Nornickel’s development strategy
Nornickel pursues a moderate growth strategy. The Company is committed to maximising efficiency and ensuring the liquidity of all current and future products.
The Company’s development strategy is focused on:
Growth in mining production and concentration volumes
Maintaining market positions
Upgrading processing facilities
The Company upholds its commitment to sustainability principles, implementing:
Environmental and Climate Change Strategy
Socially Sustainable Development Strategy
Growing mining production volumes, upgrading processing facilities, and maintaining market positions
Norilsk site
Mining production growth
(MTPA OF ORE)Concentration
(MTPA OF ORE)Upgrades of metallurgical assets
Smelting capacity (mtpa of concentrate)Kola site
Severny Mine
Maintaining production atInfrastructure
- Increased throughput capacity of the Dudinka port and the Company’s own terminal in Murmansk
- Renovation of generation capacities
- Comprehensive reduction of energy losses
Trans‑Baikal Division
Mining and processing plant (MMP)
One of the mining industry’s largest greenfield projects, built in record time
The MMP processes ores from the Bystrinskoye deposit into copper, magnetite ore, and gold concentrates.
Production volumes for 2024
| Ore processing | 11 mln t |
| 70 kt |
2025 forecast:
| 66-70 kt |
Production volumes for the GroupExcluding the Trans‑Baikal Division.
| 2024 | 2025F | |
|---|---|---|
| 205.1 kt | 204-211 kt | |
| 363 kt | 353-373 kt | |
| 2762 koz | 2704-2756 koz | |
| 667 koz | 662-675 koz |
South Cluster: growing production volumes
A large existing deposit with a long reserve life (over 20 years) in the bottom quartile of the PGM cost curve.
- In 2024, a positive opinion was obtained from Glavgosexpertiza following the re‑examination of the design and cost estimate documentation. Subsequently, the development of optimisation measures for mine construction commenced.
- Mine development and construction works are ongoing for the underground mine and related infrastructure facilities.
- In 2025–2026, the Company intends to secure positive opinions from Glavgosexpertiza as well as a certificate of compliance for the mine and related infrastructure construction project.
2028 production targets
| 8.2 mln t | |
| 750-850 koz | |
| 13+ kt | |
| 20+ kt |
Upgrade of Talnakh Concentrator: the third start‑up facility
The project’s goal: major capacity expansion based on proven technology to process growing Talnakh ore volumes and unlock strategic optionality for the South Cluster development project.
Project status
- In 2024, the design documentation was adjusted, and the execution of supply contracts for flotation and thickening equipment was completed.
- Tendering is currently underway for ore dressing units and ore feeders, covering a range of activities to complete construction and installation, including the installation of metal frames and fences.
- Installation of foundations for the blower and reactor process equipment is currently underway.
- In 2025, the Company plans to secure a positive opinion from the Main Department of State Expertise (Glavgosexpertiza) on the amended design documentation.
Projected implementation timeline
Commissioning of the third start‑up facility is expected in the fourth quarter of 2028, with subsequent ramp‑up through 2029.
Upgrade of flash smelting furnaces at Nadezhda Metallurgical Plant (NMP)
- In 2024, NMP completed an overhaul of FSF No. 2, a unique project comparable in scale and effort to constructing a new furnace.
- Despite the logistical challenges and constraints caused the disruption of equipment supplies from foreign vendors, the project was completed in less than 60 days.
- The project resulted in a 25% increase in the furnace’s capacity for concentrate processing.
- The Company is currently developing a set of measures to upgrade FSF No. 1 with a waste heat recovery boiler, planned for implementation in 2027.
- The FSF No. 1 upgrade also includes production capacity expansion at NMP.
The Trans‑Baikal Division’s mining and processing plant
- In 2024, the first projects under the long‑term efficiency and capacity expansion strategy came online: magnetic separation capacity additions and a gold concentrate dehydration unit. The development of main technical solutions was also completed, and the preparation of detailed design documentation commenced for the gold mill project.
- In 2025, projects to upgrade the grinding circuit, flotation section, and thickening section of the concentrator are scheduled for commissioning. Plans are also in place to commence construction of a gold mill.
Production volumes
| 2024 | 2025F | |
|---|---|---|
| 11.3 mln t | 11.5 kt | |
| in concentrate | 70.0 kt | 66-70 kt |
| Iron ore concentrate | 2.9 MLN T | 2,75-2,85 MLN T |
Mining capacity expansion at Severny Mine
Site overview
Active complex‑sulphide concentrate production site comprising several assets:
- Severny underground mine
- Zapolyarny Concentrator
- Concentrate shipment section
- Auxiliary infrastructure facilities
Location: Murmansk Region, ~250 km from the Murmansk sea port, access by rail.
Existing key customers include leading manufacturers of battery materials in China.
In 2024, a project was launched to develop reserves down to a depth of 730 metres, enabling ore production at a rate of 7 mtpa until 2048.
Mineral resource base
| Measured and indicated resources | Inferred resources | |
|---|---|---|
| 422 mln t | 55 mln t | |
| 0.66% 2796 kt | 0.75% 408 kt | |
| 0.33% 1376 kt | 0.36% 198 kt |
Infrastructure expansion and upgrades
Logistics Infrastructure Development Programme
Programme rationale
- Increased volumes of westward shipments of semi‑products once the copper production chain reconfiguration programme is completed.
- Adjusted pace of fixed asset replacement in the Norilsk Industrial District, reflecting the optimisation of the investment programme.
- Expansion of Northern Sea Route operations and increased freight volumes for major investment projects of other companies using the NSR in the Russian Arctic.
Energy infrastructure upgrade programme
Programme goal: renovate generation facilities and energygrid infrastructure to ensure the reliable supply of all types of energy to consumers in the Norilsk Industrial District.
Gas and gas condensate exploration, production, and transportation
- In 2024, a retrofitting project was completed for a gas pipeline’s underwater crossing of the Bolshaya Kheta River.
- Drilling operations continue on five wells at well pad No. 4 of the Pelyatkinskoye gas condensate field, expected to come online in 2025.
- Pre‑commissioning operations are underway at the booster compressor station of the Severo‑Soleninskoye gas condensate field, with commissioning planned for 2025.
NGV fuel
In 2024, a CNG filling station was commissioned in Norilsk.
Combined heat and power plants
- In 2024, construction and installation activities were completed for the revamp of Unit No. 2 of CHPP‑2, with pre‑commissioning operations ongoing and commissioning scheduled for 2025.
- The tank farm revamp programme continues, with five new tanks constructed since its start:
- 2 tanks at CHPP‑1
- 2 tanks at CHPP‑2
- 1 tank at CHPP‑3
Energy infrastructure
Sulphur Project at Nadezhda Metallurgical Plant
The Sulphur Project 2.0 at Nadezhda Metallurgical Plant includes technological upgrades to recover SO 2 from off‑gases of the main smelting units (flash smelting furnaces) by converting them into sulphuric acid and then neutralising it with limestone to produce gypsum – environmentally non‑hazardous waste to be placed in a gypsum storage facility.