Mirabela Nickel Customer Plans Smelter Closure

Mirabela Nickel Ltd. (TSX:MNB,ASX:MBN) provided a company and operational update, noting that Votorantim Metais Niquel SA, one of its customers, plans to close its smelting facilities this November as a result of unfavorable nickel market conditions. Mirabela expected its contract with Votorantim to run to the end of 2014 and is now taking legal advice.

Operational highlights to the end of August 2013 include:

• Production for the quarter to date of 2,653 tonnes of nickel in concentrate (year to date: 10,884 tonnes)
• Sales for the quarter to date of 2,076 tonnes of nickel in concentrate (year to date: 10,150 tonnes)
• Unit cash costs of US$6.26/lb for the quarter to date (year to date: US$5.62/lb)
• Capital expenditure for the quarter to date, including capitalised mining costs, of US$4.5M (year to date: US$23.3M)
• Realised nickel price of US$5.97/lb for the quarter to date (year to date: US$7.07/lb)
• Cash on hand and on deposit of US$79.7 million at the end of August 2013 (US$108 million as at 30 June).

Click here to read the full Mirabela Nickel Ltd. (TSX:MNB,ASX:MBN) press release.