The Thompson mine expansion is a two-phase project, of which Tuesday’s announcement represents Phase 1 . It includes critical infrastructure such as new ventilation raises and fans, increased backfill capacity and additional power distribution. The changes are forecast to boost production by 30%.

“The global movement to electric vehicles, renewable energies and carbon reduction has shone a welcome spotlight on nickel – positioning the metal we mine as a key contributor to a greener future and boosting world demand,” said executive VP Mark Travers.

The investment will extend the current mining activities in Thompson by 10 years, while aggressive exploration drilling of known orebodies holds the promise of mining well past 2040.

The Thompson orebody was first discovered in 1956 by Vale (then known as Inco) following the adoption of new exploration technology and the largest exploration programme to-date in the company’s history. Mining of the Thompson orebody began in 1961.

“We see the lighting of a path forward to a sustainable and prosperous future for Vale base metals in Manitoba,” said Vale Manitoba GM Gary Annett.