Nickel is a unique metal with special properties. Deposits of this material are located in many countries around the world, where they are actively being developed. However, it does not exist in nature in pure form. Therefore, the extraction of this metal has its own characteristics.
Metal mining in different countries
There are many nickel deposits throughout the world, especially when compared to other minerals. It has been established that this metal is part of most meteorites. Therefore, the extraterrestrial origin of nickel compounds is clearly visible, but in their pure form they practically do not exist. First, ore is mined. Only after special processing the material is obtained in its pure form.
On the territory Russian Federation contains about 35% of the world's total nickel ore reserves. But the state is not interested in investing large amounts cash for the development of existing and new fields. Despite this in recent years Nickel production began to increase in Russia. The Russian company Norilsk Nickel is known all over the world. It produces 20% of the world's metal volume.
There are other giants in the world that mine nickel:
- Canadian company Inco Ltd;
- Vale SA from Brazil;
- BHP Billiton Anglo-Australian firm;
- Jinchuan Group from China.
The largest nickel deposits are located in the Krasnoyarsk Territory near Norilsk (more than 85% in Russia) and on the Kola Peninsula. The Murmansk region accounts for 10% of the reserves of this breed.
What types of nickel deposits are there?
Nickel production is carried out from natural materials, which contain a sufficient amount of this metal. Such rocks are called nickel ores. They are formed naturally as a result of the cooling of magma, which contains this metal.
There are several types of nickel ores that are mined to make this material. The division of rock deposits into classes is carried out taking into account the geological conditions of its occurrence, mineral composition, morphology and other features. On this basis, nickel deposits can be: 
- copper-nickel, sulfide. Such deposits are found in the CIS countries, Canada, Australia;
- nickel silicate, cobalt-nickel, ferronickel. Similar deposits are present in the Urals, Cuba, Indonesia;
- copper-pyrite;
- sulfide-arsenide.
The last two types of nickel deposits are considered minor. Ferromanganese nodules located on the ocean floor can be considered potential sources of this metal.
Nickel mining methods
The development of nickel ore deposits is carried out using open and closed methods. Enterprises engaged in metal mining are highly mechanized and equipped with advanced equipment for conducting all types of mining operations. Nickel silicate compounds are mainly mined open method, and the development of sulfide deposits is carried out using two methods.
Open source development
When mining operations are carried out, benches are formed in quarries. The overburden is placed in the external and internal dumps. To develop deposits by drilling, roller-cone drilling machines are used. Loading of the extracted rock is carried out by excavators. Road transport is mainly used to carry out work.
Open-pit mining
Underground work is carried out in rather difficult conditions. Often mining occurs at depths of 1000 m or more. To perform the necessary operations, self-propelled diesel-powered equipment is used, which loads and delivers the extracted raw materials.
In the process of work, the following systems for the development of nickel deposits are used:
- subfloor collapse. The collapse of a mountain massif cut from below or from the side is carried out;
- layered;
- chamber;
- with filling the mined-out space with special hardening mixtures.
The development of nickel deposits is often accompanied by rock bursts and the release of explosive methane.
Beneficiation of sulphide ores includes the following:
- crushing in three stages;
- grinding in ball or rod type mills;
- collective flotation.
Enrichment of sulfide compounds
As a result of such processing, a nickel concentrate is obtained, where the metal content is 2–6%.
Processing of sulfide ores is carried out according to the following scheme:
- agglomeration and pelletization of concentrates are performed;
- then melting and conversion occurs;
- separation of raw materials into nickel and copper concentrate;
- recovery of nickel concentrate;
- The final process is electrolytic refining.
As a result of metallurgical processing, the following is produced from ore:
- metallic nickel;
- cobalt;
- ferronickel and other substances.
All of them are actively used in industrial production for various purposes.
Processing of sulfide ores using pyro-hydrometallurgical technology
During the processing process, electric smelting and autogenous smelting are performed to produce matte. Processing of matte is carried out using a hydrometallurgical method. The working process includes electrolysis, autoclave metal reduction, and carbonyl process. Processing of silicate ores is carried out using electric smelting and refining. The hydrometallurgical method can be used.
