Aker Kvaerner awarded European Nickel Caldag Study

European Nickel has awarded Aker Kvaerner Australia the bankable feasibility study for a nickel heap leach facility in Caldag, Western Turkey. The Caldag facility, expected to be the world's first of this scale, utilises a simple acid leach process, which is intended to provide a lower cost nickel production route than conventional technologies.

European Nickel has awarded Aker Kvaerner Australia the bankable feasibility study for a nickel heap leach facility in Caldag, Western Turkey. The Caldag facility, expected to be the world's first of this scale, utilises a simple acid leach process, which is intended to provide a lower cost nickel production route than conventional technologies.

Aker Kvaerner Australia Pty Ltd will design the full scale heap operation and the metallurgical plant and determine the capital and operating costs for the bankable feasibility study. The estimated capital cost of the full-scale project is approximately USD 150 million with start of construction expected in early 2006 and first shipments of product in 2007.
 
Mr Simon Purkiss, Managing Director of European Nickel said "Early performance results from the heap leach studies are very encouraging - Aker Kvaerner's nickel expertise and experience in similar projects will assist us in developing this project to completion ".
 
Aker Kvaerner Australia Managing Director, Mr Tom Quinn, said,"European Nickel were seeking an experienced global engineering and construction partner to execute this project, we are pleased to be able to provide a strong team to assure the best possible outcome".
 
There are synergies between the work Aker Kvaerner Australia is executing for European Nickel and BHP Billiton, a minority shareholder in European Nickel. Aker Kvaerner Australia is currently executing a small engineering, procurement and construction management contract for a trial separation unit to process downstream liquor from European Nickel's pilot plant with the involvement of BHP Billiton.
 
The Caldag bankable feasibility study project will be executed from Aker Kvaerner Australia's Brisbane office, where they have developed a strong core process team with heap leach expertise. The project will also draw on specialist expertise from other Aker Kvaerner companies, such as the seconding of heap leach experts from Aker Kvaerner E&C Worldwide Corporation in Santiago, Chile. 

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