Raw Material Supply Interruption
Canadian mining company Sherritt announced the closure of its refinery located in Fort Saskatchewan, Alberta, due to interrupted raw material supply purchased from Cuba's Moa mine. The refinery has an annual capacity of approximately 38,200 tons of nickel and cobalt. The Moa mine suspended operations earlier this year due to fuel shortages in Cuba; previously, mixed sulfide precipitates produced there were shipped to Alberta for processing. This shutdown will last until mining resumes and pipeline reconstruction is completed.
Debt Restructuring Negotiations
Meanwhile, Sherritt is negotiating debt issues with creditors and may fail to repay some debts on time. The company has reached a non-binding agreement with Gillon Capital, which intends to acquire 55% equity through warrants. Currently, the impact of this event on global nickel and cobalt supply and demand is limited; further observation is needed regarding mine resumption and debt restructuring progress.