Nornickel to build copper plant in China

In a move to gain direct access to its biggest market, Russian metals producer Nornickel said it will close its Arctic copper plant and build one in China with an unnamed partner, reported Reuters.

The project is a major shift for Nornickel, which is simultaneously adapting to sanctions on Russia and to changing buying preferences in its main sales destination, Asia. Last year, the continent accounted for 54% of Nornickel’s revenue.

“We are transferring our environmental problems, settlement problems, market access problems, problems with customising our goods for the consumer market, in this case, to China, where they will be solved more efficiently,” CEO Vladimir Potanin said.

Potanin said Nornickel would create a joint venture to build the Chinese plant, which it hopes will be constructed by mid-2027. Nornickel would supply the plant with about 2 million metric tons of copper concentrate a year.

Source: Reuters

Related posts