Canadian mining company initiates dissolution of Cuba nickel joint venture

On May 15, Canadian mining company Sherritt International announced that it is formally proceeding to dissolve its Moa Nickel joint venture, held equally with Cubaniquel.

Under the proposed split plan, Sherritt will surrender its entire 50% stake in the Cuban Moa mine and associated facilities in exchange for 100% ownership of the Fort Saskatchewan refinery in Alberta, Canada. As the valuation of the Cuban mining assets exceeds that of the domestic refinery assets, Sherritt has simultaneously requested that its Cuban partner pay a compensation of 277 million Canadian dollars (equivalent to 202 million US dollars) for the asset value difference. Additionally, the company will completely divest all its interests in the Cuban energy company Energas.

This large-scale asset divestiture and termination of cooperation is primarily triggered by new U.S. regulations coming into effect on May 1, 2026, which further expand the scope of sanctions against Cuba. Due to the impact of the new policy, the joint venture's core business operations cannot proceed normally, and the operating environment has suffered a significant and substantial adverse impact. In accordance with the shareholders' agreement previously signed by both parties, Sherritt legally holds the right to initiate the corporate dissolution process.

To accelerate the implementation of the asset division, Sherritt has sought judicial assistance from the Court of King's Bench of Alberta, and the court will hold a hearing on the related case on May 19 to finalize the subsequent disposal process.