Inco project in New Caledonia

Inco project in New Caledonia

TORONTO (AFP): Nickel company Inco on Wednesday announced it will pump US$100 million in 2001 into continuing a New Caledonian nickel-cobalt project, slated to begin production in late 2004 or early 2005.

The money will go to completing a bankable feasibility study, conducting testing at a pilot plant, selecting engineering firms to build the project, securing permits and clearances for constuction and bringing a partner into the project, the company said in a statement.

Canada's nickel giant successfully completed a one-year, 50- million-dollar US test of the pilot plant program there last year.

"We are most excited about its potential and have made significant progress to move ahead with detailed engineering for a commercial facility capable of producing 55,000 tons of nickel and 5,000 tons of cobalt annually," said Inco President Scott Hand.