Processing of silicate ores
Processing of silicate ores is carried out according to the following scheme:
- preparatory stage, where agglomeration or briquetting is performed;
- shaft smelting with sulfidization, the output is matte;
- matte conversion;
- then the process of firing the matte takes place;
- The final stage is electric smelting, which results in commercial nickel.
The impact of nickel mining on the environmental situation in the world
Nickel mining has a negative impact on the environmental safety of the world. During mining, a lot of waste remains, which includes low-grade ores, various rocks and chemicals. Once on the surface, they react with each other, which leads to the release of dangerous toxic compounds.
Nickel mining areas are suffering due to the destruction of all vegetation, which is a natural habitat for fauna. Animals are forced to either leave these places or fight for their survival. Given the constant decline in natural habitat due to human activity, the diversity of fauna in such areas is significantly reduced.
Companies that mine nickel ore guarantee that all waste is stored in specially equipped underground storage facilities. They must be sealed, which helps prevent negative impacts on the environment. But in practice, such measures are not carried out, which leads to an environmental disaster in rock mining areas.
Therefore, the process of control over the activities of such companies should take place at the state level. Special commissions are being created to constantly monitor compliance with nickel mining technology and disposal of generated waste.
The most famous deposits of sulfide ores (map): Pechenga, Talnakh and Norilsk (Russia); Lynn Lake, Gordon Lake, Sudbury and Thompson (Canada); Kambalda and Agnew (Australia).
Silicate nickel ores are loose, clay-like formations of the weathering crust of ultrabasites, containing Ni from 0.75 to 4% or more. The main minerals are garnierite, nontronite, nepuite, revdinskite, carolite, hydrogoethite, goethite, asbolane, hydrochlorite. In addition to nickel, nickel silicate ores contain 0.03-0.12% Co. The deposits of Yugoslavia, Albania, Greece, Turkey and CCCP are of Mesozoic age, and all deposits in the tropical and subtropical zone (New Caledonia, Brazil, Colombia, Indonesia, Australia) are confined to the weathering crust of Cenozoic (mainly Neogene-Quaternary and Quaternary) age.
Silicate ores are mined mainly by open-pit mining. Silicate ores are supplied to metallurgical processing without beneficiation. In the CCCP, these ores were processed by the pyrometallurgical method to produce nickel or ferronickel; abroad, hydrometallurgical methods are mainly used - ammonia leaching of pre-reduced ore, sulfuric acid autoclave leaching, etc., with subsequent processing of the resulting concentrates by the pyrometallurgical method. Silicate ore deposits: Cheremshanskoye and Sakharinskoye (territory of the former CCCP); Rzhanovo (SFRY); Pagonda and Larimna (Greece); Nonok, Rio Tuba (Philippines); Soroako and Pomalaa (Indonesia); Tio, Poro, Nepui and Kyaya (New Caledonia); Greenvale and Marlborough (Australia); Moa and Pinares de Mayari (Cuba); Falcondo (Dominican Republic); Ceppo-Matoso (Colombia); Loma de Eppo (Venezuela); Nikelandia and Vermelho (Brazil), etc.
Nickel ore reserves in industrially developed capitalist and developing countries are about 95 million tons (1984), including proven ones - about 49 million tons. Silicate ores account for 65% of proven nickel reserves and 44% of its smelting. The production of metallic nickel by the leading countries of the world in 2003 amounted to 447.5 thousand tons.
Sources of copper raw materials in Kazakhstan are the Kounradskoye, Sayakskoye and Dzhezkazganskoye deposits. They provide ore to the Balkhash and Dzhezkazgan mining and metallurgical plants.
The ores of these deposits are classified as disseminated. The main host rock of these ores is quartz, i.e. they are acidic rocks. Valuable companions of copper in disseminated ores are molybdenum and rhenium. The content of noble metals is low.
A distinctive feature of Kazakhstan's deposits is their large thickness and occurrence close to the earth's surface. Therefore, the development of deposits is carried out using open-pit mining using powerful modern equipment, which results in a relatively low cost of ore.
