Sherritt International Corporation of Canada, which has been developing the Ambatovy nickel project in Madagascar, said that the project has not been affected by political trouble in Madagascar but are keeping an eye on it.

Official said that "The Ambatovy nickel project is a national event to develop and it has been viewed that, even if national administration is changed, this project will be not influenced substantially."

Sherritt, having acquired a 40% of the shares in the Ambatovy nickel project, has had the same opinion. However, the expenditure to develop this nickel project was initially estimated to be USD 3,300 million but is anticipated to increase and, therefore, Sherritt is now investigating to reduce the budget.

Accordingly, a tempo for construction has been slowed down from November of 2008. Sherritt has intended to bring the mine online by 2010 and to reach full production by 2013. It is estimated by Sherritt to produce 60,000 tonnes per annum of nickel and 5,600 tonnes per annum of cobalt at the Ambatovy nickel project in Madagascar.

(Sourced from www.texreport.co.jp)