Ramu Nico: Mine still running at loss

President Jicheng: ‘2015 is a fight for survival’

mcc meeting

Freddy Mou | PNG Loop

Despite the technical, social, economic and cultural challenges faced in 2014 by Ramu Nico, company president Wang Jicheng set this year’s production target at 83 percent capacity rate in line with requirements from the MCC-Group.

Speaking at the 2015 Ramu NiCo Annual Work Report Conference in Madang recently, Mr Jicheng said even though confronted with such problems as the complicated investment environment in PNG and laterite mining and processing challenges, Ramu Nico had followed the ramping-up requirement from MCC Group.

“We have closely stuck to the strategic targets of ‘ramp up and control deficit’ to orient development, change management mode, concentrate on productivity increase, remedy the shortfalls, regulate marketing operation, reinforce capital expense, enhance HSE and community affairs management, to achieve the effective outcomes on management improvement and technical breakthrough,” he said.

With the fluctuating nickel and cobalt world prices and other uncontrolled external and internal factors, Mr Jicheng said the project would still make a loss in 2015 with the deficit control within the set target even though 83% design capacity was achieved.

“Currently, we are faced with the development of quality, challenging process bottlenecks, team stability and cross-cultural management and other aspects. To increase production capacity and operational management level, we have established a ‘12345’ management approach, to complete various tasks centering on cash flow and ramp up,” Mr Jicheng said.

The ‘12345 approach’ includes: manage cash flow, ensure competition and health, safety and environment, make changes in operation philosophy, innovative development and step up progress in production.

Mr Jicheng said 2015 was not only a challenging year but also a year to fight for survival and explore potentials to increase benefits.


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Filed under Financial returns, Papua New Guinea

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