SYDNEY, Mar. 9 -- Chinese-owned Minerals and Metals Group (MMG) has no plans to restart its Avebury nickel mine, closed in 2008 due to depressed markets, predicting recent gains in nickel prices MNI3 will be short-lived.
"What I need to see is that the current prices are sustainable, and at the moment I can't see the current prices being sustained," MMG Chief Executive Andrew Michelmore told the Reuters Summit in a wide-ranging interview on Tuesday.
London Metal Exchange (LME) three-month nickel prices MNI3 were last indicated at $22,2800 a tonne, nearly treble the recession low of $8,850 seen in October 2008 and up from around $19,000 at the end of last year.
Michelmore, who helped orchestrate the buyout of most of the mining assets of the former Oz Minerals by China's Minmetals in 2009, also said work was underway to extend the life of the group's giant 500,000-tonnes-per-year Century zinc mine in Australia beyond its 2015 closing date.