Cerro Matoso has reduced its production capacity by 25% after its primary energy supplier, Canacol Energy, slashed the volume of natural gas delivered to the mine.
The operational cutback is a direct response to Canacol’s decision to restrict supply to 7,000 Mbtu, representing a 55% reduction from the previously contracted volume effective July 1.
Cerro Matoso, a critical node in the global nickel supply chain, has previously warned that its operations could become unviable without consistent natural gas flows.
This sharp contraction in fuel availability forces the nickel producer to scale back operations significantly, raising immediate concerns about output stability in Colombia’s mining sector.
The move underscores the fragility of energy-dependent mining operations in the region.
Cerro Matoso, a critical node in the global nickel supply chain, has previously warned that its operations could become unviable without consistent natural gas flows.
The current supply restriction, which began on July 1, translates directly into lower throughput and potential downstream bottlenecks for nickel consumers relying on Colombian output.