are either in operation or start-up, reports 40% owner Sherritt International of Toronto. The balance of the US$5.5-billion project is owned by Sumitomo (27.5%), Korea Resources (27.5%) and SNC-Lavalin (5%).

The slurry thickener, three ore leach autoclaves, the neutralization circuit and countercurrent decantation (CCD) wash circuit, all key parts of the PAL process, are all operable. Slurry precipitation to produced mixed sulphide is in start-up and is expected to be operational in April.

The delivery of mixed sulphides is a significant milestone, said Sherritt. The majority of the systems in the refinery are awaiting the production of mixed sulphides to progress into start-up and operation. Production of finished metal is expected in the second quarter.

Ambatovy remains focused on reaching commercial operation safely and reliably by the end of 2012 or early 2013. The project has an expected project life of 30 years and is designed to produce 65,600 tonnes (100% basis) of finished nickel and cobalt annually when fully operational.

Key documents concerning the Ambatovy project are available at Ambatovy.com.