Ambatovy at a Glance
Ambatovy is the largest capital project in Madagascar’s history. Once fully operational, it will have the
annual capacity to produce 60,000 tonnes of refined nickel, 5,600 tonnes of cobalt, and 210,000 tonnes of
ammonium sulphate fertilizer.
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Major components:
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Mine Site located near Moramanga.
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220 km Pipeline to transport slurried ore for processing to the Plant Site near Toamasina.
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Plant Site that will produce high-grade nickel and cobalt briquettes.
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Construction/expansion of supporting infrastructure including port facilities, new roads, railway lines,
a tailings dam, and power plant.
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Project lifespan: approximately 30 years (mine-reserve life of 27 years).
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Partners:
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Sherritt International Corporation of Canada.
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Sumitomo Corporation of Japan.
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Korea Resources Corporation of Korea.
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SNC-Lavalin Incorporated of Canada.
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Expected investment costs: approximately $5.5 billion.
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Peak employment during Construction: more than 18,000 jobs.
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Total employment during Construction: more than 22,000 jobs.
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Expected employment during Operations: approximately 2,500; 85% Malagasy.
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Expected total job creation during Operations: approximately 15,000 direct, indirect, and induced
jobs, supporting 65,000 to 75,000 family members.
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Schedule: initial production expected in 2012.
Ambatovy is positioned to be among the world’s largest lateritic nickel mining operations. It already
contributes significantly to Madagascar’s gross domestic product (GDP) and will provide important
revenue to the country for years to come. As Ambatovy will fully refine its products on the island, it will
generate additional local benefits, such as technology transfer, quality employment, and greater economic
returns. Ambatovy is committed to adding value within Madagascar, to ensure that the Malagasy people
reap the rewards of their resources and labor.
Ambatovy expects to contribute tens of millions of dollars to Madagascar’s GDP
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. This will likely cumulate
into billions of dollars
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in revenue for Government of Madagascar.
Highlights of Ambatovy’s social and environmental investments include:
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Specialized training to enable Malagasies to fill highly skilled Operations positions in the future.
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World-class environmental management and conservation programs aimed at ensuring no net loss
of biodiversity – and striving for a net gain.
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An off-site biodiversity offsets area of 6,800 ha of endangered forest.
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On-site conservation zones of 4,900 ha including two areas of azonal forest overlying part of the
ore body.
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Long-term commitment to improve the standard of living of resettled villagers through multi-
faceted socio-economic investments and development programs.
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Improvements to rural roads and infrastructures that provide communities with better access to
markets and services.
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Local business support through mentoring, training, and capacity building to improve the quality
of local products and services, as well as the companies’ internal and financial management
systems.
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Creation of a supply chain that offers local entrepreneurs and businesses opportunities to provide
goods and services to meet Ambatovy’s ongoing needs.
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The exact amount of government revenue is difficult to forecast due the fluctuating market price of nickel and cobalt,
the variable cost of input commodities (such as coal, limestone, and sulphur), inflation, and other factors.
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AMBATOVY – SUPPORTING GROWTH AND DEVELOPMENT
