[1][2] With an annual production of 200,000 tonnes in 2020, New Caledonia was the world's fourth largest producer after Indonesia (760,000), Philippines (320,000), and Russia (280,000), followed by Australia (170,000) and Canada (150,000).
Those areas were developed first, using primitive manual extraction methods and were gradually depleted, resulting in the present average concentration of about 2.6 percent.
The arrival of these migrants from India, Japan, China, Java, and Vietnam both increased and changed the demographics of New Caledonia's population.
This rise followed by a decline, to about 4 million tonnes of ore in 1981, due to cyclones, reducing demand for the metal and increasing role of other world producers, such as Indonesia, Philippines and Australia.
[5] Vale sold and left the islands and as of 2024 Goro is under a hybrid ownership by Prony Resources,[12] with sales of its nickel to Tesla.
The other large Indigenous majority-owned, multi-billion dollar Koniambo, which was in partnership with Falconbridge Ltd. who had a 49% stake, ceased production in Feb 2024 pending a new mining partner.
Despite New Caledonia remains one of world's largest producers of laterite, a source of ferronickel (an alloy of iron and nickel) which constitutes about 20% of country's production.
[13] The major mine sites are Goro, Thio, Koniambo, Kouaoua, Nepoui – Kopeto and Etoile du Nord.
[17] Goro mine, is one of the largest hydrometallurgical process plants constructed, estimated to cost $3.2bn, with a design capacity of 60,000 tonnes of nickel per annum.
[18] However, in 2020 Vale sold all of its interest to Prony Resources New Caledonia, itself a consortium, after a failed effort to sell to an Australian company.
The environmental groups, with its social and political undertones are seeking remedial measures to redress mines' landscape impacts and the ecological aspects.
[9][22] During the boom period of nickel extraction in the state, there were serious visible effects on the environment, consequent to stripping of hill slopes.
[9] A study carried out in 1991 had observed that 1 million tonnes of solid mass of dumped material from the nickel mines caused shift of the delta of a lagoon by about 300 m due to sedimentation.
[23] Studies done at Nouméa (the capital of the Island) had established that the flumes from nickel factories jetted out a plume of black and red smoke.
The discharges from the factories had also recorded high levels of nickel, arsenic and lead, apart from phenol, hydrocarbons, hydrogen sulfide, PCB and pyraline.
[24] The government of New Caledonia eventually evolved strategies, technologies and policies to maintain the balance between environmental conservation measures and the mining industry.
The new legislation has ensured enforcement of installed pollution abatement equipment followed by re-planting vegetation following mine closure or moving of production sites.
There have been technological improvements allowing efficient economic extraction concomitant with environmental friendly pollution control measures.
In addition, a monitoring team of inspectors of mines is also instituted to check and ensure that pollution abatement measures are fully implemented.