Nickel Monthly News For The Month Of November 2018

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Includes: AAUKF, AXNNF, BHP, ERMAY, FQVLF, GGIFF, GLCNF, HLPCF, IIDDY, LNZCF, NIKAY, NILSY, PANRF, PSDNF, RNKLF, SHERF, SMMYY, VALE, WNARF
by: Matt Bohlsen
Summary

Nickel spot prices were lower, and the LME inventory was lower.

Nickel market news - Doubts cast on plans for deluge of new nickel supply from Indonesia.

Nickel company news - Norilsk Nickel and Sherritt International Q3 nickel production up 9% and 10%, respectively.

Welcome to the nickel miners news for November. Trade war and China slowdown concerns weighed on the nickel price sending it lower in November, causing the nickel miners to mostly fall despite rapidly declining LME inventory levels. Doubts cast on plans for deluge of new nickel supply from Indonesia.

Nickel price news

As of November 27, the nickel spot price was US$4.86/lb, down from US$5.37 last month. The London Metals Exchange [LME] inventory fell again for the month (see LME graph below).

Nickel spot prices - 5-year chart - USD 4.86/lb

5 Year Nickel Prices - Nickel Price Chart

Source: InfoMine.com

LME nickel 5-year inventory

The chart below shows nickel inventory levels are rapidly declining from overstocked levels.

5 Year Nickel LME Warehouse Levels - Nickel Levels Chart

Source: InfoMine.com

Nickel demand vs. supply

On November 21, Mining.com reported:

Doubts cast on plans for deluge of new nickel supply. Expectations of a supply avalanche hitting the nickel market next year due to new capacity in Indonesia have sent prices to seven-month lows, but analysts doubt the plans spearheaded by Chinese firms can be carried out so quickly. Nickel is also vital for the lithium-ion batteries used to power electric vehicles, where demand is set to accelerate exponentially over coming years. This is why companies in China, which dominates electric vehicle battery production, need to secure nickel supplies. That includes GEM, which recently announced it was teaming up with Contemporary Amperex Technology (CATL) and Tsingshan Holding Group to invest $700 million in an Indonesian project to produce battery-grade nickel chemicals. Tsingshan's ultimate objective is credible. However, we are not convinced that a new 50,000 tonnes a year HPAL plant will be in operation before end-2019.The consortium aims to establish a 50,000-tonne high-pressure acid leach (HPAL) facility at Tsingshan's industrial park in Morowali, on the Indonesian island of Sulawesi, to produce nickel and cobalt chemicals. Also involved is Japanese trading house Hanwa, which in a release said production would start in 2019.

On November 26, Metal Bulletin reported:

The global market for electric vehicle [EV] batteries in 2025 could be 10 times bigger than in 2018, Swiss investment bank UBS said in a report published last week. This should help to increase lithium demand by as much as four times, to drive a 41% increase in nickel consumption, and to more than double the use of cobalt over the same period, the report added. The growing use of electric vehicles could drive lithium demand to 1.15 million tonnes per year by 2025, from 265,000 tpy in 2018, UBS said. Consumption of nickel for batteries would total 665,000 tonnes in 2025, compared with 60,000 tonnes currently, according to the bank. This would push total nickel use to 3.1 million tpy from 2.2 million tpy. And the UBS report said that demand for cobalt has room to grow to 260,000 tpy in 2025, from 120,000 tpy in 2018.

The chart below shows nickel is forecast to be in deficit after ~2022 (or at least require new supply to come online).

Source: Wood Mackenzie

Note: Some others such as BMI have been forecasting a nickel surplus by 2020 due to increased Indonesian production and reduced Asian demand.

Source: Sherritt presentation May 2018

Nickel Market News

On November 8, Investing News reported:

Anton Berlin of Nornickel: Nickel demand for EV Batteries to grow significantly. “We are looking at very high growth numbers in the battery sector, but it is starting from a very low base. For the next few years we are looking at more than 20 percent per year growth,” he said. Berlin thinks the market might split into battery and stainless steel categories and have different price mechanisms. “They are not truly overlapping and it is a possibility, we’ve also seen this with other commodities,” he added.

