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Atlantic Nickel delivers record operational and financial performance in 2021

Published by
Global Mining Review,


Atlantic Nickel and Appian Capital Advisory LLP have announced record operating and financial performance in 2021 at the company’s Santa Rita nickel sulfide mine, located in Bahia, Brazil.

Santa Rita is one of the very few long-life nickel sulphide mines in operation globally, boasting 34 years of mine life producing between 20 000 – 35 000 tpy NiEq contained in concentrate. Based on an NI 43-101 technical report completed in 2021, the operation mines an eight-year open pit with an NPV8 of US$570 million, then transitions to 27-years of underground sublevel caving operations with an NPV8 of US$812 million. Capital expenditure over the first five years of the underground is US$332 million and expected to be fully funded out of operating cash flow.

Appian also owns Mineracao Vale Verde (MVV) and its Serrote copper gold mine in Alagoas, Brazil, which completed construction ahead of schedule and under budget and achieved first production in 2021. The MVV operational update will be covered in a separate release.

Atlantic Nickel 2021 performance highlights:

  • Best in class safety performance with an LTIFR of 0.20 over the last 12 months.
  • Atlantic Nickel posted US$127 million of EBITDA on US$289 million of revenue.
  • Santa Rita produced 107 000 dmt of nickel concentrate containing 14 500 t of nickel, 4700 t of copper and 266 t of cobalt and gold, platinum, and palladium by-products.
  • First quartile C1 cost performance of US$3.45/lb Ni, with an AISC of US$5.11/lb Ni.
  • All third-party debt has now been repaid in full, leaving the company with a clean balance sheet and well positioned for growth.

Paulo Castellari, CEO of Appian Capital Brazil, comments:

“2021 was an outstanding year for our operations at Santa Rita. I am truly impressed with the efforts of our employees and local communities and their ability to navigate another difficult year fraught with COVID-related challenges.

“Atlantic Nickel has achieved record revenue and EBITDA, first quartile C1 cost performance and now boasts its most resilient balance sheet ever, all while maintaining a best-in-class safety track record with an LTIFR of 0.20. These strong foundations position us to take advantage of the high growth potential at Santa Rita and in the region, expanding upon what is already one of the largest nickel sulfide operations in the world.

“We have more to improve upon and accomplish in 2022, and I have every confidence in our team’s ability to deliver another record year.”

Read the article online at: https://www.globalminingreview.com/mining/09022022/atlantic-nickel-delivers-record-operational-and-financial-performance-in-2021/

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This article has been tagged under the following:

Copper mining news Nickel mining news South American mining news