First Quantum’s Australian Mining Halt Seen Conserving Cash (1)

(Adds BMO commentary, links to Panama mine dispute)

First Quantum will cease mining at Western Australia’s Ravensthorpe nickel and cobalt mine to cut costs, according to a report in the Australian Financial Review that cited a company statement. The move will help the company conserve cash after the closure of its Panama mine.

• “This move could be seen as part of First Quantum’s cash conservation measures designed to shore up the company’s balance sheet during Cobre Panama closures,” BMO Capital Markets analyst Jackie Przybylowski writes
  • Notes reduction of its roughly 420-person workfoce by 30% “in response to weak nickel prices” ...