MOSCOW, Feb 10 Reuters Russian mining giant Nornickel said on Friday its earnings before interest, tax, depreciation and amortisation EBITDA fell 17 yearonyear in 2022 to 8.7 billion, as it grappled with a drop in sales and supply chain disruption.

Nornickel is the world39;s largest producer of palladium and refined nickel. While it has not been directly targeted by Western sanctions over the conflict in Ukraine, it has faced problems importing equipment and transporting goods abroad.

The company said its net profit fell 16 yearonyear in 2022 to 5.9 billion, while net debt doubled to 9.8 billion.

Economic restrictions imposed on Russia by a group of countries pose risks for operating, commercial and investment activities of the company, it said.

To mitigate these risks Nornickel is developing relationships with alternative clients and suppliers, setting up new logistic routes and exploring new capital markets.

Its boss and largest shareholder, Vladimir Potanin, said in an interview last month the company was establishing deeper ties with countries such as China as trading with Western markets becomes more difficult.

While Potanin himself was sanctioned by the United States last year, Western countries have been hesitant to sanction Nornickel directly for fear of disrupting markets.

The company said in January it expected nickel and palladium output to fall in 2023 as it carries out maintenance work, but that it expected to sell all the metal it produces this…