FNI ships out first batch of nickel ore to China

Global Ferronickel Holdings, Inc’s (FNI), through subsidiary Platinum Group Metals Corporation (PGMC), has shipped out its first batch of nickel for the year to China.

FNI said that PGMC has shipped out 53,700 wet metric tons (WMT) of low-grade nickel ore to China’s Guangdong Century Tsingshan Nickel Industry Co., Ltd. (GCTNICL).

“We are upbeat that our mining operations at PGMC have been running seamlessly from the get-go. Weather permitting, we might be able to exceed this year’s target of 5.5 WMT consisting of 60% low-grade ore and 40% medium-grade ore,” FNI President Dante Bravo said in a statement.

Around half of PGMC’s shipments for 2022 have been allotted, while the balance will be open to other customers.

PGMC currently has nickel ore supply contracts with GCTNICL and Shanghai-based Baosteel Resources International Co. Ltd. for 20 and 30 shipments, respectively.

“We remain bullish as demand from China continues to be strong, and nickel prices have been rising in recent years. And with current global events adversely affecting oil prices, there is a greater appreciation for electric vehicles, which use nickel for their rechargeable batteries,” Bravo said.

FNI registered a Php1.98 billion profit in 2021, up 5.9% year-on-year, primarily due to a surge in nickel prices.