Economic Contributions

Ambatovy is the largest capital project in Madagascar’s history. Designed to operate for a minimum of 29 years, Ambatovy will have a major, positive, long-term impact on the Malagasy economy.

Over its lifecycle, and based on current nickel prices, Ambatovy estimates its contributions to the Government of Madagascar at US$ 50 million per year for the next ten years and US$ 4.5 billion over the 29 year life of the Mine[1] in taxes, royalties, duties, and other payments. The exact amount payable to the government is difficult to forecast due to multiple variables that include the market price of nickel and cobalt, the cost of input commodities (such as coal, limestone, and sulphur), inflation, and other factors that are also subject to fluctuation.

Ambatovy’s investments in job creation, infrastructure, and support for local business will also contribute significantly to Madagascar’s potential for future growth.

Many extractive industries in sub-Saharan Africa have chosen to refine their minerals in Asia, Europe, or North America. Ambatovy’s decision to fully refine its products in Madagascar will generate significant local benefits including thousands of additional jobs, enhanced technology transfer and expanded capacity building, and infrastructure. These will all generate substantial economic returns for Madagascar over the long run.

[1] Estimate as of January 2013