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The decrease in the value of non-ferrous metals Norilsk Nickel said the reduction of production capacity

The decline in prices for many base metals and nickel, in particular, has led to the destabilization of the financial foundation of even such industrial giants as the Norilsk Nickel. In response to this situation several metallurgical company intends to reduce its production capacity and to preserve some assets. During the implementation of this program for the nickel mining company has suspended the work of one of its plants in Australia. On the timing of such a forced measure and plans to restore production on the Australian plant in full after some time, the leadership of the nickel giant silent. But most of all in the continuation of today's pricing policy in the field of nickel production from a foreign plant has no chance.

The first tier is unpopular governing decision hit the employees Lake Johnson. After stopping the company was worth losing his seat sixty units of workers. However, nickel group's board of directors ensured that all social guarantees provided by the legal framework in Australia, will be realized and reduced workers receive in full all required severance payments. The term downtime of the plant will be stopped entirely depend on the stabilization of the market and the growing demand for an important industrial metal. It is also the basis for a final decision on the possibility to continue work in this area will be the results of geological exploration activities in the area.

At the end of last year, a substantial decline in nickel prices in the market led to the company's overall profit fall by at least fifteen percent. Net profit of the Group dropped by forty-one percent, which was a heavy financial blow to Norilsk Nickel. It is worth mentioning that stop Australian plant did not occur for the first time. Several years ago, the plant has already experienced such critical times, but was then restarted at the nickel market stabilization. To compensate for the decrease in nickel production management team mega group plans to concentrate all efforts on the development of other rich deposits called Honeymoon Well, which is able to provide the production of nearly forty thousand tons of nickel raw materials with high performance refining.

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