Sherritt International has temporarily suspended operations at its refinery in Fort Saskatchewan, Alberta, after exhausting the feedstock supplied by its Moa mining operation in Cuba.
The company said the refinery will remain idle until mining and processing activities at the Moa joint venture resume and the feed supply pipeline is restored.
Production at the Cuban operation has been on hold since earlier this year, when the country experienced severe fuel shortages following the United States’ decision to halt Venezuela’s oil exports to Cuba. The disruption has directly affected the flow of raw materials needed to keep Sherritt’s Alberta refinery operating.
The operational setback comes at a challenging time for the Canadian mining company, which is also negotiating with its lenders over its financial position. Sherritt warned that, if creditors were to demand early repayment, it would not have sufficient resources to repay all or a significant portion of its outstanding debt before its scheduled maturity dates.
The company added that its ability to refinance or extend those debt obligations remains uncertain under current market conditions.
At the same time, Sherritt continues to explore strategic financing options. The company has signed a non-binding agreement with Gillon Capital LLC, the family office of a former Trump administration adviser.
Under the proposed private placement, Gillon Capital would receive warrants that could ultimately allow it to acquire a 55% controlling stake in Sherritt, subject to the completion of the transaction.
The combination of operational disruptions in Cuba and ongoing financial negotiations marks a critical period for Sherritt as it works to stabilise both its production activities and long-term financing.
