Nickel Asia Corp. said Monday it has been notified by Coral Bay Nickel Corp. (CBNC) of the planned shutdown of its hydrometallurgical processing plant (HPP) in Palawan, once the facility’s tailings storage reaches full capacity, likely around 2028.
CBNC is a major customer of Nickel Asia’s subsidiary, Rio Tuba Nickel Mining Corp. (RTNMC), and the two firms jointly operate social responsibility programs in the host community of Bataraza.
The planned cessation, driven by the nearing full utilization of Tailings Storage Facility No. 3, will mark a significant operational shift for the region’s nickel supply chain. However, Nickel Asia said the development currently has no material impact on RTNMC’s business or operations.
“CBNC and RTNMC will work together to ensure a smooth transition and minimize disruptions to operations and to the community,” Nickel Asia said in a disclosure to the Philippine Stock Exchange.
The company added it would provide further updates as new developments arise.
CBNC is among the country’s pioneering hydrometallurgical processing ventures, converting low-grade nickel laterite into mixed sulfide for export, largely to Japan.
The decision to shut down the plant could have long-term implications for processing capacity and community employment in Palawan, one of the Philippines’ key nickel-producing regions.
Business News Asia