The losses were primarily attributed to the low nickel prices amidst global financial crisis leading to insufficient earnings and thereby failing to cover accumulated depreciation and amortization costs.

Mincor also reported 5,063 tonnes of nickel-in-ore production that grossed operating cash flow of $16.53 million despite the low nickel prices.

Commenting on the first half results, Mincor managing director David Moore remarked that nickel prices had hit the rock bottom over the last six months thereby plunging the entire industry into losses.

"Under these circumstances, it is pleasing that Mincor has been able to maintain a strong operating performance and continue to generate substantial levels of free cash.

"Our financial position remains strong with $70 million cash in the bank and no debt," added Moore.

Looking ahead the company is planning to ramp up production to 9,000 tonnes of nickel-in-ore for the full year.