Potential supply tightness continues to unfold

摘要

The potential for the nickel market to move from a surplus to a deficit in 2003 continues to grow. As highlighted below the potential for the Australian PAL plants to achieve their rated capacity in 2002 is increasingly unlikely. In addition, to the uncertainty facing Anaconda Nickel over its financial future, output at the Bulong project continues to 'disappoint'. The plant produced 710 tonnes of nickel in January against a target of 776 tonnes. Output in February was affected by a three-day maintenance shutdown. Output for the March quarter is estimated by the company at 1,825 tonnes an increase of 381 tonnes over the previous quarter. Additionally, the failure of the acid plant at WMC's nickel smelter in Kalgoorlie will also affect acid delivery costs to Preston and may constrain plant throughput.