Russian mining and smelting company Norilsk Nickel announced its decision to withdraw from the Nakety/Bogota project in New Caledonia, the Pacific Ocean. According to deputy CEO Leonid Rozhetskin, exploration operations demonstrated that the cost effectiveness of this project would be much lower compared to incumbent projects in Norilsk, Russia, where the main resources of Norilsk Nickel are concentrated.
Norilsk Nickel decided to participate in the development of laterite ores containing nickel more than a year ago, aiming at minimizing risks connected with the political situation in Russia. The mining and smelting giant reached an agreement with Canadian Argosy Minerals Inc. and New Caledonian Societe Miniere de la Tontouta on the joint development of nickel deposits in New Caledonia. Initially, the cost effectiveness of this project was expected to be much higher than the development of nickel deposits in Norilsk, the Izvestia newspaper reported.