1 Mini-pilot Plant Update Opportunity Argentia Conference & Exhibition September 30, 2004
This presentation will include projections and other forward-looking statements. While these projections and other statements represent our best current judgment, they are subject to risks and uncertainties that could cause actual results to vary, including the risk factors identified in Inco Limited s filings with the U.S. SEC. 2
3 Our goal is to successfully develop the Orebody at Voisey s Bay Orebody, Voisey s Bay Commercial Plant, Argentia
4 Research & Development Process What is our approach? Develop and implement a new process: Hydromet Process North-side Argentia
5 Research & Development Process A multiphase program of development: Laboratory Mini-pilot plant Demonstration plant Commercial plant Scale 1/10,000 1/100 1
Project Timeline Years 2002 2003 2004 2005 2006 2007 2008 Phase One Mini-pilot plant Design & Construction Operation Demonstration Plant Site Preparation & Environmental Studies Nov. 2005 Design, Construction & Commissioning Demonstration Plant Operation
7 Mini-pilot plant Goal: collect information/data to construct a demonstration plant in Argentia Mini-pilot Plant Demonstration Plant
Mini-pilot Plant Objectives Define and evaluate process options and test the process flowsheet and chemistry Test the process on a continuous and integrated basis Test recirculation and reuse of process streams Demonstrate production of stable residues Obtain design data for demonstration plant 8 Mini-pilot plant, Ontario
Nickel Concentrate Fine Grinding (20 µm) Atmospheric Leaching An elegant and straight forward process 9 Pressure Oxidative Leaching (150 C) Solid-Liquid Separation/Iron Removal Residues Copper Removal Copper Electrowinning Solution Purification Nickel-Cobalt Separation Nickel Electrowinning Nickel Product Copper Product Cobalt Electrowinning Cobalt Product
10 Heavily instrumented to give us as much data as possible Pressure Oxidative Leach (Autoclave) Circuit
11 Leach Discharge Solid/Liquid Separation Leach Residue Thickening Circuit
12 Iron Removal Iron Removal Circuit
13 Impurity Liquid/Liquid Separation Impurity Solvent Extraction Circuit
14 Electrowinning Nickel Electrowinning Circuit
15 What are our Products? Data Nickel Cobalt Copper Residues
16 Process Residues Iron Oxide and Sulfur Iron Hydroxide and Gypsum
17 Process Residues Properties Geochemical Studies Chemical Characterization Reactivity Geotechnical Studies Physical Properties
18 Process Results are Very Good Pressure leach nickel extraction: 97-98% Residue wash efficiency: >99.8% Projected nickel recovery: ~96% Nickel cathode quality: All impurities below market spec Thickness > Industrial competitors Flat and Uniform Shape and Surface
19 What We Accomplished Completed 9 campaigns Confirmed the process chemistry and flowsheet Confirmed that reagent consumptions are as low as originally projected Defined the process engineering criteria for the design of the demonstration plant Defined and validated a computer process simulator
20 What We Accomplished Produced finish nickel cathode from Voisey s Bay concentrate All products (nickel, cobalt and copper) meet market specifications Generated tonnage samples of by-products and are conducting stability testing and evaluation of disposal options
21 We have 65 employees at the mini-pilot plant including 19 from Newfoundland and Labrador 4 Engineers 3 Chemists 8 Technologists 4 Co-op students
22 from Newfoundland and Labrador Andrew Reid, Corner Brook Desmond McGrath, Patrick s Cove Edmund Antle, Burin George Kean, Labrador City Jennifer Quilty, C.B.S Jill Hawkins, Cape Broyle Kenny Richardson, Freshwater Lesley Joy, Bell Island Nadine Newman, C.B.S Nick Chubbs, Labrador City Patricia Tucker, Meadows Peter Diamond, Bonavista Ray Fleming, Lamaline Rodney Hynes, Jerseyside Rory McNeil, Makkovik Shane Chafe, Mount Pearl Tom Collins, Placentia Trevor Batstone, St. John s Wanda Lundrigan, Witless Bay
23 Next Step in the Project: Argentia Demonstration Plant Conceptual Layout of Argentia Demonstration Plant