NEW YORK Brazilian miner
Vale SA expects to produce 260,000 tonnes of nickel in 2013 as
it plans to spend $3.78 billion on its base metals operations
during the year.
Of the $2.05 billion the company
has earmarked for project execution in the base metals
division, $1.22 billion will go toward the construction of its
50,000-tonne-per-year Long Harbour nickel processing plant in
Newfoundland and Labrador, while the company will invest $171
million on the restart of its 8,200-tonne-per-year Totten
nickel mine in Sudbury, Ontario.
The total projected cost for the
Long Harbour facility has increased to $4.25 billion from a
previous estimate of $3.6 billion due to "cost pressures
stemming from a tight market for labor and engineering services
in Newfoundland and Labrador," according to the company.
The $1.4 billion that will be
spent on sustaining existing base metal operations will include
$188 million for the replacement of the No. 1 furnace at the
companys Onça Puma nickel operation in Brazil,
which suffered a furnace breakdown in the second quarter, and
$213 million for the construction of a clean atmospheric
emissions reduction project in Sudbury.
Vale said it will spend $494
million for "operational enhancements" in its base metal
operations, although it did not provide further