Disseminated ores are easily enriched, and the resulting concentrates are characterized by a high copper content (for example, Dzhezkazgan concentrates contain up to 40% copper). The large scale of production, the use of cheap ore mining methods and their good beneficiation make it possible to bring into production ore containing 0.3% copper. In addition to the Dzhezkazgan and Kounrad deposits, there are several other large deposits of the same type in Kazakhstan, for example Boshchekul.
Deposits of copper-nickel ores in Russia
The largest deposits of copper-nickel ores are Talnakhskoye and Oktyabrskoye in the Norilsk mining and industrial region of the Krasnoyarsk Territory, Zhdanovskoye on the Kola Peninsula, Buruktalskoye and Serovskoye in the Urals.
The quality of sulfide copper-nickel ores mined in Russia is comparable to the quality of similar ores in foreign countries: the average nickel content in them is 1.6%, while in sulfide ores of Canada - 1.3%, Australia - 2.1%. In addition to nickel, Norilsk ores contain significant quantities of copper, cobalt, gold, silver and platinum group metals. A significant part of East Siberian nickel (about 80%) is mined in rich ores, in which the average metal content is 2.6-2.9%. Negative factors for the development of the industry in the Taimyr North are heavy natural conditions(cold climate, permafrost, polar night, short growing season) and significant depth of ore bodies in the mines of the Norilsk Combine.
In Russia, nickel ore mining is carried out by four enterprises: Norilsk Mining Company, Kola Mining and Metallurgical Company (both enterprises are part of RAO Norilsk Nickel), Ufaleynickel and Yuzhuralnickel. The largest of them is RAO Norilsk Nickel, which includes the mines of the Norilsk MMC and the Pechenganickel plant, which develop sulfide copper-nickel ores from deposits in the Norilsk region and the Kola Peninsula. In recent years, the share of these ores has accounted for 92-93% of the all-Russian production of nickel and cobalt.
Only nickel sulfide ores are enriched at the processing plants of RAO Norilsk Nickel. Nickel silicate ores are developed by the Ufaleynickel and Yuzhuralnickel enterprises and go directly into smelting, bypassing the enrichment stage. Over the past 10 years, the production of these ores has decreased significantly. Due to depletion of reserves, the quarries of the Rezhsky Nickel Plant were closed; at the quarries of Ufaleynickel and Yuzhuralnickel, production decreased due to a lack of funds to maintain production. At the latter enterprise, ore production decreased particularly sharply, which is associated with the complete cessation of mining in 1998 at the large Kempirsay mine located in Kazakhstan. In 1992, due to unprofitable production, the Tuvacobalt plant, which exploited the Khovu-Aksy nickel-cobalt ore deposit, was liquidated. Commissioned in 1995 in the Southern Urals, the Sakharinsky mine with a design capacity of 1,100 thousand tons per year, due to insufficient funding, produces no more than 350 thousand tons of ore. Currently, the raw material base of the Orsk enterprise “Yuzhuralnickel” is the Sakharinskoye and Buruktalskoye deposits in the Southern Urals; Ufaleynickel and the Rezhsky Nickel Plant receive ore from the Serovskoye deposit (Northern Urals); minor mining has also been preserved in the vicinity of the Upper Ufaley.
Copper nickel deposits Kola Arctic
Due to its low resistivity (second only to silver, resistivity at 20 °C: 0.01724-0.0180 μOhm m), copper is widely used in electrical engineering for the manufacture of power cables, wires or other conductors, for example in printed circuit wiring. Copper wires, in turn, are also used in the windings of energy-saving electric drives (household: electric motors) and power transformers. For these purposes, the metal must be very pure: impurities sharply reduce electrical conductivity. For example, the presence of 0.02% aluminum in copper reduces its electrical conductivity by almost 10%.
Heat exchange
Another useful quality of copper is its high thermal conductivity. This allows it to be used in various heat sink devices, heat exchangers, which include well-known cooling, air conditioning and heating radiators, computer coolers, and heat pipes.
