(Updates with MMG's response in the fourth paragraph.)
MMG (HKG:1208) has countered regulatory concerns over its acquisition of Anglo American's nickel operations in Brazil with a reassurance to maintain or boost supplies to Europe, Bloomberg reported Thursday.
The European Commission, on Wednesday, raised concerns that MMG could divert low-carbon ferronickel supply away from European markets and increase costs for European stainless steel production as a result of the $500 million deal.
The miner denied any intentions of diverting supplies to China, instead saying it could potentially boost the supply of ferronickel to Europe, or at least maintain it at the level Anglo American provides, Reuters said.
MMG executive general manager for corporate relations, Troy Hey, toldin an email response that the company would continue to engage with the European Commission and respond fully to the concerns. The Statement of Objections is a preliminary assessment and not a final decision.
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