PJSC MMC Norilsk Nickel Announces Preliminary Consolidated Production Results for the Fourth Quarter and the Full Year of 2019; Provides Production Guidance for the Year 2020
In 2019, consolidated nickel production increased 5% year-on-year (y-o-y) to 229 kt. The growth was attributed to gradual ramp-up of nickel refinery operating new chlorine-leaching technology, the expansion of carbonyl nickel production as well as the launch of low-grade nickel concentrate production for the sale to third parties at Kola MMC and more third party feed processed at Norilsk Nickel Harjavalta. Nickel output from the Company's own Russian feed amounted to 225 kt in line with the top end of the 220-225 kt production guidance for 2019. In 2019, consolidated copper production increased 5% y-o-y to a record of 499 kt. The growth was driven by the ramp up of Bystrinsky (Chita) Project, increased mined ore volumes and higher copper grades at Talnakh mines as well as increased copper concentrate and copper cathodes production at Kola MMC from the matte received from Polar Division. Copper output from the Company's own Russian feed (excluding Bystrinsky project) amounted to 455 kt, slightly above the 430-450 kt production guidance range for 2019. Copper output at Bystrinsky GOK amounted to 43 kt, which was in line with the 40-46 kt production guidance for the asset. In 2019, palladium and platinum output amounted to 2,922 koz (+7% y-o-y) and 702 koz (+8% y-o-y), respectively. The increase of PGMs output was attributed to the release of work-in-progress inventory at Krasnoyarsk Precious Metals Refinery and processing of the feed purchased from third parties at Norilsk Nickel Harjavalta. Overall, in 2019 PGMs output from the Company's own Russia feed was above the production targets for palladium of 2,770-2,800 koz and 646-670 koz for platinum.
Production Guidance from the Company's Russian feedstock for 2020: Norilsk Nickel Group (excluding Chita), Ni between 225 kt -235 kt; Cu 420 kt -440 kt; Pd 2,648 koz - 2,777 koz; Pt 611 koz -675 koz.