For pipe production
Due to their high mechanical strength, but at the same time suitability for mechanical processing, copper seamless round pipes are widely used for transporting liquids and gases: in internal water supply systems, heating systems, gas supply systems, air conditioning systems and refrigeration units. In a number of countries, copper pipes are the main material used for these purposes: in France, Great Britain and Australia for gas supply to buildings, in Great Britain, USA, Sweden and Hong Kong for water supply, in Great Britain and Sweden for heating.
In Russia, the production of water and gas pipes from copper is regulated by the national standard GOST R, and its application in this capacity by the federal Code of Rules SP. In addition, pipelines made of copper and copper alloys are widely used in the shipbuilding and energy industries to transport liquids and steam.
Copper alloys
Alloys using copper are widely used in various fields of technology, the most widespread of which are the above-mentioned bronze and brass. Both alloys are general names for a whole family of materials, which in addition to tin and zinc may include nickel, bismuth and other metals. For example, in the composition of the so-called cannon metal, which in the 16th-18th centuries. actually used to make artillery pieces, all three main metals included - copper, tin, zinc; the recipe changed depending on the time and place of manufacture of the weapon. A large amount of brass is used for the manufacture of artillery ammunition casings and weapon casings, due to its manufacturability and high ductility.
For machine parts, alloys of copper with zinc, tin, aluminum, silicon, etc. (rather than pure copper) are used because of their greater strength: 30-40 kgf/mm² for alloys and 25-29 kgf/mm² for technically pure copper. Copper alloys (except beryllium bronze and some aluminum bronzes) do not change their mechanical properties during heat treatment, and their mechanical properties and wear resistance are determined only chemical composition and its influence on the structure. Modulus of elasticity of copper alloys (900-12000 kgf/mm², lower than that of steel). The main advantage of copper alloys is their low coefficient of friction (which makes them especially rational for use in sliding pairs), combined for many alloys with high ductility and good resistance to corrosion in a number of aggressive environments (copper-nickel alloys and aluminum bronzes) and good electrical conductivity. The magnitude of the coefficient of friction is almost the same for all copper alloys, while the mechanical properties and wear resistance, as well as behavior under corrosion conditions, depend on the composition of the alloys, and therefore on the structure. Strength is higher in two-phase alloys, and ductility is higher in single-phase alloys. Copper-nickel alloy (cupronickel) is used for minting small change coins.
Copper-nickel alloys, including the so-called “Admiralty” alloy, are widely used in shipbuilding (turbine exhaust steam condenser tubes cooled by sea water) and applications involving the possibility of aggressive exposure sea water due to high corrosion resistance.
Copper is an important component of hard solders - alloys with a melting point of 590-880 degrees Celsius, which have good adhesion to most metals, and are used for durable connections of a variety of metal parts, especially dissimilar metals, from pipeline fittings to liquid rocket engines.
Alloys in which copper is significant
Dural (duralumin) is defined as an alloy of aluminum and copper (copper in duralumin 4.4%).
Jewelry alloys
In jewelry, alloys of copper and gold are often used to increase the resistance of products to deformation and abrasion, since pure gold is a very soft metal and is not resistant to these mechanical influences.
Other Applications
Copper is the most widely used acetylene polymerization catalyst. Because of this, copper pipelines for transporting acetylene can only be used if the copper content in the alloy of the pipe material is no more than 64%.
Copper is widely used in architecture. Roofs and facades made of thin sheet copper, due to the auto-attenuation of the corrosion process of the copper sheet, serve trouble-free for 100-150 years. In Russia, the use of copper sheets for roofs and facades is regulated by the federal Code of Rules for joint ventures.
The predicted new mass use of copper promises to be its use as bactericidal surfaces in medical institutions to reduce intra-hospital bacterial transfer: doors, handles, water stop valves, railings, bed rails, tabletops - all surfaces touched by the human hand.
Copper vapor is used as a working fluid in copper vapor lasers at lasing wavelengths of 511 and 578 nm.
Price
As of 2011, the cost of copper is about $8,900 per ton.
Biological role
Copper is an essential element for everyone higher plants and animals. In the bloodstream, copper is transported mainly by the protein ceruloplasmin. Once copper is absorbed by the intestines, it is transported to the liver by albumin.
