Nickel is back!

[Tropico]

Nickel USD19480, up 3.22%. looks promising for Nickel miners on Monday.

 

[divs4ever]

i have an order in to reduce MCR , but might edge it a little higher

i am still cautious on battery tech , i hold RFX ( very much in the red ) and watch AVL , iam not convinced lithium tech is the answer to all problems ( ESPECIALLY if it become widely used )

PS i also hold WES which has some exposure

 

[greggles]

Nickel at $US19,833/T and at seven year highs. It's only a matter of time until it's over the psychological $US20,000/T barrier. Nickel stocks looking good with the bull run far from over IMO.



LME Warehouse Stocks Declining

 

[sptrawler]

Nickel cracked US $9/lb, things are heading in the right direction. a lot of our producers quote production costs in $/lb from memory.

 

[Sean K]

Nickel cracked US $9/lb, things are heading in the right direction. a lot of our producers quote production costs in $/lb from memory.

This Scoping Study was based on $7.50 US$/lb. No wonder it's gone para.

 

[divs4ever]

Western Australia takes step-up in battery chemicals production​

Western Australia takes step-up in battery chemicals production

Western Australia is preparing to take a bigger slice of the booming global battery market, forecast to grow to $150 billion by 2030, as it moves beyond mining lithium and nickel into chemical processing. Three big battery chemicals plants are set to come on line in coming months, while...

au.finance.yahoo.com

blah , blah , blah

if it was viable despite all the red-tape , WES would have had a project in the planning ( say scoop up BCI and start from there )

WES already grabbed Kidman Resources so it IS interested in the sector

and SVW might have made bigger efforts , than just a major stake in BCI

the local cash is there ( in WA ) all you need is the viability

 

[sptrawler]

Western Australia takes step-up in battery chemicals production​

Western Australia takes step-up in battery chemicals production

Western Australia is preparing to take a bigger slice of the booming global battery market, forecast to grow to $150 billion by 2030, as it moves beyond mining lithium and nickel into chemical processing. Three big battery chemicals plants are set to come on line in coming months, while...

au.finance.yahoo.com

blah , blah , blah

if it was viable despite all the red-tape , WES would have had a project in the planning ( say scoop up BCI and start from there )

WES already grabbed Kidman Resources so it IS interested in the sector

and SVW might have made bigger efforts , than just a major stake in BCI

the local cash is there ( in WA ) all you need is the viability

The really interesting part is, the BP refinery, which adjoins the lithium hydroxide plant and nickel wests battery quality processing plant, is closing.
So it would make perfect sense to build a battery giga factory there.

 

[Dona Ferentes]

It's interesting with the 'rush to EV' end users (or ESG, or whatever) are needing to green up (green wash; greenmail) their credentials, and the supply lines, or the investors still won't tick that box.

BHP, for example, with Nickel West, is eyeing several locations for a 40 to 50 megawatt wind farm close to its nickel mining operations in the northern Goldfields region of WA. Last week, Nickel West announced a deal with TransAlta Energy to build a 27.4 megawatt solar farm at Mt Keith and a 10.7 megawatt solar farm and 10.1 megawatt battery at Leinster to displace diesel and gas generation.

It is the cost of doing business if you boost production by making agreements with the likes of Tesla that include targets for reducing emissions in mining and processing.

 

[divs4ever]

Mining Magnate Standoff: The Race to Secure the Next ‘Critical’ Mineral​

Mining Magnate Standoff: The Race to Secure the Next ‘Critical’ Mineral

Forget about the standoff between state premiers, the real drama is happening in the mining sector! If you haven’t already caught wind of the ongoing fracas, Andrew Forrest and Mike Henry are in quite the bitter battle at the moment.

www.moneymorning.com.au

now , of course there is a BIG difference between the magnates , one APPEARS to be funding the acquisition using a PERSONAL investment vehicle , and the other is using a very large corporation's war chest for the funding

having been an investor in several nickel miners in the last 10 years , i would suggest nickel is NOT the place to be throwing new cash at , surely other minerals with a better history of profitable returns should be selected


the world in normal times seems to exist quite happily without a heavy focus on nickel production , now IF power costs could be maintained or even reduced , maybe it would be a time for aluminum refining and use , but of course that would ignore the current 'battery technology race '

now given Andrew Forrest has also grabbed a holding in WSA , is he just opportunistically investing in likely take-over targets hoping for a nice profit when the take-over completes.

( i hold BHP , FMG and WSA )

 

[Tropico]

Nickel futures have a run at USD20000/tonne.

 

[sptrawler]

As we have said on numerous occasions, a lot of the hype around nickel, is driven by the hype around batteries.
Here is an article on the current state of play with batteries, it all boils back to energy density and how important weight and size is to the application the battery is going to be used in .
https://www.canarymedia.com/article...hium-ion-batteries-battling-for-market-share/

 

[Tropico]

Seems to be holding above 20k, for now anyway:

One cannot argue the price.

 

[greggles]

Nickel prices continue to firm as the market continues to tighten. I think nickel is going to be the best performing base metal as we head towards 2022.

