The Mindoro Nickel project is expected to come into production earliest in 2015. Norway’s Intex Resources earlier this month signed a memorandum of understanding with a Chinese firm to develop the project. The chairman of Intex, Jan Vestrum, talks about the project, Chinese investors and nickel prices.
Dr. Peter Bradshaw, CEO of First Point Minerals spoke with Nickel Investing News about the nickel-iron alloy, a naturally occuring stainless steel and the implications the metal can have for the steel industry.
The price of nickel has fallen to $18,595 per tonne on surplus and the increased use of nickel-pig-iron in China. Analysts, however, are optimistic that low prices will encourage China’s nickel consumption and lead to a stabilized 2012 nickel market.
Is there a connection between nickel’s price movements and the developments in the copper market? Nickel Investing News asked Wayne Atwell, Managing Director and Senior Metals Analyst for Rodman & Renshaw.
Nickel is projected to be in a surplus over the next year and a half, as weak stainless steel demand has caused cuts in production. There are supporting factors as the market heads for its bottom.
Nickel prices on the LME have been on a downward trajectory since March. Weakened demand for steel, increased production of nickel, and many manufacturers seeking substitutes may put create a surplus in 2011.
Nickel is a lustrous silvery-white, corrosion-resistant metal with a reddish tinge that has been used for thousands of years. A commonly over looked presence of modern day life, nickel is used in applications in buildings and infrastructure, household equipment, chemical production, and energy supply, to name a few.
It has been an eventful year for the price of nickel. The metal witnessed a rise in price early in the year, followed by its highest price since the fourth quarter of 2008. Since April, the metal has seen a sharp decline in its price, but has recovered nicely over the course of the rest of 2010.
With other base metals reacting positively to last week’s results from the European Bank stress tests, nickel prices started the week flat. But, if demand for nickel is soft in the short-term, analysts believe it will be temporary as the supply-demand balance continues to improve.
The global nickel market will be in a slight deficit this year, reports metal consultant Metalytics Ltd, as demand is driven by increases in the steel market.
Thursday, January 26, 2012