Yuzhuralnickel stops production facilities
The low prices for nickel, held on the non-ferrous metals market recently, caused not one company to balance on the fine line between profitability and loss. Recently, the list of organizations that have resorted to emergency measures because of the crisis in the sector has been replenished by another company: the management of OAO Yuzhuralnickel Combine (Russia, Orsk, Orenburg region) decided to reduce production. The management of the enterprise has already stopped part of the production facilities and sent 818 of its employees to involuntary leave with partial preservation of earnings.
The authorities of Orsk, for which the nickel plant is a town-forming enterprise, state that the situation with the plant is under control: a special commission has been set up to coordinate the consequences of the stop of "Yuzhuralnickel". Its representatives conduct consultations with the employees of the enterprise and render them various assistance.
The South Urals Nickel Plant is one of the assets of Mechel OAO (owning the plant through Oriel Resources Ltd.). The enterprise provides raw materials for nickel to the parent company, which produces special types of metal, while the bulk of the nickel produced at the plant is exported. The plant has been operating in the non-ferrous metals market since 1938.