Column: Shanghai squeeze revitalises flagging nickel market

London Metal Exchange (LME) three-month nickel hit a seven-year high of $20,225 per tonne on Thursday morning and has a new-found spring in its step after collapsing in February.

www.reuters.com

 

[bk1]

How to get round a possible "green Premium" on Nickel?
Indonesian Investment Minister talking about a ban or tax levy on products with nickel content of less than 70%.

"Indonesia’s processing industry is dominated by low-nickel content products such as nickel pig iron or ferronickel. It halted exports of unprocessed nickel ore last year to support its “downstream” supply-chain ambitions."

Probably find out Monday if it squeezes an already elevated Nickel price...

 

[basilio]

As we have said on numerous occasions, a lot of the hype around nickel, is driven by the hype around batteries.
Here is an article on the current state of play with batteries, it all boils back to energy density and how important weight and size is to the application the battery is going to be used in .
https://www.canarymedia.com/article...hium-ion-batteries-battling-for-market-share/

Outstanding article. Well worth a quiet read to understand the range of alternatives in the battery industry,

 

[Dona Ferentes]

Recommendations from the United States Geological Survey (USGS), which guide the final list likely to be released by the Department of Interior later this month, show nickel and graphite should be added to the list of minerals deemed critical for the economic and national security of the US.

The USGS said in its report that greater reliance on foreign supplies and limited end of life recycling, had “elevated the risk of a supply disruption” of critical minerals essential for both established and emerging technologies, and that recent events, including trade disputes, resource nationalism, and the global coronavirus further highlight the risk of disruptions to the US economy and national security.

The USGS identified supply chains where there was risk of a single point of failure (SPOF), naming nickel and graphite as minerals where this could be the case. Nickel is a key component in lithium ion batteries, used in electric vehicles and military technology.

"Demand for nickel for use in lithium-ion batteries is currently only a small percentage of its total demand, but that demand is expected to grow markedly", the USGS report authors Nedal Nassar and Steven Fortier wrote.

 

[Ann]

"Demand for nickel for use in lithium-ion batteries is currently only a small percentage of its total demand, but that demand is expected to grow markedly", the USGS report authors Nedal Nassar and Steven Fortier wrote.

I can't see too much negativity on the Nickel futures chart, nothing I can draw either way to make a positive or negative case currently.

A comment from Trading Economics tends to suggest a bit of caution to me in the short-term as I understand it....

"Nickel futures have been trading around the $18,000 a tonne level, the lowest since July amid concerns over demand from stainless steel mills due to power shortages in China. At the same time, the demand from the Chinese property sector, which accounts for about 10% of nickel demand, is seen falling due to looming debt crises following potential Evergrande insolvency. The global nickel market is forecast to move to a surplus of 76,000 tonnes in 2022 from a deficit of 134,000 tonnes in 2021, according to the International Nickel Study Group."

 

[sptrawler]

I can't see too much negativity on the Nickel futures chart, nothing I can draw either way to make a positive or negative case currently.

A comment from Trading Economics tends to suggest a bit of caution to me in the short-term as I understand it....

"Nickel futures have been trading around the $18,000 a tonne level, the lowest since July amid concerns over demand from stainless steel mills due to power shortages in China. At the same time, the demand from the Chinese property sector, which accounts for about 10% of nickel demand, is seen falling due to looming debt crises following potential Evergrande insolvency. The global nickel market is forecast to move to a surplus of 76,000 tonnes in 2022 from a deficit of 134,000 tonnes in 2021, according to the International Nickel Study Group."

As with every resource Ann, it will be the low cost high quality producers, that will benefit from the current nickel bounce IMO.
Battery manufacturers will want reliable high quality spec nickel, for top end EV's, so as with anything research is paramount IMO.

 

[qldfrog]

I can't see too much negativity on the Nickel futures chart, nothing I can draw either way to make a positive or negative case currently.

A comment from Trading Economics tends to suggest a bit of caution to me in the short-term as I understand it....

"Nickel futures have been trading around the $18,000 a tonne level, the lowest since July amid concerns over demand from stainless steel mills due to power shortages in China. At the same time, the demand from the Chinese property sector, which accounts for about 10% of nickel demand, is seen falling due to looming debt crises following potential Evergrande insolvency. The global nickel market is forecast to move to a surplus of 76,000 tonnes in 2022 from a deficit of 134,000 tonnes in 2021, according to the International Nickel Study Group."

And nice to see your posts back Ann

 

[sptrawler]

Interesting article on the state of play with battery materials.

Electric vehicle surge hit by nickel shortage

A report out of Europe shows rising demand for metals in lithium-ion batteries could push up the prices of electric cars.

www.drive.com.au

From the article:
Global demand for a precious metal necessary for advanced battery technology could push up the cost of electric vehicles, and slow the recent surge in sales.
A report from Rystad Energy – a Norway-based consultancy firm – suggests international demand for nickel, an important metal in the makeup of lithium-ion batteries for electric vehicles, will be close to 3.4 million tonnes by 2024.
This is an increase of 25 per cent on current demand with no new identified supply methods to meet this sudden increase in demand.
The use of nickel is a key element in determining the driving range of an electric vehicle.
Range anxiety is one of the main challenges facing electric vehicle and vehicle manufacturers are continuing to eke out extra kilometres through battery improvements.
According to the Rystad report, the shortage of nickel coupled with various policy settings by governments around the world to prioritise electric vehicle use, could result in an increase in the price of electric vehicles.