Profits of Nickel Sulphate Produced with Various Raw Materials are still Low

SHANGHAI, Mar 20 (SMM) - The profitability of MHP production gradually decreased with the prices of nickel sulphate falling last week. Due to the sharp drop in nickel prices, some nickel sulphate enterprises are expecting the pricing method to switch back to the LME nickel pricing. The coefficient of nickel sulphate against LME nickel prices has been about 75% and it will grow in the near future. In fact, switching back to LME nickel pricing will not bring higher profits to nickel sulphate producers. On the contrary, the fluctuations in nickel prices will impose risks on this pricing method. At the same time, the lower prices of nickel briquettes than nickel sulphate makes it possible for nickel salt companies to produce nickel sulphate with nickel briquettes.