China stainless steel mogul fights to avoid a second collapse
A debt crisis is threatening the future of one of the world’s top stainless steel producers, Jiangsu Delong Nickel Industry.
MMC Norilsk Nickel has announced that the company’s board of directors has approved a reduction in investment expenditure for 2012, as proposed by the management.
Investment expenditure budgeted for 2012 will be reduced by approximately 10%.
The approved cuts can be grouped into 3 categories:
1. About 80% of the budget cut will be achieved through optimizing equipment procurement and construction schedules.
2. About 10% of the budget cut will be made by not replacing worn-out equipment, which will be achieved by extending the lifetime of the existing equipment through maintenance.
3. The remaining 10% of savings will be achieved by other optimization measures, such as reducing the cost of purchased equipment and materials through technological optimization in ongoing projects. Tags: Diversified Metals & Mining, Mining and Metallurgical Company “Norilsk Nickel” OAO
Source (Russian): Norilsk Nickel
