Mincor Resources Ltd has reported that Australia’s Miitel nickel mine could be bigger than previously estimated, citing new exploration data which has revealed a possible second nickel deposit. The west Australian mine site is now being reactivated after it was mothballed in December 2008 due to depressed metals prices. It is set to return to previous annual production rates of 4500 to 5000tns of nickel in concentrate to meet renewed demand from stainless steel makers. Mincor said that production could restart as early as this June 2010. Concentrate from Mincor’s mine is delivered to BHP, which processes the ore at its Kalgoorlie smelter for a fee under a contract running until 2019.
