(Reuters) - The construction of Vale SA’s (VALE3.SA) Voisey’s Bay underground mine will start this summer, Dwight Ball, the premier of Newfoundland and Labrador said on Monday.
Vale in 2015 had approved the construction of an underground mine at Voisey’s Bay, but the Brazilian miner slowed development last year on weak nickel prices and a company-wide assets review.
The underground mine will extend the operating life of Voisey's Bay by at least 15 years and Vale will invest about C$2 billion ($1.54 billion), Ball said. (bit.ly/2JG4SJH)
Reuters had reported earlier this year that Vale was seeking to sell un-mined cobalt worth hundreds of millions of dollars to investors from its Voisey's Bay nickel mine. (reut.rs/2JMmK5E)
Reporting by Parikshit Mishra in Bengaluru; Editing by Shounak Dasgupta