On November 23, 4-traders reported:

BASF makes low-nickel wager amid scramble for battery metals. BASF is also working on plans to cut the nickel content by more than half while increasing the proportion of cheap and abundant manganese. BASF is also working on plans to cut the nickel content by more than half while increasing the proportion of cheap and abundant manganese. Umicore declined to comment specifically on its nickel strategy; earlier this year, it said lifting nickel content was key to boosting a battery's energy density - or how much energy a battery can store - and some cobalt was needed for stability. Johnson Matthey is developing a high-nickel cathode material, dubbed eLNO, which it says is safer, more cost efficient and stores more energy than current material.

Note also from the above article: “Johnson Matthey’s Chief Technology Officer Alan Nelson told Reuters that while the group was monitoring various technologies, it was not developing low nickel, manganese-rich cathode materials because of “several key challenges to commercialization” including fading voltage over charge cycles.”

Nickel Company News

Producers

Vale SA (NYSE:VALE)

Vale plans a US$1.7B Voisey's Bay expansion plan to boost their nickel production. Note the comment below relates mostly to iron ore.

On November 9, Vale SA announced:

Vale announces early tender results and early settlement of cash tender offers. Vale S.A. (“Vale”) and its wholly owned subsidiary, Vale Overseas Limited (“Vale Overseas,” and together with Vale, the “Offerors”), announce the early results of their previously announced offers to purchase for cash (the “Offers”) up to a maximum aggregate principal amount of US$1,000,000,000 of Vale Overseas.

Norilsk Nickel [LSX: MNOD] (OTCPK:NILSY)

On October 25, Norilsk Nickel announced: "LME offers Nornickel’s products under a new brand. The London Metal Exchange [LME] has registered NORNICKEL, a new brand, offering nickel cathodes produced by Kola MMC, subsidiary of Norilsk Nickel, for trading."

On October 31, Norilsk Nickel announced:

Norilsk Nickel Group announces preliminary consolidated production results for 3Q Quarter and 9 months of 2018. In 3Q18, consolidated nickel production amounted to 54kt, up 9% quarter-on-quarter (q-o-q). Nickel output from own Russian feed also increased 9% q-o-q to 53 kt. The growth was mainly attributed to increased production at Norilsk Nickel Harjavalta as the refinery returned to normal operations after scheduled repair works were carried out in 2Q18. In 9M 18, nickel output stayed almost flat year-on-year (y-o-y) at 157 kt. Nickel output from own Russian feed amounted to 156 kt, up 3% y-o-y. The growth was attributed to the completion of the main phase of downstream reconfiguration, increased mining and processing volumes of ore at the Polar division and improvement of operating efficiency of the Company’s concentrators.

Investors can read my very recent article "An Update On Norilsk Nickel."

BHP Group [ASX:BHP] (NYSE:BHP)

BHP recently announced a US$43.3m investment in its Nickel West project to enable conversion to nickel sulphate.

On November 1, BHP announced:

"BHP announces US$10.4 billion shareholder return program. BHP plans to return US$10.4 billion to its shareholders through the combination of an off-market buy-back and a special dividend."

On November 20, BHP announced "Change of name to BHP Group. Following shareholder approval, BHP Billiton Limited and BHP Billiton Plc have changed their names to BHP Group Limited and BHP Group Plc, respectively, effective 19 November 2018. BHP Group Plc’s ticker on each of the LSE and JSE will change to “BHP” on 23 November 2018."

Jinchuan Group [HK:2362]

No news for the month.

Glencore (OTCPK:GLCNF) [LSX:GLEN]

No nickel related news for the month. Last month, I reported: "Third Quarter 2018 production report. Own sourced nickel production was 10,200 tonnes [13%] higher than the comparable 2017 period."

