As of now, FOB price of Indonesian MHP nickel is $15,337/mt Ni, and FOB price of Indonesian MHP cobalt is $49,106/mt Co. MHP payables (against SMM battery-grade nickel sulphate index) are at 83-84, with MHP cobalt element payable indicator (against SMM refined cobalt (Rotterdam warehouse)) at 91. FOB price of Indonesian high-grade nickel matte is $15,765/mt Ni.
In the MHP market, on the supply side, spot cargo availability is low, and some sellers have suspended offering. Additionally, the supply reduction of MHP caused by sulphur has not shown significant recovery, with some producers' nickel payables quotes remaining at high levels. On the demand side, influenced by weak downstream restocking willingness at mid-year, nickel sulphate prices are relatively weak, and nickel salt smelters' low price acceptance is capping the upside room for MHP payables. Looking ahead, with upstream cost support and downstream demand patterns unchanged, MHP nickel and cobalt payables may be under pressure due to weak sulphate prices.
In the high-grade nickel matte market, supply side, available material is tight, and sellers' quotes are firm. Demand side, currently, enterprises purchasing raw materials externally find higher cost-effectiveness using high-grade nickel matte than MHP. Under tight supply-demand, nickel payables are currently supported at high levels. Looking ahead, with expectations of tightening MHP supply, high-grade nickel matte's supplementary role as an alternative raw material becomes prominent, making it difficult for nickel payables to decline.
[For more content, please subscribe to SMM Nickel Research Group's products "China Nickel-Chrome-Stainless Steel Industry Chain Regular Report" and "China Nickel-Chrome-Stainless Steel Industry Chain High-End Report" to access latest data analysis and market interpretation on nickel ore, NPI (China + Indonesia), refined nickel, nickel sulphate, chrome ore, ferrochrome, stainless steel (China + Indonesia)! ]
