Reuters reported that Mirabela will increase the size of a nickel mine under development in Brazil to yield 40% more nickel after it starts up in 2009.

Mirabela in a statement said that under the plan, the crushing capacity of the ore treatment plant at the Santa Rita mine in northeastern Brazil's Bahia state will be increased to 6.4 million tonnes a year from an original 4.6 million tonnes.

It added that "This reflects an average annual production rate of 27,000 tonnes per annum of nickel in concentrate assuming a resource grade of 0.61% nickel and a recovery rate of 70%."

It said that the open pit designed mine, set to start next year at a rate of around 18,500 tonnes of nickel in concentrate, should hit full stride by mid 2010. It added that it is looking at ways to boost production of the steel-toughening alloy further with an underground extension.