Company News

Sumitomo says Ambatovy nickel plant shut for 2 weeks in February

TOKYO, March 20 (Reuters) - Japanese trading house Sumitomo Corp said on Wednesday its Ambatovy nickel plant in Madagascar was forced to shut for about two weeks in early February due to trouble at its hydrogen plant, and may miss its revised annual production target.

Sumitomo owns a 47.7 percent stake in Ambatovy, while South Korea’s Korea Resources Corp and Canada’s Sherritt International Corp also hold stakes in the project.

In early February, Sumitomo booked one-off losses of about 15 billion yen ($134 million) on the Ambatovy nickel-cobalt project in the October-December quarter and cut Ambatovy’s nickel output estimate for the current year to March 31 to 38,000-40,000 tonnes from 40,000-43,000 tonnes.

$1 = 111.5500 yen Reporting by Yuka Obayashi; editing by Richard Pullin