Nickel 28 Announces Confirmation of Cash Distribution from Ramu Joint Venture
Rhea-AI Summary
Nickel 28 (OTC:CONXF) confirmed its tenth cash distribution from the Ramu joint venture, tied to H2 2025 performance. The company expects about US$2.1 million and repayment of US$4.0 million of construction debt, reducing its attributable Ramu debt to roughly US$31.9 million.
Ramu produced 33,007 t nickel and 3,099 t cobalt in 2025, with sales of 32,627 t nickel and 3,061 t cobalt in MHP. According to Nickel 28, margins stayed robust, supported by average realised nickel prices of US$6.88/lb and cobalt prices of US$16.07/lb.
For 2026 to date, production is tracking in line with targets, with nickel and cobalt prices trending above 2025 averages and improving payable terms. However, significantly higher sulphur costs and supply constraints for HPAL operations are putting pressure on operating margins, although Nickel 28 reports it is currently securing sulphur through its operating partner.
Positive
- Tenth Ramu JV cash distribution of approximately US$2.1 million for H2 2025
- Ramu construction debt repayment of US$4.0 million, reducing Nickel 28’s attributable balance to about US$31.9 million
- 2025 Ramu production of 33,007 t nickel and 3,099 t cobalt in MHP
- 2025 Ramu sales of 32,627 t nickel and 3,061 t cobalt in MHP
- Average realised 2025 nickel price of US$6.88/lb (US$15,164/t) and cobalt price of US$16.07/lb (US$35,418/t)
- 2026 production tracking in line with target levels with improving payable terms
Negative
- Significant increase in sulphur prices is pressuring HPAL operating margins
- Industry-wide sulphur sourcing difficulties for HPAL projects increase supply risk
- Nickel 28 reports its own margins are being impacted by higher sulphur costs
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Toronto, Ontario--(Newsfile Corp. - May 13, 2026) - Nickel 28 Capital Corp. (TSXV: NKL) (FSE: 3JC0) ("Nickel 28" or the "Company") is pleased to announce the pending receipt of its tenth cash distribution from the Ramu joint venture.
Nickel 28 has received confirmation of a cash distribution for H2 2025 operating performance of approximately US
Nickel 28 Chief Executive Officer, Mr. Craig Lennon commented: "2025 was a strong operational year for the Ramu project, with production of 33,007 tonnes of nickel and 3,099 tonnes of cobalt contained in mixed hydroxide precipitate ("MHP"), alongside sales of 32,627 tonnes of nickel and 3,061 tonnes of cobalt in MHP. Margins remained robust throughout the year, supported by average realised nickel prices of US
Mr. Lennon also noted: "Operationally, 2026 has commenced positively, with production tracking in line with target levels, nickel and cobalt prices trending above 2025 averages, and payable terms continuing to strengthen. The key challenge remains the significant increase in sulphur prices, which is a major consumable input for HPAL operations. HPAL projects in Indonesia are experiencing increasing difficulty sourcing sulphur, and where supply is available, elevated pricing is placing pressure on operating margins. While our margins are also being impacted, we currently continue to secure supply through the strong relationships and market access of our operating manager and major partner."
About Nickel 28
Nickel 28 Capital Corp. is a nickel-cobalt producer through its
Cautionary Note Regarding Forward-Looking Statements
This news release contains certain information which constitutes 'forward-looking statements' and 'forward-looking information' within the meaning of applicable Canadian securities laws. Any statements that are contained in this news release that are not statements of historical fact may be deemed to be forward-looking statements. Forward-looking statements are often identified by terms such as "may", "should", "anticipate", "expect", "potential", "believe", "intend" or the negative of these terms and similar expressions. Forward-looking statements in this news release include, but are not limited to: statements with respect to the Proposed Expansion (including related to the conditions to completion of the Proposed Expansion and the timing thereof); statements with respect to the Company's potential alternatives under the joint venture agreements in respect of Ramu in the event that the Proposed Expansion proceeds; statements with respect to the potential impact of dilution under the Joint Venture Agreements on the Company's interest in the Ramu project (including any illustrative examples thereof); and statements with respect to the business and assets of Nickel 28 and its strategy going forward. Forward-looking statements involve known and unknown risks and uncertainties, most of which are beyond the Company's control. Should one or more of the risks or uncertainties underlying these forward-looking statements materialize, or should assumptions underlying the forward-looking statements prove incorrect, actual results, performance or achievements could vary materially from those expressed or implied by the forward-looking statements.
The forward-looking statements contained herein are made as of the date of this release and, other than as required by applicable securities laws, the Company does not assume any obligation to update or revise them to reflect new events or circumstances. The forward-looking statements contained in this release are expressly qualified by this cautionary statement.
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Investor Relations Contact Information:
Nickel 28 Investor Relations
Attn: Brett Richards, Director/Advisor
Tel: +1 905 449 1500
Email: info@nickel28.com
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/297241