IGO has paused the construction of the mechanised materials handling system at is Cosmos nickel operation in Western Australia.
IGO has been undertaking a project review of Cosmos in recent months, following the company’s impairment of the assets it acquired from Western Areas.
The review has not been finalised yet, but IGO will transition to an ore tracking operation in the interim instead of utilising a mechanised materials handling system.
This change is expected to impact roles at the company.
“Regretfully, there will be an impact to some roles, however IGO is working on redeployments within the IGO business and is providing all the necessary support to our people through this process,” the company said.
IGO is expected to provide a further update on the outcomes of the review in its December quarterly activities report, and the company said it’s likely to record a further impairment against the Cosmos assets in its first half 2024–25 financial year report.
IGO reported solid progress at Cosmos in September, with the Nova project and Forrestania operation backing up a record year of revenue of over $1 billion.
“The delivery of record financial performance during FY23 has clearly demonstrated the transformation of IGO and our success in pursuing a strategy of being aligned to clean energy metals,” IGO acting chief executive officer (CEO) Matt Dusci said at the time.