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Nickel prices in 2014-2015 will grow

According to UBS analysts predict the price of nickel in the next year will increase to a level of 10 USD / lb, however, hold out at this level for long. In 2014, the average price of nickel on the London Stock Exchange reached 17.644 thousand. USD per ton projected «Australia Bureau of Resources and Energy Economics» specialists, according to their own assumptions in 2015 will increase to 18.25 thousand. USD per ton. Analysts of «International Nickel Study Group» have expressed the view that the 2014 World smelting of nickel exceeds by 10.9% the previous year, amounting to 1.94 million. Tons. At the same metal abundance in March of this year decreased to the level of 3600 tons, while last year the figure was 7.6 million tons. During the period from January to March 2014 inclusive market index excess amounted to 13.4 thousand tons, while during the same period last year data showed 38,900 tons. In 2013, the volume of smelting totaled 1.75 million tons, projected metal consumption in 2014 will increase to the level of 1.89 million. Tons, while the figure was 1.77 million. Tons last year.

French analysts «Eramet» suggest a deficit of nickel in the world market in the next three or four years — for such a long-term shortage of the metal and increase its value leads Indonesian ban on the export of raw materials. At the same time, new projects related to the extraction of the metal, will justify itself in economic terms, starting with the cost of 1 kg of nickel in the 22−26 USD. At the time of nickel stocks in warehouses will be enough for about 17 weeks; taking into account the inventory stored in warehouses in China, the period will increase to 24 weeks.

Indonesian ban on the export of raw materials in the first place hit by the Chinese production of nickel pig iron, if consumption levels remain the same as at present, stocks of raw materials in the PRC will be exhausted by the end of this year. To some extent the Indonesian raw replaces Philippine ore, but its value is gradually increased, occasionally reaching the mark of over USD 100 per tonne, the manufacturer is required to reimburse the cost of the order of USD 10 per pound nickel costs. The analysts have expressed concerns about the ban on the importation of Philippine products, which to a greater extent will exacerbate the situation with a deficit of nickel. The sharp increase in the value of the metal is able to scare away customers, so the price of 10−11 USD per pound would be quite a good solution.

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