Noront Resources

Vale says further cuts to nickel output possible




Companhia Vale do Rio Doce chief executive officer Roger Agnelli said the company may need additional cuts in nickel production after metal demand slumped. "Everybody's shutting nickel production, we're shutting and may need to go further," he said on a conference call yesterday. Miners worldwide are paring output as the global recession pares the use of metals. Vale is involved in negotiations on a "restructuring" of its Canadian nickel operations, Mr. Agnelli said. "We're adjusting output at the high-cost Sudbury mine and doubt it's possible to sustain current production levels there," he said. But output at Voisey's Bay should remain at full capacity, he said. VALE5 fell 1.91 Brazilian reals to 27.86 reals. ($14.62).