Philippines-based mining group Nickel Asia reported a sharp rise in its net income during the first nine months of the year, led mainly by increases in ore prices.

 

The company reported a 168pc increase on the year in its net income to 6.17bn pesos ($120mn) for January-September, even with nickel ore sales rising only 3pc to a total of 14.4mn wet metric tons (wmt) for the same period.

 

Nickel Asia exported 8.73mn wmt of saprolite and limonite ore to customers in Japan and China, an increase of 16pc on the year, at an average price of $38.69/wmt. The company also delivered 5.68mn wmt of linked limonite ore to its Coral Bay and Taganito High Pressure Acid Leach (HPAL) plants in the Philippines, a drop of 13pc year on year, at the average realised London Metal Exchange (LME)-linked price of $8.20 per pound of payable nickel.

 

The 1Q-3Q increase in both shipments and net income was driven by strong Chinese stainless steel demand, with total production up by 12pc on the year, and higher nickel ore and LME Ni prices, the company said.

 

Nickel Asia also expects rapid growth in the electric vehicle battery industry and consequent demand for nickel to continue to offset  economic uncertainties in the longer term.

 

Source: ArgusMetals