Sumitomo Metal Mining Co [JP:5713] (OTCPK:SMMYY)

On November 1, Sumitomo Metal Mining Co announced "Publication of the Sumitomo Metal Mining Co., Ltd. integrated report 2018." The report is for investors to "gain an even better understanding of our initiatives aimed at sustainable growth and maximization of corporate value, which is the goal of the SMM Group."

On November 8, Sumitomo Metal Mining Co announced "Consolidated financial results for the second quarter ended September 30, 2018."

On November 20, Sumitomo Metal Mining announced their "2nd Quarter of FY2018 progress of business strategy." Key points included:

  • While the cumulative results for Q2 represented a large upturn year-on-year, the full year forecast is for a decline in year-on-year income and profit due to reduced production and large deterioration in cost variation.
  • Factors behind deterioration of results:

(1) Deterioration in ore grade at overseas copper mines.

(2) Increasing costs at overseas copper mines.

(3) Lower production than planned at Taganito HPAL.

Anglo American [LSX:AAL] (OTCPK:AAUKF)

No nickel related news for the month: however, investors can read "Anglo American: On track to produce over 1 Million tons of copper a year."

Eramet (OTCPK:ERMAY)

No news for the month.

Sherritt International (OTCPK:SHERF)[TSX:S]

On October 31, Sherritt International announced: "Sherritt reports higher production at Moa JV and stronger balance sheet for Q3 2018." Highlights include:

  • "Adjusted EBITDA was $40.6 million, up 20% from $33.8 million in Q3 2017. The increase was largely due to higher realized nickel and cobalt prices, more than offsetting the impact of lower oil production due to the expiration of a production sharing contract at Varadero West as well as the impact of higher mining and input costs, including increased sulphur and energy expenses. Year-to-date adjusted EBITDA for 2018 has improved by 26% to $126.5 million.
  • Sherritt’s share of finished nickel production at the Moa Joint Venture (“Moa JV”) was 4,457 tonnes, up 10% from last year, while finished cobalt was 465 tonnes, flat from Q3 2017. Nickel production in Q3 2018 improved largely due to the arrival of new mining equipment that enabled Moa to surpass its target mixed sulphide production for the quarter.
  • Net direct cash cost (NDCC)(1) at the Moa JV was US$2.16 per pound of finished nickel sold, representing the sixth consecutive quarter that the Moa JV is in the lowest cost quartile relative to other nickel producers based on annualized information tracked by Wood Mackenzie. NDCC in Q3 2018 was impacted, however, by higher sulphur and energy prices relative to Q3 2017 when the NDCC at the Moa JV was US$1.94 per pound of finished nickel sold.
  • The average-reference price for nickel improved 26% from last year to US$6.01/lb while the average-reference price for cobalt increased 22% to US$35.21/lb.
  • Received $5.2 million in dividend distributions from the Moa Joint Venture. The dividend marks the first that Sherritt has received since Q1 2015, and reflects generally improved nickel market conditions.
  • Sherritt ended the quarter with $207.1 million in cash, cash equivalents and short-term investments, up from $197.2 million at June 30, 2018.
  • Net loss was $13.3 million or $0.03 on a per share basis. In Q3 2017, Sherritt incurred a net loss of $69.5 million or $0.24 per share."

Independence Group [ASX:IGO] (OTC:IIDDY)

On November 29, Independence Group announced:

"Buxton’s double magic exploration success secures partnership with Independence Group [IGO]. IGO subscribes to 15% of Buxton Resources ordinary shares at 20c per share, representing a 35.2% premium to market to raise $4M."

Western Areas Ltd. [ASX:WSA](OTCPK:WNARF)

On November 1, Western Areas announced "More thick nickel-copper sulphide intercepts at investigators. 6.39m of continuous massive nickel-copper sulphides intersected in MAD127 within a 12.02m mineralised interval starting from 180.37m downhole that comprises."

