Royal Nickel given green light to go ahead with its US$1.2 billion Dumont nickel mining project

Royal Nickel Corp. has been given the green light to go ahead with its US$1.2 billion Dumont nickel mining project in northwestern Quebec.

Quebec’s Bureau d’audiences publiques sur l’environnement (BAPE) said that the project, which involves open-pit mining and processing, can go ahead under mitigation measures that will reduce the environmental impact of the project on air and water quality. BAPE said that the project must also have sound effluent protection.

A Royal Nickel Corp. statement said that the BAPE report, in addition to the ministry of sustainable development’s assessment of the project, should result in a permit before the end of 2014.

Mark Selby, CEO of Royal Nickel Corp., said:

“We’re very pleased the BAPE has reached a positive conclusion. Our own team’s comprehensive and proactive approach through the environmental, social impact and permitting process has been critical. … Dumont proves our commitment to consultation and transparency.”

As soon as the permit is complete and financing negotiations are completed then the project will begin, with commissioning and setup estimated to be ready in 2016 – 2017.

When in production it is expected to rank as the fifth-largest nickel sulphide operation in the world by annual production.

According to Royal Nickel Corp:

“The Dumont deposit contains approximately 6.9 billion pounds of nickel in the proven and probable reserve categories”

“Once in operation, the mine will produce nickel for over 30 years. Construction and operation of the mine and processing facilities will be made easier by the existence of excellent infrastructure, including roads, rail and access to low-cost power.”

The project will process 52,000 tonnes of sulphide ore daily and produce an annual 33,000 tonnes of nickel in concentrate.

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