Why did Nickel Industries (ASX:NIC) shares fall on March 26?

Nickel Industries (ASX:NIC) shares dropped 3.44% to 91 cents, and later to $0.88, following the suspension of operations at its Hengjaya Mine in Indonesia. The halt was triggered by a fatal workplace accident involving a contractor at the Excelsior Nickel Cobalt HPAL Project.

What caused the operational suspension at the Nickel Industries (ASX:NIC) Hengjaya Mine?

The suspension was caused by a fatal accident on 25 March involving a contractor working at a transmission line construction site. The incident occurred within the infrastructure area of the Excelsior Nickel Cobalt high-pressure acid leach Project.

How will the Indonesian government respond to the accident at Nickel Industries (ASX:NIC)?

The Indonesian Ministry of Energy and Mineral Resources is scheduled to launch a formal investigation into the circumstances of the death on 27 March. This regulatory intervention is standard procedure for fatal industrial accidents in the region.

What is the short-term impact of this news on the Nickel Industries (ASX:NIC) share price?

The share price saw an immediate negative impact, falling from 91 cents to $0.88 during afternoon trade as the market priced in the halt. Short-term volatility is expected to continue until the company provides clarity on the duration of the suspension.

What are the key operational risks for Nickel Industries (ASX:NIC) right now?

The primary risk is an extended shutdown of the Hengjaya Mine, which would directly impact production volumes and cash flow. Additionally, the formal government investigation could lead to mandated safety overhauls or changes to the construction timeline of the Excelsior Nickel Cobalt HPAL Project.

How does the 25 March accident affect the Excelsior Nickel Cobalt (ENC) HPAL project?

The fatal accident occurred specifically at a transmission line construction site for the ENC project. While the article focus is on the Hengjaya Mine suspension, any delays in infrastructure construction can push back the commissioning or ramp-up phases of the HPAL facility.

Image for illustrative purposes only. Not a real photo.

Nickel Industries shares sink following mine accident

Written by Mahathir BayenaPublished Mar 26, 2026, 4:54 AMLast Updated Jul 6, 2026, 10:31 AM

Shares in Nickel Industries (ASX:NIC) retreated during March 26 afternoon trade as the miner confirmed a suspension of operations at its Hengjaya Mine following a fatal workplace accident.

By 1:00 pm AEDT, the company’s stock had fallen 3.44% to 91 cents as investors reacted to the cessation of activity at the Indonesian site.

The halt follows a tragic incident on March 25 involving a contractor at the transmission line construction area of the Excelsior Nickel Cobalt HPAL Project.

Australia-listed Nickel Industries noted that the Ministry of Energy and Mineral Resources is scheduled to commence a formal investigation into the circumstances of the death on March 27, leaving the timeline for a full operational restart uncertain.

At the time of reporting, Nickel Industries' share price was $0.88.

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Nickel Industries shares sink following mine accident

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