Nickel 28 Releases Ramu Q4 and Full Year 2025 Operating Performance
Ramu operational consistency and aggressive share buybacks drive valuation recovery as legal clouds dissipate
The most recent news (February 23, 2026) provides the Q4 and full-year 2025 operating performance for the Ramu Nickel-Cobalt Operation in Papua New Guinea. Key highlights include: - Full-year 2025 production of 33,007 tonnes of nickel and 3,099 tonnes of cobalt, exceeding 2024 levels (28,669t Ni). - 2026 production guidance is set at 33,100 tonnes of nickel and 3,100 tonnes of cobalt, suggesting a plateau at high utilization rates. - Q4 2025 production costs were US$4.06/lb (net of by-products), an increase from the US$3.47/lb full-year average, likely due to fluctuating cobalt credits. - A major renovation of a sulphuric acid plant is planned for 2026, but management claims production will not be impacted due to pre-built acid storage tanks.
The news is Routine - Positive. While the production figures are strong and represent a return to "nameplate" capacity after a difficult 2024 (which was plagued by acid plant failures and shutdowns), the results are largely in line with the "very strong" performance signaled in the December 2025 quarterly update. - Operational De-risking: The proactive management of the sulphuric acid plant renovation suggests the company has learned from the 2024/early 2025 mechanical failures that previously crippled production by 20%. - Financial Health: The consistency at Ramu allows for continued debt repayment (attributable debt was $35.4M as of Oct 2025) and supports the newly approved NCIB program to buy back 8.1% of the company. - Cost Creep: Analysts should note the rise in Q4 cash costs ($4.06/lb) vs the annual average ($3.47/lb). While Ramu remains a low-cost producer, the margin of safety narrows if LME nickel prices remain stagnant near $6.75-$6.88/lb.
Nickel 28 holds an 8.56% joint-venture interest in the Ramu Nickel-Cobalt Operation, an integrated HPAL mine in Papua New Guinea operated by MCC (Metallurgical Corp of China). It also manages a portfolio of 10 royalties, including significant NSRs on the Dumont (Quebec) and Turnagain (BC) projects.