Mincor Restarts Production At Miitel Nickel Ore Body

KALGOORLIE, Australia, Aug 3  -- Australian nickel producer Mincor Resources NL (MCR.AU) has restarted production at its Miitel ore body, Chief Executive David Moore told an industry conference Tuesday.

Miitel was closed in December 2008 after nickel prices crashed in the aftermath of the global financial crisis.

Prices have now more than doubled from their trough levels last year, and the three-month London Metal Exchange nickel contract closed at $21,945 a metric ton Monday.

Miitel has the potential to produce between 4,500 and 5,500 tons of nickel a year, and has 16,400 tons of reserves, the company has previously said.

Moore said that he expects those reserves to expand in size with many new targets identified at Miitel.

In total Mincor produced 11,793 tons of nickel in the fiscal year ended June 30. It aims to produce 14,000 tons this year and 16,000 tons next year, Moore said.