Nickel Industries flags December quarter revenue slump following sales licence delay
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The news: Nickel Industries has told the exchange it expects December quarter adjusted EBITDA to be in the range USD35 million ($52.4 million) to USD40 million, less than half the earnings generated in the preceding quarter due to a sales licence extension delay.
The numbers: Ore sales fell from 3.09 million wet metric tonnes in the September quarter to 945,631 wet metric tonnes in the December quarter.
The value of foregone ore sales for the December quarter is estimated to be about USD45 million. A further USD18 million in costs were incurred from keeping mine contractors on standby during the period.
The context: Nickel Industries told the exchange that delays in increasing its Hengjaya Mine’s 2025 nickel ore sales quota under Indonesia’s Rencana Kerja dan Anggaran Biaya (RKAB) mining licence regime led to the decline.
RKAB extension was issued on 11 December 2025, enabling sales to recommence for the last 19 days of the quarter.
Despite unexpectedly high rainfall, Nickel Industries said the Hengjaya Mine has made a “strong start” to the year and sold 735,000 wet metric tonnes of nickel ore as at 17 January.
The source: ASX
