Norilsk Nickel plans to invest RUB 75.4 billion

The Board of Directors of MMC Norilsk Nickel (hereinafter, MMC Norilsk Nickel or the Company), the largest global nickel and palladium producer, approved the Company’s draft budget for 2013 submitted by the management.

The budget ensures stable metals production by national operations of the Company in 2013. Nickel output by the Polar Division (PD) and Kola MMC is expected at no less than 233 thousand tonnes in line with 2012 output. Production of copper is expected to increase by about 2% to 359 thousand tonnes in 2013. Platinum and palladium output is anticipated to slightly reduce due to changes in ore composition and lower ore grades.

The Company is to sell 100% of the output. Revenue expectations are based upon the market consensus of metal prices for 2013.

The Company’s net profit and EBITDA margin are assumed to be in line with that of the world's leading metal producers.

The Company’s investment programme is expected to reach RUB 75.4 billion aimed mostly at the implementation of the key investment projects in mining and enrichment as well as modernization of production facilities.

The budget ensures social stability in the regions of operations and confirms the Company’s backbone position. The Company is expected to maintain existing social programmes and to join efforts with federal and regional authorities on the relocation of Norilsk residents and the development of city infrastructure.

The Company is going to further invest in initiatives aimed at the reduction of harmful emissions and improvement of environment.
The budget envisages for the Company‘s mid-term and long-term robust balance sheet.

The Company will also continue the optimisation of operating costs and improvement the efficiency of the investment projects.

Metal Supply & Sales Magazine welcomes you to participate in Copper, Brass and Bronze: Trends in Production and Consumption-2013, 2d All-Russia Conference