Operations

Location of Cunico operations in the Balkan Region, Europe

Following a series of successful acquisitions over the past few years, Cunico plans to produce approximately 24,000 tons of nickel in 2010. Feni Industries in Kavadarci was acquired in 2005 and management was able to increase the production output of nickel from 5,000 tons in 2004 to over 12,000 tons in 2009. In addition, following a successful privatisation process in Kosovo, the Ferronikeli complex began operating again in 2007 and produced over 6,000 tons of nickel in 2009 . The Cunico group employs on average around 2,000 people in the Balkan region.

Each of the group’s production plants is fed with ore from nearby mines that are owned by the group. Ore is also procured from mines in Indonesia, Albania, Turkey, Greece and the Philippines. The ore is mixed with purchased raw materials (such as coal and anthracite) to produce the final product.

The Feni nickel plant in Kavadarci is supplied with nickel ore of varying concentrations from deposits at the group’s mines in the Balkans, as well as imports of third party ore from Indonesia, Albania, Turkey, Greece and the Philippines.

The Ferronikeli nickel plant in Kosovo is supplied with nickel ore from the group’s mines in the country, as well as imports of third party ore from Albania, and supplemented with other ore to optimise blends and production.