On November 20, Western Areas announced: "Further extensions to high-grade nickel-copper sulphides at Mt Alexander." Highlights include:

  • "Extensional drilling at Investigators: A further six drill holes have been completed since MAD127 identifying extensions to the mineralised channel at Investigators. Downhole EM surveys have commenced. Off-hole EM anomalies have already been identified with potential for additional mineralisation around the recently completed drill holes.
  • Technical team boosted: Dave O’Neill, highly experienced nickel sulphide geologist, joins St George as Exploration Manager. O’Neill previously worked at BHP and Western Areas where he managed exploration programmes at Mt Alexander for those companies. O’Neill will manage an escalation of exploration activity at Mt Alexander including definition drilling along the Cathedrals Belt and the initiation of regional exploration."

First Quantum Minerals (OTCPK:FQVLF)

First Quantum has the Enterprise project in Zambia.

On October 29, First Quantum announced:

First Quantum Minerals reports third quarter 2018 results. First Quantum Minerals Ltd. today reported comparative earnings of $128 million ($0.19 per share1), net earnings attributable to shareholders of the Company of $61 million ($0.09 per share) and cash flows from operating activities of $439 million ($0.64 per share1) for the three months ended September 30, 2018. The results include a $31 million gain realized under the corporate copper sales hedge program.

Nickel Asia Corporation [PSE:NIKL] (OTC:NIKAY)

On November 9, Nickel Asia announced:

Nickel Asia Corporation (NAC; PSE:NIKL) announced today its financial and operating results for the nine months ended September 30, 2018 with attributable net income (net of minority interests) at P3.54 billion, 35% higher as compared to P2.62 billion reported for the nine months ended September 30, 2017. Earnings before interest, tax, depreciation and amortization (EBITDA) amounted to P6.11 billion compared to P5.95 billion in the prior year. The combined effects of the Company focusing more on shipments of its higher-value saprolite ore, a stronger U.S. dollar and the increase in the Company’s share of profits from its investment in both the Coral Bay and Taganito processing plants, resulted to a significant improvement in earnings during the period. The Company’s total share of profits on its 10% stake in the two processing plants amounted to P617 million, sharply higher compared to the P21 million reported during the same period last year. The improved results of the two plants were mainly driven by strong cobalt prices, a by-product of both plants, and the recovery in the LME nickel price.

Highlands Pacific [ASX:HIG] (OTC:HLPCF)

No news for the month.

Other nickel producers

Franco/Nevada [TSX:FNV], Mincor Resources, MMG [HK:1208], South32 [ASX:S32], Lundin Mining [TSX:LUN].

Developers

Axiom Mining [ASX:AVQ] (OTC:AXNNF)

On November 5, Axiom Mining announced: "San Jorge mining update–Drilling and office construction." Highlights include:

  • "19 holes drilled during the past week to bring project total to 74 holes drilled.
  • Grade control drilling partially completed for second target mining area.
  • Two site office blocks established and fully operational.
  • Mining fleet equipment arrivals continue via ongoing barge deliveries."

On November 21, Axiom Mining announced: "San Jorge Mining update. Axiom Mining Limited is pleased to announce that mine construction continues at San Jorge with an expanding operational functionality as the Company moves closer to the first commercial shipment of ore. In tandem with operational developments, off-take and debt financing negotiations continue."

On November 22 Axiom Mining announced: "Isabel Nickel Project update. Landowner agreements submitted for Kolosori and Tenement D. Prospecting Licences expected to be issued."

RNC Minerals [TSX:RNX] (OTCQX:RNKLF)

RNC Minerals had several gold related announcements during the month from their Beta Hunt gold-nickel mine.

