14 Aug 2003

Canadian Inco company recommits to New Caledonia project

4:20 pm on 14 August 2003

The Canadian nickel company, Inco, has confirmed that it plans to resume work on its Goro project in New Caledonia in the first third of next year after suspending construction last December .

Its head, Scott Hand, says cost cutting measures have been identified to save an estimated 400 million US dollars in order to make the venture viable.

Mr Hand says this means that the plant in the territory's south should be set up for about 1-point-8 billion US dollars.

This amounts to a 24-percent cost overrun over the figures given last year.

If the latest plan can be implemented, the Goro plant will be operational by 2006.