DEPOK (eNBe Indonesia) - Nickel miner Vale Indonesia (INCO) booked a net profit of US$122.94 million in the first nine months (9M) of 2021, grew 60% year on year (y/y) as revenue rose 20.2% y/y to US$686.43 million, and operating profit jumped 128.3% y/y to US$161.47 million.
In the third quarter (Q3) of 2021, the Company booked a net profit of US$64.12 million, a 172.8% y/y growth. In the previous two quarters or first half (H1), Vale booked a net profit of US$58.79 million, growing 11.3% y/y.
Vale reported a jump in operating profit for the first 9M of 2021 as operating expenses fell 40% y/y to US$3.1 million and other expenses declined 53% y/y to US$7 million. Gross profit surged 99% y/y to US$169.6 million.
The Group’s cash and cash equivalents as of September 30, 2021, was US$469.6 million. Vale continued to exercise prudent control over its spending to preserve cash. For this year, Vale sets capex at US$130 million.
Vale produced 48,373 metric tons of nickel in matte during the first 9M of 2021, declined 12.7% year on year (y/y) due to maintenance activities that occurred in the first quarter (Q1) 2021. In Q3, Vale’s nickel production reached 18,127 metric tons, down 5.26% y/y.
Vale plans to build four electrical furnaces in November this year to help boost production. It also plans to boost production by selecting high-grade nickel. For the Sorowako production facility, Vale is executing the debottlenecking for lifting production to over 80,000 tons.
The Company will add installed capacity by 25%. The Company also focuses on building an HPAL factory or plant in Pomalaa, partnering with Sumitomo Metal Mining.***