28 Jul SGX’s First Nickel Mining Company
Silkroad Nickel Ltd. (“Silkroad Nickel”, “新丝路镍业有限公司” or the “Company”, and together with its subsidiaries, the “Group”), formerly known as China Bearing (Singapore) Ltd., expects to make its trading debut on the Catalist of the Singapore Exchange Securities Trading Limited (“SGX-ST”) on Monday, 30 July 2018. Following completion of the reverse takeover (“RTO”) of the Company by FE Resources Pte. Ltd., the Company had, on 29 June 2018, transferred its listing from the Main Board to the Catalist board of the SGX-ST.
Silkroad Nickel is principally engaged in the exploration, mining, production and sale of nickel ore. It has been granted a Production Operations IUP1 to conduct nickel mining operations at a Mining Concession Area (“MCA”) of approximately 1,301 ha located in Morowali, Sulawesi Tengah, Indonesia. The Production Operations IUP is valid for an initial term of 20 years, commencing 5 May 2009, and extendable for up to two additional 10-year tenures.
Mr Hong Kah Ing, Chief Executive Officer & Executive Director of Silkroad Nickel commented: “We aim to generate sustainable returns to our shareholders by progressively ramping up our production capacity with investments in equipment, infrastructure and people, with the addition of eventual export sales of our nickel ore. We plan to explore the remaining area of our Mining Concession Area so as to map out the next phases of growth and to identify new concession areas for future acquisitions.”
STRATEGIES & FUTURE PLANS
Increase nickel ore production
- The Group intends to increase nickel ore production by expanding its workforce and acquiring additional mining equipment and machinery. The Group also intends to further develop and upgrade existing infrastructure in the MCA (including building additional haulage roads to improve access, improving access to and increasing the loading capacity of the existing loading jetty, and constructing additional workers’ dormitories).
Export nickel ore to international customers
- The Group has applied to MEMR to commence the application process for the Export Quota in order to sell and export nickel ore to international customers.
Explore and exploit the remaining area of the MCA
- The Group has explored approximately 38% of the MCA to date, and will continue to carry out exploration drilling and evaluation activities over the remaining area of the MCA.
Business expansion through acquisitions, joint ventures and/or strategic alliances
- The Group intends to identify expansion and collaboration opportunities which are synergistic and allow for effective integration with its existing mining operations and activities.