On November 13, RNC Minerals announced:

RNC announces strong third quarter 2018 results. Mark Selby, President and CEO, commented, "The third quarter was transformative for both RNC and the Beta Hunt Mine. The major high-grade gold Father's Day Vein discovery generated sufficient cash to eliminate over $30 million in long-term and convertible debt and significantly improve the balance sheet. With cash and cash equivalents of $18.8 million as of November 12, 2018, RNC has sufficient funds for near term operational and exploration initiatives. The discovery, and a greater understanding of the pyritic sediment structures associated with the discovery, has resulted in extensive new insights into the significant high-grade gold potential of the mine. RNC generated more than $10 million EBITDA in the third quarter, and with less than half of the low-cost, high-grade gold production sold in the third quarter, we expect to realize significant additional EBITDA in the fourth quarter."

On November 14, RNC Minerals announced: "RNC Minerals refiles third quarter MD&A and news release."

Panoramic Resources [ASX:PAN] (OTCPK:PANRF)

On October 30, Panoramic Resources announced: "Pacific energy secures 14MW power station contract with Panoramic Resources Ltd. Pacific Energy wins contract to restart and expand existing power station at Panoramic’s fully funded Savannah nickel-copper-cobalt Project."

On October 31, Panoramic Resources announced: "Quarterly report for the period ending 30 September 2018." Highlights include:

Savannah

  • "Financing–$40 million project loan agreement executed, first drawdown scheduled for early November.
  • Processing–plant refurbishment work continuing, on schedule for commissioning in mid-November.
  • Revenue–on track for first concentrate shipment early in the March 2019 quarter.
  • Mining–mine services re-established and recommissioning of mobile plant on schedule.
  • Tailings Dam–work commenced on the 3m lift of the existing facility, due for completion in November.
  • Savannah North ventilation raise–drilling of the pilot hole commenced in August.
  • Recruitment–recruiting and on-boarding of site personnel well advanced.
  • Exploration–hand-held XRF analyses of samples from Frog Hollow drilling returned anomalous vanadium, assay results pending."

Lanfranchi

  • "Project remains on care and maintenance with holding costs being offset by rental of accommodation village.
  • Project to be sold to Black Mounta in Metals LLC for total cash consideration of $15.1 million, deposit of $1.51 million received."

Poseidon Nickel [ASX:POS] (OTC:PSDNF)

On November 21, Poseidon Nickel announced: "Successful drill program at Abi Rose concluded with all three diamond holes intersecting massive nickel-copper sulphides." Highlights include:

  • "PLJD0004– 1.54m @ 1.82% Ni & 0.18% Cu from 465.7m Including 0.47m @ 4.36% Ni & 0.46% Cu Ultra mafic and massive intersection totals 2.9metres @1.08%Ni-PLJD0005. 1.54m @ 3.39% Ni & 0.37% Cu from 450m Including 0.79m @ 5.72% Ni & 0.63% Cu Ultra mafic and massive intersection totals 6.58 metres @1.06%Ni-PLJD0006– 0.18m @ 7.89% Ni & 0.19% Cu from 465m 450m Remobilised footwall breccia zone.
  • Drilling has confirmed that mineralisation continues within and outside the limits of historical exploration and is open at depth with the plunge direction now identified.
  • Drillhole geology has confirmed Poseidon’s magmatic Ni-Cu type emplacement model which significantly expands the projects prospectivity."

Garibaldi Resources [TSXV:GGI] [GR:RQM] [LN:OUX6] (OTC:GGIFF)

On October 31 Garibaldi Resources announced: "Garibaldi drills into nickel-copper rich massive sulphides northwest and southeast of discovery zone." Highlights include:

  • "Drill hole EL-18-24 has cut two mineralized zones, including 4.5 meters grading 8% nickel and 2.9% copper within a broader interval of 10.5 meters grading 3.7% nickel and 1.6% copper, approximately 64 meters southeast of the EL-17-14 intercept;
  • Drill hole EL-18-23, collared on the edge of the icefield and drilled toward the west-southwest, has cut two shallow mineralized zones including a massive sulphide intercept of 5.6 meters grading 7.6% nickel and 3.4% copper, approximately 30 meters northwest of the EL-17-14 intercept and 35 meters above it in elevation;
  • The EL-18-24 and EL-18-23 nickel-copper-rich massive sulphide intersections, like others at Nickel Mountain, are significant not only for their grades and widths but such intercepts represent highly prospective new target areas along the "magma highway" to vector into additional massive and disseminated sulphide mineralization."

