Nickel 28 Capital Corp. says updated estimates for the Ramu Nickel-Cobalt operation in Papua New Guinea show higher mineral resources and continued reserve replacement following exploration activities completed in 2025.
In a statement, Nickel 28 said updated mineral resource and reserve estimates provided by project operator China Metallurgical Group Corporation (MCC) reflected successful drilling and resource conversion work undertaken during the year.
Nickel 28 currently holds an 8.56 percent joint-venture interest in the Ramu Nickel-Cobalt operation, while MCC and its partners own an 85 percent interest in the project.
The company said its ownership interest in Ramu will automatically increase to 11.3 percent at no cost following repayment of construction debt owed to MCC. Nickel 28 also retains the option to acquire an additional 9.25 percent interest at market value, which would increase its stake to 20.55 percent.
According to the company, total mineral reserve tonnage remained effectively unchanged year over year, while average nickel grades increased from 0.81 percent to 0.87 percent despite ongoing mining depletion, reflecting continued drilling success and resource conversion.
Measured and indicated mineral resource tonnage increased by approximately 16 percent year over year, while average nickel grades declined modestly from 0.88 percent to 0.81 percent, resulting in an approximate 13 percent increase in contained nickel.
Nickel 28 said the increases in mineral resources and continued reserve replacement were driven by exploration work completed in 2025, including 1,026 boreholes totaling 10,397 meters, primarily in Areas 4 West and 6 of the Ramu project.
“The updated mineral resource and reserve estimates reflect continued exploration success and ongoing conversion of mineral resources into mineral reserves at Ramu,” Nickel 28 Chief Executive Officer and President Craig Lennon said.
“At current production rates, the reserve base supports an estimated mine life of approximately 20 years, while the broader mineral resource inventory continues to provide additional long-term upside potential,” Lennon added.
Separately, Nickel 28 announced that it expects to receive its tenth cash distribution from the Ramu joint venture, amounting to approximately US$2.1 million for second-half 2025 operating performance tied to its 8.56 percent stake in the project.
The company also confirmed repayment of US$4 million of Nickel 28’s portion of remaining Ramu joint-venture partner construction debt, reducing its attributable balance to approximately US$31.9 million. Receipt of the distribution is anticipated during May 2026.
Lennon said the Ramu operation delivered a strong operational performance in 2025, producing 33,007 tonnes of nickel and 3,099 tonnes of cobalt contained in mixed hydroxide precipitate, while sales totaled 32,627 tonnes of nickel and 3,061 tonnes of cobalt.
According to the company, average realized nickel prices during the year reached US$6.88 per pound, while cobalt prices averaged US$16.07 per pound.
Nickel 28 said operations in 2026 have started positively, with production tracking in line with targets and nickel and cobalt prices trending above 2025 averages. However, the company noted that rising sulphur prices continue to place pressure on operating margins for high-pressure acid leach operations globally, including in Indonesia.
The updated mineral resource and reserve estimates were prepared by the Nanjing Center of the China Geological Survey according to the Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves, with an effective date of Dec. 31, 2025.
Nickel 28 cautioned investors that the updated estimates were not prepared in accordance with Canada’s National Instrument 43-101 standards for disclosure of mineral projects.
The company added that independent consulting firm RedDot3D Inc. conducted a site visit to the Ramu operation in 2022 to review drilling procedures, quality assurance practices, and mining activities, with Nickel 28 stating that the updated report appeared consistent with those observations.
The Ramu Nickel-Cobalt operation is one of Papua New Guinea’s major nickel and cobalt projects and is operated by MCC through Ramu NiCo Management.
