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LME Nickel Stocks

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#322

Its all happening in Indonesia.

They will be producing battery grade nickel and cobalt from laterite ore but at what cost, that’s the issue? Without the detail its difficult to know what this means.

Interesting comment by Moody’s at the bottom of this article.

"Moody’s also warns about the supply of other commodities supply could affect lithium prices: “Nickel and copper availability is likely to constrain the ability to produce electric batteries. This will dampen lithium demand growth until ample nickel and copper is available — which may take a while,” the report concludes."

One of the drivers in the emerging EV market will be the car companies themselves. The need to secure market share is the only incentive the big players need to push things forward. Add to that emerging legislation and the fact that a substantial number of consumers wanting to do their bit for the environment and the market will expand very quickly.

Interesting times ahead.

TDT :sunglasses:


#323


#324

It can leave sulfide miners in great difficulty.


#325

Nuno

Do you have a link to the article that graph comes from?

TDT :sunglasses:


#326

Nothing that has not already been spoken by us, but here it is.

https://seekingalpha.com/article/4225730-nickel-monthly-news-month-november-2018


#327

TDT

https://nickel28.biz/niso4-price-equivalent-to-7-75-per-pound-ni-content-if-class-2-ni-had-separate-price-what-would-it-be/


#328

#329

Nuno

Another article on this web site concluded with the following:-

The difference:

Vale and Norilsk are the largest producers of nickel. They produce nickel to sell nickel.

China produces NPI to make austenitic stainless steel.

I’m not so sure that’s correct. If the reports on what the Chinese are up to in Indonesia are accurate then NPI production is likely to be the first step to producing nickel sulphate.

TDT :sunglasses:


#330

TDT

Everything points for here “future battery demand will be met mainly by nickel laterites and not sulphides. The upper layer of a laterite orebody is composed of limonite which contain nickel and cobalt. This can be processed via hydrometallurgy into mixed nickel-cobalt hydroxides or sulphides which are the best feed source to make nickel sulphate.”

CRUgroup is saying it can be done at 14.000 USD/ton, WoodMac, Jim Lennon and others, they do not belive, do HPAL at that price and in one year.

"There is panic over the offer, but the Tsingshan project will not hit the market next year. It will take two to three years, "said Jim Lennon, director of Red Door Research.

Is true, doing this they can get cobalt and copper as subprodut.

An example that analysts cite is the Ambatovy in Madagascar. On its website, Ambatovy says the project cost $ 8 billion and will have the capacity to produce 60,000 tonnes of nickel.

This is not good for high cost Nickel miners.


#331

#332

We should see a bounce on Monday but will it last? Until this issue is resolved uncertainty in the market is likely to keep things relatively subdued.

TDT :sunglasses:


#333

It’s just a break … China and US declare 90-day suspension for new rates "


#334

Yes, I saw that. 90 days of uncertainty or possibly 90 days for Trump to see sense!

How likely is that?

TDT :sunglasses:


#335

TDT

Did you read this?


#336

Yes.

TDT :sunglasses:


#337

This article is 7 months old now but its still worth a read if only to get some idea of how quickly things can change.

https://www.spglobal.com/marketintelligence/en/news-insights/research/nickel-supply-energized-by-electric-vehicles

TDT :sunglasses:


#338

This one seems to have a fairly good handle on where things are at currently.

“UBS predicts that by 2025 the amount of nickel going into batteries will be about 700,000 tonnes.”

https://stockhead.com.au/resources/nickel-cobalt-juniors-are-making-moves-at-the-right-time/?utm_medium=email&utm_campaign=Lunchtime%20ASX%20small%20cap%20wrap%20Mon%20Dec%203&utm_content=Lunchtime%20ASX%20small%20cap%20wrap%20Mon%20Dec%203+CID_1fe8a9728b4bedaf00321b62b4d4ecc9&utm_source=Campaign%20Monitor&utm_term=Nickel%20cobalt%20juniors%20are%20making%20moves%20at%20the%20right%20time

If Kun Manie is not scheduled to go into production until 2022/23 then its going to do so at the right time.

TDT :sunglasses:


#339

image


#340

It is true, things can change, and more available and cheaper nickel is good for world`s electrification.

The only thing that is diferent in that report, as CRUgroup said, now is possible to use HPAL at 14.000 USD/ton.


#341