Norilsk Nickel has announced preliminary consolidated production results for the fourth quarter and the full year 2023, reporting a decline in output.
In 2023, nickel production was down 5% to 209,000 tonnes, copper production was down 2% to 425,000 tonnes, and palladium production was down 4% to 2.692 million ounces. Meanwhile, platinum production rose 2% to 664,000 ounces.
In 2024, Norilsk Nickel plans to produce 184,000 - 194,000 tons of nickel.
“In 2023, the Company slightly decreased the output of all key metals, except for platinum, as a result of lower mined rich and cuprous volumes owing to the gradual transition to new mining equipment. After testing and gradual roll-out of equipment from new suppliers, our mines recovered to the scheduled mining volumes in the fourth quarter,” said Sergey Stepanov, Senior Vice-President and Operational Director of the company.
“In 2023, nickel and copper output came in line with the annual production guidance, while platinum group metals were ahead of it. Trans-Baikal Division increased production of copper in concentrate above the production target range due to improvement in the operational efficiency and roll-out of automatic load management algorithms. In 2023, furnaces at Nadezhda Smelter and a grinding mill at Talnakh Concentrator in Norilsk Division were successfully repaired as scheduled. In Kola Division, technological processes were adjusted leading to an improvement of the quality of nickel cathodes and a reduction of cobalt and zinc impurities by 50%.”
Last year marked a major milestone in Nornickel's environmental strategy with the launch of Sulfur Program at the Nadezhda Smelter, aiming at a drastic reduction of sulfur dioxide emissions in the Norilsk Industrial District and improving the life quality in the city of Norilsk. The project construction was carried our 24/7 and took more than three years to complete. The new facility built is equivalent in size to seven football fields combined and has created approximately 500 new jobs.
In 2024, the company expects that risks related to an adverse geopolitical situation will continue to impact its operations.
Theodor Lisovoy, Editor in Chief of the European bureau, Rough&Polished
