Power supply control in Inner Mongolia affects NPI production post-CNY

SHANGHAI, Feb 21 (SMM) – Producers of nickel pig iron (NPI) in Ulanqab of Inner Mongolia suffered a greater impact from local power supply restrictions after CNY, mills told SMM on Thursday February 21. This continued to affect NPI production of the city and buoyed nickel prices. 

SMM learned that the supply control on electricity started from the National Day holiday in October last year, and extended to this May, according to a governmental release. 

While NPI producers in Ulanqab felt a greater impact than pre-CNY, this could not rival what they experienced in last October, when power supply shortage cut NPI output by some 700 mt in Ni content that month, according to SMM assessment. 

In January, some 600 mt in metal content of NPI output was affected in Ulanqab, SMM assessed. This accounted for 11% of high-grade NPI production in Inner Mongolia, and 1.5% of China’s output last month. 

Output in Fengzhen county of Ulanqab contributed half of the production drags in January.