Sumitomo Metal Mining Co. Ltd is seeking registration with the Philippine Economic Zone Authority (PEZA) and the proclamation of its USD 1.3 billion nickel processing plant project in Surigao del Norte as a special economic zone. Mr Takanori Fujimura president of Sumitomo-owned Coral Bay Nickel Corp. in Palawan has already informed government officials that the new project has to be registered with PEZA instead of the Board of Investments because it is an export oriented enterprise. Part of their registration is a petition for Malacanang to proclaim its project as a special economic zone just like the CBNC nickel refinery plant in Palawan. Taganito will supply all of the required nickel ore to the plant for an estimated 30yr project life while Nickel Asia will take a 20% to 25% equity interest in the project under a JV company called THPAL Corp. The output of the high-pressure acid leaching plant, a mixed nickel cobalt sulfide will be purchased by Sumitomo for final processing at its refinery in Japan. The project is expected to start early 2010 and commercial operation to commence after 3 years.
