Philippines-focused nickel miner Toledo Mining Corp Plc (TMC.L: Quote) said on Wednesday it restarted direct ore shipping at its Berong mine on Palawan Island, sending its shares up as much as 27 percent. About 47,757 wet metric tonnes of nickel laterite ore was shipped on Monday to BHP Billiton (BHP.AX: Quote) (BLT.L: Quote) and a second ship is scheduled for mid-June, the company said.
Although the Berong mine remained on care and maintenance, Toledo said the restart of shipments, reduction in ore inventories at Chinese ports and an improvement in nickel price provided hope for resumption of mining activities in the long run. Last month, Toledo said it had stopped all capital expenditure beyond necessary maintenance during the quarter ended March 31 and cut more than 600 jobs at the Berong mine.
Toledo shares were up 18.2 percent at 32.5 pence at 0901 GMT. They touched a trading high of 35 pence earlier in the session. (Reporting by Kumar Alagappan in Bangalore; Editing by Gopakumar Warrier)
© Thomson Reuters 2009 All rights reserved