NEW YORK Royal Nickel Corp., which fell further into red ink last year, is targeting a start-up of its Dumont nickel project in Quebec in "late 2015."
The Toronto-based company presented a timeline for the Dumont project which includes the receipt of permits in the second quarter of 2014, with the "completion of partnership and financing arrangements expected in advance of the receipt of permits."
Construction is projected to start following the receipt of permits in 2014, with the mine set to ramp up production in 2016 following commissioning in 2015.
"Progress has been made in many areas, such as the delivery of a robust revised pre-feasibility study, advancement of the permitting process with the filing of the Environmental and Social Impact Assessment, and recently the formation of an innovative strategic alliance with a leading Chinese stainless steel producer," Royal Nickel president and chief executive officer Tyler Mitchelson said in a statement.
The company recently signed a memorandum of understanding with Tsingshan Holding Group Co. to help secure supply for a new Tsingshan plant processing sulfide nickel concentrate, with the possibility of an offtake agreement to follow (amm.com, March 12).
Royal Nickel posted a 2012 net loss of Canadian $9.2-million ($9.1 million), up 17.9 percent from a C$7.8-million net loss the previous year.
"The increased net loss is primarily due to increased consulting fees of C$0.9 million due to higher project finance advisory costs and an increase in the noncash share based payments charge of C$0.7 million due to a lower mark-to-market recovery adjustment," the company said.