Jaguar nickel sulphide project, Brazil – update

8th March 2024 By: Sheila Barradas - Creamer Media Research Coordinator & Senior Deputy Editor

Jaguar nickel sulphide project, Brazil – update

Photo by: Centaurus Metals

Name of the Project
Jaguar nickel sulphide project.

Carajás, Brazil.

Project Owner/s
Aliança Mineração, a wholly owned Brazilian subsidiary of Centaurus Metals.

Project Description
A value-add scoping study has been undertaken to evaluate the potential development of the project.

The project is expected to have a low-carbon emission footprint and generate strong financial returns while delivering significant long-term social and economic benefits for the local communities around it.

The scoping study envisages the development of openpit and underground mines supplying a 2.7-million-tonne-a-year nickel sulphate plant over an initial 13-year mine life.

The mine is expected to produce more than 20 000 t/y of recovered nickel in sulphate and more than 9 600 t/y of mixed sulphide precipitate.

Potential Job Creation
Not stated.

Net Present Value/Internal Rate of Return
The project has an estimated pretax net present value, at an 8% discount rate, of $1.03-billion and an internal rate of return of 60%, with an after-tax payback period of 1.8 years.

Capital Expenditure
The project will require preproduction development capital of $288-million.

Planned Start/End Date
First production from Jaguar is currently targeted for 2025.

Latest Developments
Centaurus Metals has deferred plans for a nickel sulphate refinery in Brazil and will instead focus on a concentrate-only project for now.

The board has decided to reshape the current feasibility study, postponing parts of the study relating to a fully integrated downstream nickel sulphate project and focusing instead on completing the study, based on an initial project only. This approach will significantly lower capital costs and will ensure the Jaguar project remains robust.

The board estimates that it will be able to release the concentrate feasibility study by the end of June 2024.

The company says the concentrate study is expected to show robust economics underpinned by low operating costs which are globally competitive, including with Indonesian nickel supply, in large part owing to the clean, low-cost power that is available to the project from the 230 kV national grid in Brazil.

Centaurus has noted that investor sentiment towards ASX-listed nickel companies has significantly declined and that this has had an impact on market capitalisations and funding options.

Key Contracts, Suppliers and Consultants
Entech; Re-Metallica; and DRA Global (value-add scoping study); and Ausenco (DFS).

Contact Details for Project Information
Centaurus Metals, tel +61 8 6424 8420 or email