TOKYO (Reuters) -Japanese buying and selling home Sumitomo Corp mentioned on Thursday it had resumed manufacturing on the Ambatovy nickel and cobalt undertaking in Madagascar at end-October after a pipeline situation a month earlier than, however is reviewing future output volumes.
Sumitomo has been struggling to stabilise manufacturing and enhance profitability on the Ambatovy undertaking, which launched in 2005.
The undertaking produced about 10,000 metric tons of nickel in April-September, or a half of the amount in the identical interval a yr in the past, the corporate mentioned on Thursday, with out offering a full yr output forecast, which it mentioned is beneath evaluation.
It had earlier anticipated annual nickel manufacturing at Ambatovy of 35,000 tons for the yr to March 31.
Sumitomo owns a 54.2% stake within the undertaking corporations – Ambatovy Minerals, a mining firm, and Dynatec Madagascar, a refining firm – whereas the remaining stake is held by Korea Mine Rehabilitation and Mineral Assets.
“As a shareholder of this project, we will keep considering all options to identify the best policy going forward for all related stakeholders,” Sumitomo mentioned in its monetary outcomes presentation.
The corporate posted a web revenue of 254 billion yen ($1.7 billion) for the six months to September, down 11% from the corresponding interval a yr in the past, partially hit by weak coal costs.
Within the April to September interval final yr, Sumitomo’s web revenue was 285 billion yen. The corporate stored its web revenue forecast for the fiscal yr to March 2025 unchanged at 530 billion yen.
($1=152.8900 yen)
