Palmer is a volcanogenic massive sulphide-sulphate joint venture project between Constantine and Dowa Metals and Mining, Constantine owns 51% of the project and is its operator.
BHP said it expected to record a charge of $650 million in its fiscal 2018 results on account of the failure but the charge was at the lower end of expectations according to analysts.
Most ore will be sourced locally from various locations including the northwestern states of Zamfara, Kebbi and Kaduna, as well as the central states of Kwara and Niger.