Indigenous Kanak leaders and pro-independence parties have supported a bid led by local company Sofinor they say has been unfairly disregarded by the processing plant’s owners and the French government.
Late week, Vale announced it had signed a binding agreement to sell the operation to an international consortium, Prony Resources, which includes a 25% stake from controversial Swiss-based commodity trader Trafigura.
New Caledonia is one of the world’s largest nickel producers, and the industry is critical to the territory’s economy, employing thousands and accounting for the vast majority of its foreign earnings.
The Goro plant owned by Vale is the world’s fourth-largest nickel ore producer and a key economic driver for New Caledonia, employing 3000 people. But it has had a difficult history, benighted by protests, arson attacks and environmental damage. It has also struggled to make money for Vale, despite millions in investment.