Copper is found in large quantities enzymes, for example, in cytochrome c oxidase, in the copper and zinc enzyme superoxide dismutase, and in the molecular oxygen transport protein hemocyanin. In the blood of all cephalopods and most gastropods and arthropods, copper is part of hemocyanin in the form of an imidazole complex of the copper ion, a role similar to the role of the porphyrin iron complex in the hemoglobin protein molecule in the blood of vertebrates.
It is believed that copper and zinc compete with each other for absorption in the digestive tract, so an excess of one of these elements in food can cause a deficiency of the other element. A healthy adult needs a copper intake of 0.9 mg per day.
With a lack of copper in chondro- and osteoblasts, the activity of enzyme systems decreases and protein metabolism slows down, as a result the growth of bone tissue slows down and is disrupted.
Toxicity
Some copper compounds can be toxic if the maximum concentration limit is exceeded in food and water. The copper content in drinking water should not exceed 2 mg/l (average value over a period of 14 days), however, the lack of copper in drinking water also undesirable. The World Health Organization (WHO) formulated this rule in 1998: “The risks to human health from a lack of copper in the body are many times higher than the risks from its excess.”
In 2003, as a result of intensive research, the WHO revised previous estimates of copper toxicity. It has been recognized that copper is not a cause of digestive disorders.
There were fears that hepatocerebral dystrophy (Wilson-Konovalov disease) was accompanied by the accumulation of copper in the body, since it is not excreted by the liver into bile. This disease causes damage to the brain and liver. However, the cause-and-effect relationship between the occurrence of the disease and oral copper intake has not been confirmed. Only increased sensitivity of persons diagnosed with this disease to increased copper content in food and water has been established.
Bactericidal
The bactericidal properties of copper and its alloys have been known to man for a long time. In 2008, after lengthy research Federal Agency on Security Environment The US EPA has officially designated copper and several copper alloys as germicidal (the agency emphasizes that the use of copper as a germicidal agent can complement, but should not replace, standard infection control practices). The bactericidal effect of surfaces made of copper (and its alloys) is especially pronounced against the methicillin-resistant strain of Staphylococcus aureus, known as the “superbug” MRSA. In the summer of 2009, the role of copper and copper alloys in inactivating the influenza A/H1N1 virus (the so-called “swine flu”) was established.
7. Physico-chemical properties of copper and nickel link
Serial number | ||
Atomic mass | 63,546 | 58,71 |
Electron shell configuration | 3d 10 4 s 1 | 3d8 4s 2 |
Ionization potential eV: | ||
first | 7,72 | 7,63 |
second | 20,29 | 18,15 |
third | 36,83 | 36,16 |
Ionic radius, m * 10-10 | 0,80 | 0,74 |
Melting point,°C | 1083 | 1455 |
Boiling point, °C | 2310 | 2730 |
Density, kg/m3: | ||
at 20°C | 8940 | 8900 |
in liquid state | 7960 | 7760 |
Latent heat of fusion, kJ/kg | 213,7 | 305,9 |
Steam pressure, Pa | 0.113(1080°C) | 13.33(1370°C) |
Specific heat capacity at 0°C, kJ/(kg * deg) | 0,3808 | 0,4441 |
Thermal conductivity at 20°C, J/(cm * s * deg) | 3,846 | 0,587 |
Electrical resistivity at 18°C, Ohm * m * 10-14 | 1,78 | 11,78 |
Normal potential, V | 0,34 | 0,25 |
Electrochemical equivalent, g/(A * h) | 1,186 | 1,095 |
World nickel production in 2014 decreased slightly compared to the previous year (2.4 million tons versus 2.63 million tons).
According to the US Geological Survey (USGS), the average annual price of nickel fell by 14%. Analysts' views on market development are divided: some argue that production will increase, others that the nickel market will decline significantly in 2015.
List of the top 10 nickel producing countries in 2014 according to USGS.
