The recent announcement that the Phillipino Government has suspended production at a further twenty mines, on environmental grounds, may have serious consequences.
This brings the total number of mine closures to thirty, eighteen of which are nickel mines. With over 20% of the world’s nickel ore currently being mined in the Phillipines, this accounts for over 55% of the total nickel ore output in this country.
The Philippine President, Rodrigo Duterte, has spoken out in relation to adverse environmental effects that some of the mines have caused, explaining why this strong action has been taken.
Market analysts are predicting that this could result in nickel ore stocks falling to very low levels in Spring 2017, driving a substantial increase in prices.
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