SHANGHAI, Oct. 21 (SMM) - China’s production of nickel pig iron (NPI) rose sharply in September as high-grade producers ramped up production on higher prices, according to a survey by Shanghai Metals Market.
In September, production of high-grade NPI increased by 9.1% month-on-month to 36,100 tons, in metal content, of which half was made by rotary kiln electric furnace (RKEF) producers, SMM survey showed.
SMM reported on September 17 that rising prices of high-grade NPI, to over 1,000 yuan per nickel unit, encouraged producers to raise production of the raw material.
One RKEF producer Jinyuan Nickel Co., located in Fangchenggang city of Guangxi region, started trial production last month and reported 1,000 tonnes of output. It is expected to swing into full production in November with a designed capacity of 12,000 tpy for phase one.
Output of medium-grade NPI dropped 6.3% from a month ago to 1,500 tonnes in September as loss-making continued, while that of low-grade NPI rose 4.3% month-on-month to 2,400 tons.