Houston, June 23 (Argus) - Canadian metals company Sherritt International announced on Monday that it will put its Saskatchewan nickel and cobalt refinery into "shutdown mode".
A month ago, Sherritt stated that it expected its raw material inventory at the project to last until mid-June. The company plans to complete maintenance activities at the refinery during the shutdown period. According to Sherritt, the company will continue to produce fertilizers and sulfuric acid.
According to the company, the shutdown of the refinery will continue until the mining and processing activities at its Moa joint venture in Cuba can resume and provide raw materials for the base again. Sherritt did not specify when it expects to resume its business in Cuba.
The Moa joint venture was established as a 50:50 partnership between Sherritt and Cuban General Nickel Company. According to the structure of the joint venture, the ore is mined at the Moa mine and processed into mixed sulfides, which are then transported to Canada and refined at the Saskatchewan Portage facility in Alberta.
On May 7, US President Donald Trump issued an executive order expanding existing sanctions on Cuba and adding new restrictions under the International Emergency Economic Powers Act. A few days later, Sherritt initially suspended its direct involvement in the joint venture but will continue the suspension.
Due to fuel supply issues in Cuba, the joint venture initially suspended its mining operations in February.
