Apparently allaying fears of any nickel export squeeze from major exporter Philippines, listed miner Global Ferronickel Holdings Inc (FNI) said it has started nickel ore shipments to China with volume coming to about 550,000 wet metric tons (wmt) so far.
Local reports cited FNI as saying its Platinum Group Metals Corp (PGMC) unit had started delivery of nickel ore from Surigao del Norte, with another nine shipments, averaging 55,000wmt each scheduled until next month.
“We’ve had an early start to mining operations this year due to favorable weather conditions. We look forward to continued good weather in the weeks and months to come to meet our 2017 target,” FNI president Dante Bravo said. FNI has an export target of 6m wmt for the rest of the year.
PGMC has already locked in higher prices from the recent uptick, and signed supply contracts for up to 4m wmt at current prices to several established customers and it expects to secure more supply contracts to match its target production for the year.
“We would like to take advantage of the rebound in nickel prices. For April, almost two-thirds of our shipment will be medium-grade nickel ore and the remainder will be low-grade nickel ore. The market prices of our medium-grade ore and low-grade ore have risen by 50% on average compared to the same period last year,” Bravo said.