Sama Resources [TSXV: SME] (OTC:LNZCF)

On November 15, Sama Resources announced:

Sama announces the beginning of drilling at the Yepleu property in Côte d’Ivoire, West Africa. Sama Resources Inc. is pleased to announce the beginning of the planned 6,000-meter (“m”) drilling program designed to test high-conductivity targets defined by Phase 1 of the Typhoon™ electromagnetic geophysical survey at the 100%-owned Yepleu property at the Company’s Nickel-Copper-Cobalt-Palladium Project in Côte d’Ivoire, West Africa. The drilling program is targeting semi-massive and massive polymetallic sulphide anomalies located between 600 m and 900 m from surface. Capital Drilling Côte d’Ivoire Limited is positioning the drill rig for the first hole.

On November 19, Sama Resources announced: "Sama reports on the completion and opening of SRG Graphite’s on-site metallurgical laboratory."

S2 Resources (ASX:S2R)

On October 30, S2 Resources announced: "September 2018 quarterly activities report." Highlights include:

  • "Strong financial position with A$19.2 million cash and investments
  • Ground position expanded at the Ecru project, Cortez district, Nevada, via sublease of mineral rights from Newmont
  • Geophysics completed at Ecru defines strongly conductive AMT target, first drilling now underway
  • Numerous gold and base metal, EM anomalies defined in new geochemical and VTEM surveys recently completed in Central Lapland Greenstone belt, Finland."

On November 20, S2 Resources announced: "S2 takes 19.99% strategic stake in Todd River Resources." Highlights include:

  • "S2 is to acquire a 19.99% strategic shareholding in ASX listed explorer Todd River Resources [TRT] at an average price of A$0.09/share.
  • TRT owns the Mt Hardy zinc-copper-lead-silver discovery, as well as a variety of base and precious metal prospective properties in the Northern Territory.
  • S2’s Managing Director Mark Bennett is to join the TRT board.
  • S2 has funded its investment with the proceeds of its stake in TSXV listed GT Gold [GTT], the sale realising an overall profit of A$3.39 million on its investment."

Cassini Resources [ASX:CZI]

On October 30, Cassini Resources announced: "Activities report for the quarter ended 30 September 2018." Highlights include:

West Musgrave Project

  • "Excellent metallurgical results show significant recovery improvements.
  • Infill drilling results return best-ever nickel intercept at Nebo.
  • Thick, continuous mineralisation up to 100m intersected at Babel.
  • Outstanding exploration results continue to flow. New discovery at Nebo: Angie Lode. Extensions to Babel at the H-T Lode. Yappsu Prospect emerging as significant mineralised intrusion.
  • Progress on engineering, environment and approvals."

Corporate

  • "A$4.2M raised through placement to sophisticated investors.
  • OZ Minerals achieves Stage 1 earning interest in West Musgrave Project."

On November 28, Cassini Resources announced: "New targets at One Tree Hill prospect." Highlights include:

  • "Diamond drilling extends One Tree Hill mineralisation.
  • A new large, strong downhole EM conductor has been identified.
  • New conductor will be a priority target for 2019 exploration program.
  • An emerging mineralised system with significant scale potential."

North American Nickel [TSXV:NAN]

On November 15, North American Nickel announced:

North American Nickel announces 2018 Post Creek, Sudbury, Ontario exploration program underway. North American Nickel Inc. is pleased to announce details of the 2018 exploration and drill program at its Post Creek nickel-copper-PGE sulphide project in Sudbury Ontario. The 2018 work program will include: A targeted 1,000 metres of diamond drilling, including borehole electromagnetic (BHEM) surveys, following up on 2018 trench mapping, petrography and geochemistry studies and prospecting.

