Inco Ltd. will shut down its main Copper
Cliff smelter complex to conduct regular maintenance and
repairs next May for one month.
Inco president and chief operating officer
Peter Jones made the announcement about the shutdown Monday
while speaking to investors and analysts in Toronto.
The shutdown will mean Inco will not be able
to produce an estimated 20 million pounds of nickel and 25
million pounds of copper.
Inco set targets of producing 505 million
pounds of nickel in 2004, but has yet to announce its targets
for 2005.
Company spokesperson Steve Mitchell said
Tuesday the shutdown "is planned maintenance...we're now on an
18-month maintenance schedule at our Sudbury operations and the
time to fix the smelter is coming in May."
The shutdown will include general
maintenance, but also detailed work to allow the company to
connect smelter operations to the new oxygen plant being built
in Copper Cliff, said Mitchell.
The company's fluid bed sulphur dioxide
program to reduce emissions is also involved as is a complete
rebuild of one of the furnaces, said Mitchell.
With China's economy exploding out of
control, experts are predicting the worldwide demand for nickel
and its byproducts will continue to surge.
The average price for nickel so far in 2004
has been about $6.30 (US) per pound, which would set a new
record.
Sudbury operations continue to supply the
majority of nickel and copper for Inco's customers around the
world.
That supply is expected to rise dramatically
once Inco starts reaping the dividends of its massive Voisey's
Bay project in Labrador.
Almost a full decade after Inco took majority
control of Voisey's Bay by spending in excess of $4 billion,
the nickel giant is expected to go into full production in the
spring of 2006.
Inco officials are also excited about the
$1.8 billion project to develop a major site at Goro in New
Caledonia in the South Pacific.
Inco also announced Monday the French
government will help finance the Goro project by paying $350
million (US). France's government controls New Caledonia.
When in full production, Goro is expected to
produce 132 pounds of nickel annually and it's expected full
production will begin by the fall of 2007.
John Fera, president of Local 6500 of the
United Steelworkers of America, which represents unionized
production and maintenance workers, could not be reached for
comment by Tuesday's press deadline.
