Brazilian Nickel PLC Q2 2022 Update

16 Aug Brazilian Nickel PLC Q2 2022 Update

Brazilian Nickel PLC

Q2 2022 Update

Brazilian Nickel PLC (“BRN” or the “Company”), the privately held UK company producing nickel in Brazil, is pleased to provide an update on its operations at the Piauí Nickel Project (“PNP” or the “Project”), for the quarter ended 30 June 2022 (the “Quarter”).

PNP (Full Scale)

• The feasibility study (“FS”), being carried out by SNC-Lavalin (“SNCL”), was completed at the beginning of the Quarter and the study will be issued during Q3 2022 following final internal review.
• Early off-take discussions continue to progress with various major groups.

PNP1000

• Construction of the nickel producing units of PNP1000 was completed during the Quarter and first nickel was produced on 29 June, a major milestone for the Company.
• The first Nickel Hydroxide Product (“NHP”) was produced from the world’s first stand-alone nickel laterite heap leaching operation. Initial production from the PNP1000 will ramp up to produce 1,400 tonnes per annum (“tpa”).
• First sales expected in Q3 with production and inventory build-up to continue.

Environment, Social and Governance

• The PNP1000 operation is currently providing 216 jobs and over 70 per cent of these positions have been filled by residents of the local communities.
• Research work on CO₂ reduction progressed this Quarter producing encouraging results.

Mike Oxley, Chief Executive Officer, said: “This Quarter marked a significant step in the Company’s progress with first nickel production transforming the Company from a developer to a producer. This has been achieved through monumental efforts by all those associated with PNP1000 especially considering the challenges overcoming the global disruption throughout the last few years.

“Our transformation to being a producing operation has coincided with the global need for critical metals and we are proud to now be a new secure source of nickel and cobalt for the green transition.

“During the second half of 2022 we look forward to issuing the FS for the PNP project and providing any relevant updates on further off-take discussions. This has already been a year full of milestones and we are excited by the potential this project continues to show.

“Over the Quarter, we have seen macro events impacting the nickel price, however global growth in nickel consumption continues to rise and is expected to increase 14 per cent to over three and half million tonnes by year-end. Similarly, demand for cobalt continues to be driven upwards by growth in electric vehicle production. With a strategic emphasis now placed by western nations on developing secure supply chains for critical minerals, the future of both the cobalt and nickel markets looks highly positive.

“As always, thank you to all of our stakeholders for their continued support, and we look forward to keeping everyone updated with the ongoing works and studies throughout the rest of the year.”

Anne Oxley, Technical Director, said: “The tremendous work carried out across the Company has led to Brazilian Nickel becoming a nickel producer from a low carbon process. Whilst our product is expected to aid supply for ever-growing electric vehicle demand, our process will ensure the project and Company plays an important role as a sustainable producer.

“The continued research work on reducing the CO₂ emissions from the entire project has provided some encouraging results. We continue to strive to make the PNP’s process as sustainable as possible towards achieving the global net zero CO₂ target.” 

About Brazilian Nickel PLC

BRN is a privately held UK company established in May 2013 to develop nickel laterite heap leach projects worldwide, beginning with its flagship Project in Brazil. The BRN team are all highly experienced mining industry professionals with extensive experience in Latin America and worldwide. The team has been developing and commercialising the heap leaching of nickel laterites for over 20 years with a view to building a world class nickel and cobalt producing company.

BRN aims to provide long-term benefits through continuous improvements in health, safety and environmental performance, sharing the benefits of our activities with the communities within which we operate. BRN will achieve this by targeting zero harm to our employees, leaving a positive legacy in the community, conserving and where possible enhancing the natural environment, respecting and protecting the rights of employees and host communities, while doing business responsibly and transparently. 

About the Piauí Nickel Project

The Piauí Nickel Project is an advanced-staged Battery Metals project. The key environmental permits (Licenças Previas) have been awarded for the larger scale project which envisages production of the same nickel and cobalt hydroxide products as the PNP1000. These will supply the expected surge in demand for these metals in, among others, electric vehicle batteries, over the coming years.

For more information please visit the company website at www.braziliannickel.com, as well as following the company on Twitter, LinkedIn and YouTube.

Contact:  [email protected]