On November 19, North American Nickel announced: "Greenland Norite Belt continues to deliver with new nickel sulphide discovery: 7.5m @ 1.26% Ni, 0.24% Cu and 0.47 g/t Pt+Pd+Au." Highlights include:

  • "MQ-18-167: 7.50m @ 1.26% Ni, 0.24% Cu, 0.05% Co and 0.47 g/t Pt+Pd+Au including. 5.10m @ 1.68% Ni, 0.29% Cu, 0.06% Co and 0.63 g/t Pt+Pd+Au.
  • P-008 represents a newly discovered zone of classic Maniitsoq high tenor nickel sulphide mineralization within the 75km long Greenland Norite Belt where multiple zones of Ni-Cu-Co sulphide mineralization have been previously identified.
  • Drilling and electromagnetic [EM] data has indicated a 335 metre dip-extent to the mineralization that remains open down dip and along strike.
  • Drilling and borehole electromagnetic (BHEM) results show that the P-008 zone is comprised of both strongly conductive high grade remobilized sulphides and, less conductive disseminated to blebby sulphides that are typical of the Maniitsoq style of mineralization."

Other juniors

Ardea Resources [ASX:ARL], Artemis Resources [ASV:ARV], Australian Mines [ASX:AUZ], CleanTeQ [ASX:CLQ], Giga Metals [TSXV:GIGA], Mustang Minerals [TSXV:MUM], New Age Metals [TXV:NAM], Polymet Mining [TSX:POM], St George Mining Ltd [ASX:SGO] [GR:SOG], Transition Metals [TSXV:XTM], and Wall Bridge Mining [TSX:WM].

Note: Some of the above companies are covered in the Cobalt monthly news.

Conclusion

Nickel spot prices and inventories fell again in November. Clearly, nickel prices will soon need to rise. Otherwise, we will have some large nickel deficits in future years as the EV boom increases nickel demand. The urbanization of Asia and demand for stainless steel is the key driver of nickel demand at this time. The nickel juniors continue to progress well.

Highlights for the month were:

  • Nickel spot prices were lower on trade war/China slowdown fears, and the LME inventory was lower.
  • Doubts cast on plans for deluge of new nickel supply from Indonesia.
  • UBS forecasts a 41% increase in nickel consumption from 2018 to 2025 on the back of the EV boom.
  • Nornickel - "We are looking at very high growth numbers in the battery sector, but it is starting from a very low base. For the next few years we are looking at more than 20 percent per year growth.”
  • Norilsk Nickel - In 3Q18, consolidated nickel production amounted to 54kt, up 9% quarter-on-quarter (q-o-q).
  • Sherritt Q3 nickel production up 10% YoY, adjusted Q3 EBITDA up 20%.
  • Independence Group subscribes to 15% of Buxton Resources ordinary shares at 20c per share.
  • Nickel juniors Poseidon Nickel and Garibaldi Resources report excellent drill results.
  • S2 Resources takes 19.99% strategic stake in Todd River Resources.

As usual, all comments are welcome.

Disclosure: I am/we are long NORILISK NICKEL [LSE:MNOD], GLENCORE [LSX:GLEN], RNC MINERALS [TSX:RNX], POSEIDON NICKEL [ASX:POS], SAMA RESOURCES [TSXV: SME], AXIOM MINING (ASX:AVQ), ARDEA RESOURCES [ASX:ARL], AUSTRALIAN MINES [ASX:AUZ] CASSINI RESOURCES [ASX:CZI].

I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

Additional disclosure: The information in this article is general in nature and should not be relied upon as personal financial advice.

Editor's Note: This article covers one or more microcap stocks. Please be aware of the risks associated with these stocks.