The nickel market is set to record a 90,000 MT surplus in 2013. Here's a look at what factors are at play in the situation and what needs to happen for that surplus to be reduced.
A look at the factors that affected the metal in the first three months of 2013, as well as price forecasts for the rest of the year and the latest company news.
The land down under is known for its dominance of the iron ore market, but its nickel mining history is also long and colorful.
A brief overview of nickel price developments, supply and demand and significant market movers.
PolyMet Mining Corp. (TSX:POM,NYSE:PLM) announced that the preliminary supplemental draft Environmental Impact Statement (EIS) for the NorthMet project in Minnesota has been completed by ERM, the independent EIS Contractor.
Royal Nickel's Dumont project in the Abitibi region of Quebec was given a boost today with the announcement of a royalty purchase agreement with RK Mine Finance (Red Kite).
Belvedere Resources Ltd. (TSXV:BEL) released its financial and operating results for 2012, commenting that it produced 2,282 tonnes of nickel and saw $28.9 million euros in revenue. That's up from 2011's 2,157 tonnes and $24.7 million euros in revenue.
Reuters reported that Russia’s Norilsk Nickel might halt operations at its nickel mine in Botswana due to a sharp drop in the prices of metals.
MetalMiner reported that primary three-month nickel prices sank to $15,250 per metric ton (MT) on the London Metal Exchange (LME), while primary cash nickel prices fell to $15,195 per MT, also on the LME.
MetalMiner reported that Chinese primary nickel declined 4 percent after increasing by 1 percent the previous week. It has also seen declines on the LME and in India.
Reuters reported that Indonesia expects its nickel smelter, which is being constructed in Central Sulawesi, will start operations towards the end of 2014. The Indonesian government announced that it will no longer allow unprocessed mineral exports after January 2014, a rule that has been heavily criticized by miners who believe smelters are not viable for all metal ores that the country exports.
Reuters reported that nickel prices have reached its lowest in four years at $15,092 per ton.