Sherritt International Corp. has decided to abandon its initial plans to dissolve its joint venture in Cuba due to recent developments with the U.S. imposing stricter sanctions on the country. The Trump administration’s actions against Cuba, including a de facto fuel blockade and threats of military intervention, have led to increased pressure on foreign companies like Sherritt, prompting them to reconsider their operations.
The Canadian mining company has disclosed that it is currently assessing a potential opportunity that could help preserve the value of its investments in Cuba. Sherritt, in partnership with General Nickel Co. S.A. of Cuba, jointly owns the Moa venture, which is involved in nickel mining in Cuba, with the refined nickel being exported to Canada. This venture plays a crucial role in Cuba’s foreign exchange earnings.
Following consultations with its advisors, stakeholders, and relevant authorities, Sherritt has decided to halt its dissolution plans. The company has also suspended its direct involvement in the joint venture activities in Cuba in response to the escalating pressures from the U.S. The company is facing various operational, financial, and legal challenges, including difficulties in meeting its debt obligations due to the expanded sanctions imposed on Cuba.
