MINING AND METALLURGICAL COMPANY NORILSK NICKEL 
First Vice-President, Chief Operating Officer, Sergey Dyachenko commented on the 1Q2020 production results:
'First of all, I would like to highlight that COVID-19 outbreak has not had any material adverse impact on Company's operating activity so far. NornickelPublic Joint Stock Company 'Mining and Metallurgical Company 'Norilsk Nickel' and its subsidiariesGo to the glossary is making significant arrangements to protect the health and safety of its employees, while maintaining business as usual in all operating sites.
Therefore, we reiterate our production guidance from own Russian feed for FY2020 announced at the Capital Markets Day in November 2019.
In 1Q2020, the Company increased mine output 5% compared to last year. However, the volumes of saleable metals were affected by the pre-commissioning of the new chlorine leaching refining shop at Kola MMCKola Mining and Metallurgical CompanyGo to the glossary. As a result, the Company built up temporarily nickel and (to a lesser extent) PGMPlatinum group metals taken as a whole or in any combination of platinum, palladium, rhodium, ruthenium, osmium and iridiumGo to the glossarys work-in-progress material inventories. In addition, PGMs' volumes reduced relative to last year due to a high base effect of 1Q2019, when a substantial amount of earlier accumulated work-in-progress PGM inventory was released. Whereas the decrease in copper output was attributed to scheduled reduction in processing volumes of concentrate purchased from Rostec and its lower metal grades. At the same time, Bystrinsky project continued its ramp-up delivering a record 15 kt of copper in copper concentrate, up 21% from the fourth quarter 2019 and 51% higher than a year ago.
We expect that saleable metal production volumes to recover during the rest of this year as the accumulated work-in-progress inventory will be released following the gradual ramp-up of the new refining shop at Kola MMC'.
This announcement contains inside information in accordance with Article 7 of EU Regulation 596/2014 of 16 April 2014.
Full name and position of person making the announcement - Vladimir Zhukov, Vice - president, Investor Relations
ABOUT THE COMPANY
MMC Norilsk Nickel is a diversified mining and metallurgical company, the world's largest producer of palladium and high-grade nickel and a major producer of platinum and copper. The company also produces cobalt, rhodium, silver, gold, iridium, ruthenium, selenium, tellurium, sulphur and other products.
The production units of Norilsk Nickel GroupPublic Joint Stock Company 'Mining and Metallurgical Company 'Norilsk Nickel' and its subsidiariesGo to the glossaryare located at the Norilsk Industrial District, on the Kola Peninsula and Zabaykalsky Krai in Russia as well as in Finland and South Africa.
MMC Norilsk Nickel shares are listed on the Moscow and on the Saint-Petersburg Stock Exchanges, ADRAmerican Depositary Receipt; a security representing partial ownership in deposited securities of a foreign company certified by receipts issued by a US depositary bankGo to the glossarys are traded over the counter in the US and on the London, Berlin and Frankfurt Stock Exchanges.
Attachments
- Original document
- Permalink
Disclaimer
OJSC MMC Norilsk Nickel published this content on 30 April 2020 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 19 May 2020 08:02:01 UTC
