Battery-grade nickel projects to commission in Indonesia in coming years

Published: Nov 20, 2019 10:46

Save

Indonesia’s coordinating minister hoped environmental impact studies for the projects would be completed by year end

SHANGHAI, Nov 20 (SMM) – A slew of new projects for producing battery-grade nickel products are slated to commission in Indonesia in the coming years, as investors tap the rich supplies of nickel ore in the country amid burgeoning demand from the new energy sector.

SMM sees those nickel projects coming online later than scheduled given potential slower-than-expected construction and obstacles in obtaining environmental approval.

It was reported on Monday that Indonesia’s coordinating minister Luhut Pandjaitan hoped environmental impact studies for battery-grade nickel plants would be completed by the end of the year.

Investors, such as China’s stainless steel giant Tsingshan Group and Indonesia’s Harita Group, have to obtain approval by the environment ministry before proceeding with construction.

Indonesia will stop exporting nickel ore from January 2020, two years earlier than initially planned, in order to retain more value in the country.

Market commentary Nickel NEV

Data Source Statement: Except for publicly available information, all other data are processed by SMM based on publicly available information, market communication, and relying on SMM's internal database model. They are for reference only and do not constitute decision-making recommendations.

For any inquiries or for more information, please contact: lemonzhao@smm.cn

For more information on how to access our research reports, please contact:service.en@smm.cn

Related News

11 hours ago

Domestic High-Grade NPI Costs Drop, but Profit Margins Squeeze Amid Falling Selling Prices

[SMM Nickel Flash] Domestic high-grade NPI production costs declined this week. Lower Philippine nickel ore prices, coupled with a pullback in coke prices, reduced smelting raw material costs. However, NPI selling prices fell significantly over the same period, dragging on profitability and narrowing profit margins for domestic smelters.

11 hours ago

SMM 10-12% High-Grade NPI Price Drops to 1,095.5 Yuan/Unit, Indonesia NPI FOB Index Falls to $141.14/Unit

[SMM Nickel Flash] The average price of SMM 10-12% high-grade NPI fell by 17.7 yuan/nickel unit WoW to 1,095.5 yuan/nickel unit (ex-factory, tax included), while the average price of the Indonesia NPI FOB index dropped by $2.93/nickel unit WoW to $141.14/nickel unit. This week, the high-grade NPI market continued to weaken, with the price center moving steadily lower. Upstream and downstream price negotiations intensified, and the market entered a stalemate, consolidating at lows.

11 hours ago

[SMM Analysis] High-Grade NPI Prices Decline as Supply Recovers and Market Activity Slows

The average price of SMM 10-12% high-grade NPI fell WoW by 17.7 yuan/nickel unit to 1,095.5 yuan/nickel unit (ex-factory, tax included), and the average price of the Indonesia NPI FOB index fell WoW by $2.93/nickel unit to $141.14/nickel unit. This week, the high-grade NPI market continued to weaken, with the price center shifting steadily lower. Price negotiations between upstream and downstream intensified, and the market entered a phase of stagnant consolidation at lows.

11 hours ago