Russia's Nornickel, the world's largest producer of palladium and a major producer of refined nickel, has raised its 2024 production guidance for all metals.

The company said on Monday that its full-year nickel production forecast was now at 196 000 to 204 000 metric tons, up from 184 000 to 194 000 tons previously. The new target was still below the 209 000 tons produced in 2023.

The company said it had produced 146 210 tons of nickel in the first nine months of the year as the furnace at its flagship Nadezhda smelter went back into operation after major repairs in August.

As a result, the company reported a 16% quarter-on-quarter increase in nickel output in the third quarter.

Its palladium production guidance was increased to between 2.624-million and 2.728-million ounces, up from 2.296-million to 2.451 million ounces previously. Palladium output was up 1% year on year at 2.156-million ounces in the nine months of 2024.

Nornickel's operations director Alexander Popov said the company increased nine-month copper and palladium output year on year while platinum and nickel were unchanged.

The "positive dynamics" were attributed to improved operational efficiency and increase mined ore, he said in a statement.

Nornickel is not subject to direct Western sanctions, though sanctions against Moscow have prompted some Western producers to avoid buying Russian metal and complicated payments, leading Nornickel to redirect sales to Asia.