TOKYO – Japanese trading house Sumitomo Corp expects that nickel output at its Ambatovy project in Madagascar will likely fall short of its earlier target of 48 000 t in the year to March 2019, its chief financial officer said on Friday.
"The Ambatovy project has run at about 64% to 65% of full capacity in the April to June quarter and it is running at about 70% now," Sumitomo CFO Koichi Takahata told a news conference, adding that it aims to raise and maintain the rate at 80% as soon as possible.
Sumitomo said in May that it expected around 48 000 t of nickel output at the Ambatovy nickel-cobalt project this financial year based on the assumption of an average operation rate of 80%.
Sumitomo owns a 47.7% stake in Ambatovy, while Canada's Sherritt International and South Korea's Korea Resources also hold stakes in the project.