A sharp decline in nickel prices has led to closures in two key Australian nickel operations.
Wyloo Metals, owned by iron ore billionaire Andrew Forrest, has announced that its Kambalda nickel operations will be put on care and maintenance from the end of May due to low nickel prices.
Following this, BHP announced that it would pause part of its Kambalda processing operations in June, cutting 20 roles in Western Australia. Wyloo Metals supplies ore to BHP’s Kambalda nickel concentrator.
Wyloo’s CEO, Luca Giacovazzi, said in a statement to the ABC, “The decision to temporarily pause our operations in the current nickel market will allow us to develop and assess these options as we move towards our long-term strategy to mine and process nickel from our own facilities in Kambalda and Kwinana.”
BHP’s Nickel West asset president, Jessica Farrell, told the ABC that “the decision by Wyloo to suspend its operations means it will no longer be viable to continue operating parts of the Kambalda concentrator from mid-year. BHP will transition the Kambalda concentrator’s crushing, milling and flotation circuits into care and maintenance from June 2024.”
