Some foreign media reported that Indonesia finally decided to speed up the ban on nickel ore exports. A spokesman for the Indonesian Ministry of Energy and Mineral Resources said that Indonesia will suspend the export of nickel ore at the end of December this year. The Indonesian mining minister said that new regulations on ore export restrictions have been signed.
Concerns about Indonesia’s ban on the export of minerals have already had an impact on the nickel market, which has risen by 50% so far this year. From the second quarter report of major overseas companies, pure nickel production continues to decline, and there will be almost no increase in overseas this year. It is expected that the structural shortage of pure nickel will become more obvious in the later period. In terms of downstream demand, stainless steel production continued to increase in August, and demand for nickel was strong; the surge in sales of new energy vehicles also boosted demand for nickel. Considering the importance of Indonesia's supply of global nickel resources, external capacity is limited, downstream demand is good, and nickel prices are strongly supported.
The strong nickel price means that the cost of lithium-ion raw materials is increasing. For batteries using nickel materials, especially high-nickel ternary materials, the pressure on enterprises to reduce costs is increasing in the context of subsidies.
At present, among the domestic listed companies, Qingdao Zhongcheng owns Madani nickel mine (2014 hectares) and BMU nickel mine (1963 hectares) in Indonesia. There are two high-grade nickel mines with a total reserve of about 200 million tons of nickel ore.
Shengyu Mining holds a 55% stake in Huaying Nickel and plans to invest 34,000 tons of nickel metal high ice nickel project in Indonesia. Xingye Mining has a reserve of exploration rights for metal mines such as nickel, gold and silver, and reserves of nickel metal ore amount to more than 300,000 tons.