Inco the Leader of the market expands operations
., under the data published German Handelsblatt, intend to invest in the near future more than 700 million Canadian dollars in working out of a major field around a bay of Vuasi on peninsula Labrador. Apparently, this decision marks itself desire of the Canadian company and in the future to occupy in the lead position in the nickel world market. Considering a tendency to forward growth of demand for metal, it, experts assure, it is similar to possession of gold mine or own machine tool on printing of money.
In future Inco intend to supervise about 30 % of a new deposit which, according to present estimations, in long-term prospect is capable to give a minimum of 133 million pounds of nickel in a year within 15 years. The question on the one who except Inco will go shares, is not solved yet. Hearings go to Toronto about possible participation in the project of Japanese company Sumitomo Metal Mining Co. And South African Gencor Ltd. It is known and that the share in 10,4 % already belongs Vancouver Teck Corp.
About how sharply there is a struggle for participation in deposit working out says at least that fact that the price for the right to participate grows in this project literally every day. If in November of last year when about the project only started to speak seriously, authorised share of company Diamond Fields Resources Ltd. (To which posesses territory of a deposit of a bay of Vuasi) it was possible to buy for 2,6 Canadian dollars last week its price has flied up to 81 Canadian dollars.
under messages of the Canadian observers, Inco will pay for the share (7 % from 27 million free actions) 68 million Canadian dollars. Besides, Diamond Fields will receive 1,4 million actions Inco. Other $386,7 million Inco will provide Diamond Fields, having guaranteed it of 6,5 % of property rights at the further increase in an authorised capital stock, meaning in the future to finish its share in property structure of a consortium on working out of Vuasi to 25 %. 25 million Canadian dollars More Inco will give in the form of payment of cost of research about practical realisation of the Labrador project.
According to conservative estimates of experts, direct extraction of nickel in Vuasi hardly will begin before 1999. Till this time interested parties should overcome many difficulties in negotiations with the local population which is putting forward own rights to this territory, any more without speaking about expenses on new burilno - estimated works.
nevertheless game costs svech. Proceeding from forecasts of development of the market of nonferrous metals with which numerous analytical and consulting agencies now act, neither this decade, nor in the following, changes of a present tendency to growth of demand for nickel will not occur, and the increase in manufacture of metal does not become the reason of appreciable drop in prices. One more moment is important also. In the conditions of a growing competition among nikeledobytchikov actions Inco on strengthening of the positions in the market are represented quite timely, and present 700 million Canadian dollars, according to experts, anything in comparison with those profits which the company will receive.
SERGEY - SERGELIEV, PHILLIP - KRIGSHTAL