Tesla-Backed Nickel Miner Cuts Output After Waste Dam Leak
- New Caledonia’s Goro reported release of salt-laden liquid
- Metal gains more than 7% in first minutes of London trading
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The troubled Goro nickel mine -- one of the world’s largest deposits, which is part-owned by Trafigura Group and backed by Tesla Inc. -- has been forced to reduce production to address a leak from its tailings dam.
Goro, which is located in the South Pacific territory of New Caledonia, reported a “limited release of salt-laden liquid” after heavy rains in August, a spokesperson for owner Prony Resources said by email. Corrective measures required by local authorities mean that nickel output will be reduced in the fourth quarter, the company said.