GMK Norilsk Nickel has found in Canada nickel concentrate for its Finland’s refinery. The raw will be bought from Canadian Royalties, where Norilsk Nickel is a minority holder.
The investments in the project that will produce the first concentrate by late 2009 are estimated at no less than $150 million. The analysts predict that GMK will eventually attempt to step up in Canadian Royalties. GMK Norilsk Nickel announced yesterday it inked a number of agreements with Canadian Royalties Inc. (CRI) to bring momentum to the Nunavik copper and nickel project implemented in Canadian Quebec. To be more precise, the Russian company has undertaken to buy out 7.2% of CRI stocks under closed subscription, paying $25 million for them. According to CRI, the price includes the 23% premium to the market cost of the stocks as of September 28, 2007. The agreement with CRI guarantees supplies of nickel concentrate from the deposits of Nunavik project to Norilsk Nickel’s Harjavalta Oy starting from 2009. (kommersant.com)