Horizonte shakes up management amid Brazil nickel project headwinds

Horizonte Minerals is making widespread management and board changes amid challenges facing its Araguaia nickel project in Brazil’s Pará state.

CEO and co-founder Jeremy Martin will step down as chief executive and as a member of the company’s board alongside CFO Simon Retter, Horizonte said in a statement.

The London-based company said recently it is slowing down the progress of Araguaia as it is negotiating financing solutions after it upped the capex projection by at least 35% from the initial US$537mn.

Capex had to be reviewed due to underestimated costs for civil works, electromechanical assembly and delays in deliveries of materials, among other reasons, the company said last month.

It also pushed back the date for first production to 3Q24 from 1Q24.

In addition, William Fisher, non-executive interim chair and Owen Bavinton, non-executive director, will step down from the board. 

Karim Nasr was appointed interim CEO and he will lead the financing and restructuring process. Nasr is managing partner and co-chief investment officer of La Mancha Resource Capital LLP, one of the company's major shareholders. 

The other top shareholders of Horizonte Minerals are Glencore and Orion Resource Partners. 

The company also appointed Paul Smith as non-executive director and chair. Smith worked for Glencore from 2011 to 2020 where, as head of strategy, his principal areas of focus were capital markets, M&A and capital allocation, according to the statement. 

Horizonte also appointed Maryse Bélanger as interim COO in a non-board capacity. Bélanger has been a consultant to the company in recent months and has more than 30 years of experience in the global mining sector, including in Brazil.