Sherritt International Corp. has made an about-face on its decision to dissolve its joint venture in Cuba, citing new developments amidst heightened U.S. sanctions on the country. The Trump administration’s aggressive stance, including a de facto fuel blockade and military threats, has put pressure on Cuba and foreign companies like Sherritt, leading to their exit from the region.
The Canadian mining firm has revealed that it is currently assessing a potential opportunity that could preserve value for the company. Sherritt, along with General Nickel Co. S.A. of Cuba, jointly own the Moa venture, a significant nickel mining operation that supports Cuba’s foreign exchange through exports to Canada.
Following discussions with advisors, stakeholders, and relevant authorities, Sherritt has decided to halt the dissolution plans and maintain its suspension of direct involvement in the joint venture activities in Cuba. The company is faced with various challenges, including operational, financial, and legal issues, particularly in meeting debt obligations amidst the expanding sanctions imposed by the U.S.