7 Aug 2017

Uncertainty lingers at Vale in New Caledonia

8:16 pm on 7 August 2017

There is continued uncertainty about the future of the Vale nickel plant in New Caledonia.

A photo taken on May 27, 2015 shows Brazilian Vale's nickel processing plant of Goro in southern New Caledonia.

A photo taken on May 27, 2015 shows Brazilian Vale's nickel processing plant of Goro in southern New Caledonia. Photo: AFP PHOTO / FRED PAYET

Unions were briefed by the local Vale head Daryush Khoshneviss upon his return from the company's headquarters in Brazil.

Some unions said the plant's closure may no longer be on the agenda.

A month ago, Vale's new chief executive Fabio Shvartsman had alarmed New Caledonia with his warning that if no solution was found for the loss-making plant in Goro, the operation would have to close.

Although he said he would not want to invest more money, unions interpreted new comments by Mr Khoshneviss more optimistically.

Efforts are underway among politicians and unions to salvage the plant on which thousands of jobs depend.

A decision by the Vale board about the New Caledonian plant is expected this month.

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