Tsingshan’s Indonesian Nickel Pig Iron (NPI) production capacity has set new industry standards for operating costs and capital intensity

NPI production sequence.PNG

Tsingshan’s IMIP is now the world’s largest NPI producer with 20 RKEF lines currently in operation. In just over 3 years Tsingshan has built and commissioned 1.5mt of NPI production capacity* (producing 150kt of Contained Ni) that now accounts for > 80% of China’s Indonesian NPI capacity.

Three Phases are now in operation:

Phase 1 (in operation)

o  4-line RKEF plant

o  300kt pa NPI (30kt pa Ni metal equivalent)

Phase 2 (in operation)

o  8-line RKEF plant

o  600kt pa NPI (60kt pa Ni metal equivalent)

Phase 3 (commissioning)

o  8-line RKEF plant

o  600kt pa NPI (60kt pa Ni metal equivalent)

In Partnership Nickel Mines and Tsingshan will build:

o  2-line RKEF plant

o  150kt pa NPI (15kt pa Ni metal equivalent)

Nickel Mines will  benefit from:

Tsingshan’s construction and operational expertise

o  20-lines already built and operating.

o  Track record of on-time project delivery provides confidence of completion and production commencement within contracted 20-month timeframe.

Global industry lows in capital intensity

o  Contractual guarantees that capital costs will not exceed US$200M (US$13,333/tpa nickel metal equivalent).

Bottom quartile operating costs

o  IMIP’s fully integrated NPI, chrome, coke and power plants deliver significant cost and logistics savings.