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FAQ

1. What nickel deposits does PRONICO plant develop?

PRONICO plant processes minerals according to the mining project and according  to the Mining Licence  granted to FeNiX project; the deposit has a huge potential both quality and quantity-wise. It is world’s tenth richest and cleanest deposit and being located in Guatemala, it attracts a lot of international producers.

2. What nickel derivative does PRONICO plant produce?

The exacted mineral is called nickel ore. The processing plant of PRONICO company produces so-called ferronickel containing 2 parts of iron and 1 part of nickel sold in the international markets as a finished product.    

3. What industries are using ferronickel?

Mainly stainless steel producing industries. Ferronickel is sent directly to steel processing plants including stainless steel ones or to those that require input for other alloys and applications. Regarding the distribution in world economy industries, 11% of the metal is used in the construction, 24% in the equipment production, 16% in the engineering industry, 16% in the metal elements production, 15% in the electronic production.

4. What quantity of nickel is produced by PRONICO annually?

Activity of the processing plant of PRONICO is aimed at ferronickel production. During the first year the plant has produced around 25, 000 tones of the product which is an equivalent to USD 470 million in revenue, a significant part of the above mentioned amount is formed by the taxes.

5. What empact do these taxes have on the national economy?

Annual contribution from fiscal, juridical and voluntary revenue deductions to the national budget can reach USD 50 million.

6. What was the first overall contribution on the start stage of the project FéNiX?

During the first stage, the company invested in the operation of the plant $551,000,000, with the launch of the project in May 2014. After the completion of the fourth stage, presumably, the project investment will amount to 1,500,000,000.


7. Does CGN use water from the lake and in which quantities?

Yes, the company uses water from Lake Izabal, but it´s used in a recirculation system that reduces its consumption to a minimum. Every hour the lake receives about 390 000 cubic meters of water, and the company CGN uses from 350 to 800 cubic meters of water per hour, less than 0.2% of water flowing into the lake. The lake holds about 23, 520, 000, 000 cubic meters and in the absence of rains in the next 1000 years the lake will not suffer damage from the consumption of CGN.