Norilsk Nickel

The Challenge

Norilsk Nickel, Russia's largest mining company, was focused on broadening its business into the West. The company identified Stillwater Mining, a Montana-based and New York Stock Exchange-listed company that was the United States' only producer of the ore palladium. If successful, Norilsk would become the first Russian company to own a majority share in a publicly traded company in the West.

The company had to quickly develop messages that clearly and convincingly articulated the strategic and financial rationale of the transaction, while simultaneously rebutting any potential objections by regulators, politicians, shareholders, employees, environmentalists and customers. Stillwater was also in severe financial difficulty and required an immediate capital injection to avoid permanently shutting down the mines and laying off thousands of workers.

The Solution

APCO partnered with the company and its investment advisors to create an overall positioning and message platform. APCO's strategy was to present Norilsk's business plan to policy makers and constituencies interested in the investment, and personalize the company by introducing executives to elected officials and stakeholders. The plan needed to be coordinated with the investor relations outreach activities Stillwater was carrying out with its shareholder base.

APCO developed and implemented a government relations program to introduce Norilsk to decision makers in Washington, D.C. and Montana, and to keep those elected officials informed every step of the way. Visits were scheduled enabling policy makers to meet Norilsk executives in charge of the investment. APCO also planned a visit to Montana for Norilsk executives to meet with mine neighbors, environmental groups, state legislators, the attorney general, congressional representatives, the governor and the media.