Manila, Philippines (June 27, 2018). Global Ferronickel Holdings, Inc. (FNI), the third largest nickel ore producer in the Philippines and the largest single lateritic mine exporter in the world, announces that its subsidiary Platinum Group Metals Corporation (PGMC) shipped 5.971 million Wet Metric Tons (WMT) of nickel ore for the full year 2017 with an average daily load rate of 27,388 WMT which are greater than by +39% and +32%, respectively, versus 2016. Revenues for 2017 stood at P5.8 billion which is up by 54% from a year ago and net income was P779.7 million as against P37.5 million in 2016.
“Despite a volatile environment over the past three years, FNI has successfully reset its business model and delivered solid results in 2017 thanks primarily to strong operational performance,” said Atty. Dante R. Bravo, President of FNI, during the Company’s annual meeting of shareholders.
The Company has emerged stronger, with many efficiency improvements as visible signs of its transformation. Recent actions such as changes to its organizational structure and processes, early preparation for road development and stripping activities as well as better scheduling of shipment loading have steered through a challenging year.
The Company has also confirmed it is prioritizing the implementation of its ongoing survey and exploration programs, which to date have validated historical findings and enabled the Company to successfully increase its resource inventory.
With inventory levels of combined stocks at the London and Shanghai nickel exchanges declining to their lowest levels since June 2014, combined with talks of U.S.-Russia trade sanctions threatening to disrupt global supply, the company is well-positioned to benefit from these trends. Estimated nickel price forecast from the World Bank and the International Nickel Study Group (INSG) also point to a positive outlook for the sector globally.
“A significant milestone took place on November 13 when we signed an agreement with Vi Holding LLC to launch joint business projects in the processing of lateritic ores,” added Atty. Bravo. “Vi Holding is a member of an international investment and industrial group of companies from Russia with interests in mineral exploration and processing, real estate, energy and innovative solutions. We are now working on a feasibility study for the proposed processing plant and both teams are in the process of forming a Joint Working Group to undertake initial testing of ore.”
Global Ferronickel Holdings, Inc. (FNI) is a holding company with principal business interests in mineral resource exploration, mining and exporting of nickel ore. Its mineral property comprises 4,376 hectares in Sitio Kinalablaban, Brgy. Cagdianao Claver, Surigao del Norte, Philippines and is covered by Mineral Production Sharing Agreement No. 007-92-X for a period of 25 years until February 14, 2042. FNI’s subsidiaries are Platinum Group Metals Corporation, Surigao Integrated Resources Corporation, PGMC-CNEP Shipping Services Corp., and PGMC International Limited.
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