SHANGHAI, Aug. 1 (SMM) – Based on result of an SMM survey, affected by iron ore price hike, low grade nickel ore (Ni＜9%, Fe≈50%) were more popular among steel mills. According to traders, transactions of low grade nickel ore (Ni＜9%, Fe≈50%) were brisk.
Demand for nickel ore (Ni＜0.9%, Fe≈50%) was strong. According to a trader in the Tianjin region, before obtaining the certificate from the China Certification & Inspection (Group) Company, 34 kt of this type of nickel ore was purchased by NPI producers at RMB 345/wmt once it arrived at Lanshan port. According to traders in the Jintang port area, 10 kt of the same nickel ore was purchased at RMB 360/wmt.
Most transactions for this type of ore was made at Tianjin, Jingtang, Rizhao, and Lanshan ports since the consumers were mainly steel mills in Shandong, Shanxi, and Hebei provinces.
According to one iron ore trader, nickel ore (Fe≥50%) can be used as a substitute for iron ore, and since demand for this kind iron ore have been rising, prices for such nickel ore was also upto between RMB 320-350/wmt at Tianjin and Jingtang ports, and RMB 310-330/wmt at Rizhao and Lianyungang ports. Prices for this grade of nickel ore were even reported to be RMB 10-20/wmt higher than nickel ore (Ni 0.9-1.1%).