<p num="21">FIELD: metallurgy.</p> <p num="22">SUBSTANCE: invention relates to powder metallurgy, particularly, to production of nickel-based composite materials. It can be used in aircraft engineering, automotive industry, as well as in production of turbines. Fractionation of nickel powder with particle size of not more than 40 mcm is carried out, mixed with fine powder of zirconium dioxide stabilized with yttrium in ratio of 85–99 wt% of nickel powder and 1–15 wt% of yttrium-stabilized zirconium dioxide. Obtained mixture is mixed in a planetary ball mill in 400–450 rpm mode for 5–6 hours. Pressing is performed at room temperature and pressure of 12–15 t/cm<sup>2</sup> for 10–15 minutes. Pressed billets are heat treated in vacuum furnace at temperature 1,240-1,250 °C for 1–1.1 hours at residual pressure 3×10<sup>-5</sup>–3×10<sup>-3</sup> atm with heating rate of 8–10 °C/min.</p> <p num="23">EFFECT: enabling production of volumetric composite material with high resistance to oxidation.</p> <p num="24"