No 1 source of global mining news and opinion
Many of the world’s biggest nickel mines are facing an increasingly bleak future as they wake up to an existential threat: a near limitless supply of low-cost metal from Indonesia.
Wresting control of strategic metals from China has become a focal point of Joe Biden’s administration. Yet while US officials have dashed around the world looking to strike deals for materials such as cobalt and copper, the heaviest reverse has come in Chinese-backed Indonesian nickel, a key component of electric vehicles.
Traditionally, nickel has been split into two categories: low grade for making stainless steel and high grade for batteries. A huge Indonesian expansion of low-grade production led to a surplus, and, crucially, processing innovations have allowed that glut to be refined into a high-quality product. Combined with economic slowdowns in China and the US and the choppy adoption of EVs, nickel has been pummeled. The price fell 45% last year, and is currently hovering around $17,000 a ton. According to Macquarie, at $18,000 a ton 35% of production is unprofitable, while at $15,000 a ton that jumps to 75%.
“We see continuing strong production growth out of Indonesia,” Nagle said. “We do not expect significant price recovery in the short to medium term.”
United States Latest News, United States Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Glencore to sell stake in troubled New Caledonia nickel operationNo 1 source of global mining news and opinion
Read more »
From green hype to bailouts, the nickel industry has implodedNo 1 source of global mining news and opinion
Read more »
The streaming services will continue to nickel-and-dime us all — because they canAs online services fight for every single dollar — sometimes by less-than-scrupulous means — the only way we can fight back is by canceling.
Read more »
Column: China’s refined nickel trade signals new production trendsNo 1 source of global mining news and opinion
Read more »
Australia lists nickel as ‘critical mineral’ to unlock billions in supportNo 1 source of global mining news and opinion
Read more »
Tsingshan’s 2023 nickel output jumps to record highNo 1 source of global mining news and opinion
Read more »