On July 25, 2022, South 32 reported Cerro Matoso ferronickel production for the second quarter of 2022. Second quarter production was 10,800 tons, down 1% year over year and up 2% sequentially. Ferronickel sales were 11,900 tons, up 21 percent month-on-month and 16 percent year-on-year.
Cerro Matoso's ferronickel production increased by 22%(or 7.6 kT) to 41.7 kT from 2H21 to 1H22. This increase was mainly due to the completion of a large furnace renovation in '21, which resulted in an improvement in Q&P pit grade and an increase in average nickel grade of approximately 6% (' 22:1.73%; 21 years: 1.63%). The operation was only 95% of its' 22 plan due to maintenance and weather-related shutdowns in the first half of '22, but production is expected to return to normal levels in the second half of the year as the impact eases.
The 22-year production guidance was unchanged at 43,800 tonnes.
Specific production and sales are shown in the table below:
