Sumitomo Metal Mining Co Limited has announced that it reached a decision to proceed with a project to produce nickel cobalt mixed sulfide in Taganito, the northeastern region of Mindanao Island in the Philippines.

In tandem with its decision, SMM has concluded a MoU on the joint implementation of the project with Nickel Asia Corporation, the Philippines' largest nickel mining company.

The Taganito Project is planned as a large scale hydrometallurgical project that will apply high pressure acid leaching process. The project is to produce 30,000 tonnes of nickel cobalt mixed sulfide per year from low grade nickel oxide ore from the Taganito Mining Corporation. The project's total investment outlay is estimated at USD 1.3 billion. Plans call for operations to commence in 2013 and continue over a period of 30 years.

Outline of the Taganito Project is given below:
1. Plant location: Taganito, northeastern Mindanao Island
2. Total investment: USD 1.3 billion
3. Products and output: Nickel: approximately 30,000 tonnes
4. Construction start: March 2010
5. Completion of construction: March 2013
6. Commissioning: April 2013
7. Commercial production: August 2013
8. Production period: Approximately 30 years starting in 2013
9. Project executor: Taganito HPAL Nickel Corporation
10. Principal shareholders:
Manuel B Zamora Jr: 37%
PT Ang: 18.6%
LJL Virata: 18.2%
Sumitomo Metal Mining: 16.5%