Rio Tinto to develop US nickel mine

Rio Tinto will spend USD 469 million developing the Kennecott Eagle nickel and copper mine in Michigan’s Upper Peninsula, with construction starting this summer. The mine should begin producing minerals by late 2013. The company expects Kennecott Eagle to yield annual averages of 17,300 metric tons of nickel and 13,200 metric tons of copper over six years. It will be the only US mine with nickel as the primary mineral. Rio Tinto said in February 2009 it was delaying work on the project because of poor market conditions. Aside from the underground mine, the investment will cover costs of buildings and other infrastructure, plus upgrades of the Humboldt Mill near Ishpeming, where mine rock will be crushed and minerals extracted. It will also pay for a new road between the mine and the mill.

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