Nickel 28 Releases Ramu Q3 2025 Operating Performance
None
The November 11, 2025 news release provides Q3 2025 operational results for the Ramu Nickel-Cobalt Operation. Key performance indicators for the quarter include: - Contained Nickel Production: 9,242 tonnes (at 113% of nameplate capacity) - Contained Cobalt Production: 887 tonnes - Nickel Sales: 9,880 tonnes - Cobalt Sales: 948 tonnes - Production Cost (net of by-product credits): US$3.07/lb of nickel - The company sold more nickel and cobalt than it produced, drawing down inventory to take advantage of a stronger price environment. - CEO Craig Lennon stated that production was "interruption free" and expects the same for Q4 2025. - Guidance for Q4 2025 is for sales tonnage to be "equally strong as Q3 2025."
The Q3 2025 operational results are materially positive. The performance demonstrates a significant operational turnaround and a return to stable, above-capacity production following a period of disruptions.
-
Production Rebound: Nickel production of 9,242 tonnes is a marked improvement over previous quarters which were hampered by operational issues.
- Q2 2025: 8,564 tonnes
- Q1 2025: 6,970 tonnes (impacted by acid plant blower failure)
- Q4 2024: 5,952 tonnes (impacted by planned shutdown for capital projects)
- The plant operating at 113% of nameplate capacity confirms the effectiveness of the capital upgrades completed in late 2024 and the resolution of the subsequent mechanical failure.
-
Exceeding Guidance: With H1 2025 production at 15,534 tonnes and Q3 at 9,242 tonnes, the year-to-date total is 24,776 tonnes. If Q4 production is similar to Q3, full-year production would be approximately 34,000 tonnes, significantly exceeding the 32,000-tonne guidance issued in February 2025. This outperformance is a key positive indicator.
-
Sales and Inventory Management: The company strategically sold more than it produced (9,880 t sales vs 9,242 t production), reducing inventory from 2,843 tonnes at the end of Q2 to 2,205 tonnes. This allowed them to capitalize on stronger market prices and improve cash flow.
-
Costs: While the production cost of $3.07/lb is higher than Q2's $2.68/lb, it is a significant improvement from Q1's $3.61/lb, which was elevated due to lower production volume. The current cost structure in a challenging nickel price environment ($6.81/lb avg LME in Q3) still allows for profitability at the project level.
-
Forward Guidance: The CEO's outlook for an "interruption free" Q4 with sales as strong as Q3 provides confidence in continued strong performance. This directly impacts expected cash distributions and the pace of debt reduction.
Overall, this news confirms that the operational issues of late 2024 and early 2025 are firmly in the past. The Ramu project is now demonstrating consistent, robust production above its nameplate capacity, which is a significant de-risking event and should lead to improved financial results.
Nickel 28 Capital Corp. is a nickel and cobalt focused royalty and streaming company. Its principal asset is an 8.56% joint-venture interest in the producing, long-life Ramu Nickel-Cobalt Operation in Papua New Guinea, which is operated by Metallurgical Corporation of China (MCC). The company's interest in Ramu is set to increase to 11.3% at no cost once its share of the non-recourse construction debt is fully repaid. The company also holds an option to acquire an additional 9.25% interest.
In addition to Ramu, Nickel 28 holds a portfolio of 10 net smelter return (NSR) royalties on development and exploration stage nickel and cobalt projects in Canada, Australia, and Papua New Guinea, including a 1.75% NSR on the Dumont project and a 2.0% NSR on the Turnagain project.