The firm will invest $530m to expand the Raglan project in Northern Quebec, to increase its nickel production from 6,000 to 32,000 tonnes per annum by 2014.
The development will include high grade Qakimajurq and Mine 2 lower zone deposits and associated infrastructure.
Xstrata will also planning to achieve annual capacity of 40,000 tonnes from its nickel concentrator by 2016.
Xstrata will also develop two zones at the Fraser Morgan project in Ontario, with an investment of $119m.
With this development, project is expected to produce 6,000 tonnes and 2,000 tonnes per year of nickel and copper, along with extending the life-of-mine by five years to 2025.