1. Philippines - nickel production in 2014 - 440 thousand tons. The country has become China's leading supplier of nickel ore over the past year, increasing ore exports by 24% in the first 10 months of last year (according to Bloomberg). Most of the ore has been supplied from stockpiles, but the Philippines plans to bring several new nickel mines online, hoping to fill the gap left by Indonesia entirely. “If the ban on ore exports in Indonesia continues, then we will be able to begin developing more than five new deposits in the next five years. Nickel mining will be most profitable in the next 10 years,” said a representative of the Philippine Geological Department.
2. Russia - nickel production in 2014 - 260 thousand tons. Nickel production in the country decreased by 5% compared to 2013. While the ban on ore exports in Indonesia hit some producers, Russia had its own export bans that had to be taken into account. Economic sanctions imposed against Russia, according to CBC News, have led to restrictions on exports to the US and UK.
3. Indonesia - nickel production in 2014 - 240 thousand tons. From the beginning of January 2014, a ban on the export of unprocessed ore came into force, which led to a decrease in production by 45%. These measures were taken by the Indonesian government to encourage mining companies to invest in the creation of a full cycle of production of the final product within the country, which would have a lasting positive economic effect in the future. The results are already there - by the end of 2015, six nickel processing plants will be built in the country, and by the end of 2016 - five more.
4. Canada - nickel production in 2014 - 233 thousand tons. Nickel production in Canada increased slightly compared to 2013 (from 223 thousand tons). Like many other countries, Canada expected a sharp increase in ore production since the Indonesian export ban was introduced, with new mines coming online and new jobs created as a result. However, due to the fall in nickel prices, mining of most of the sites turned out to be unprofitable.
5. Australia - nickel production in 2014 - 220 thousand tons. Nickel production in Australia also decreased in 2014 (from 234 thousand tons), but this decline was expected. Several nickel mines are starting to operate in three states of the country, and production is expected to increase only by 2018.
6. New Caledonia - nickel production in 2014 - 165 thousand tons. Nickel production in the country remained at the same level as in 2013. There is a Caterpillar industrial equipment plant in the country, which uses local raw materials. In the near future, the plant's management intends to expand production capacity, for which it will develop the mining capabilities of the region.
7. Brazil - nickel production in 2014 - 126 thousand tons. In Brazil, 2014 was also marked by a decline in nickel production from 138 thousand tons to 126 thousand tons. Despite this, the country recorded a sharp increase in nickel production: in 2014, Vale S.A., one of the leading nickel producers in the world, increased nickel production from 2 thousand tons of final nickel to 21 thousand tons.
8. China - nickel production in 2014 - 100 thousand tons. Nickel production in China increased slightly - by 5 thousand tons compared to last year. China is the world's leading producer of crude ferronickel (nickel pig iron), used in the steel industry, which is produced mainly from imported raw materials.
9. Colombia - nickel production in 2014 - 75 thousand tons. Over the past year, nickel production in the country has not changed. However, the situation may change next year as workers' strikes have begun to occur across the country, leading to mine downtime.
10. Cuba - nickel production in 2014 - 66 thousand tons. In Cuba, the situation with nickel mining also remained unchanged. The country will cut production at one of its two nickel plants to allow for maintenance and capital changes at the site, according to Reuters.
IAC "Mineral" |
Nickel (symbol Ni, atomic weight 58.71, atomic number 28) is a shiny, silvery-white metal that was discovered in 1751. The metal has a melting point of 1453°C, relatively low thermal and electrical conductivity, high resistance to corrosion and oxidation, excellent strength and toughness at elevated temperatures, and is capable of magnetism. These attractive properties allow nickel to be used both as a pure metal and in alloys with many other metals.
Nickel occurs in nature primarily in the form of oxides, sulfides and silicates. Nickel ores are mined in approximately 20 countries on all continents, and there are smelting and refining facilities in 25 countries. Nickel is primarily produced and used in the form of ferronickel, oxides and other chemicals, and as a pure metal. Nickel is also obtained from scrap and waste, and large volumes of recycled nickel enter the world market along with the primary metal produced.
Sometimes the question is raised about whether they are at risk natural resources planets to be exhausted. In the case of nickel, there appears to be little cause for concern. Nickel is the fifth most abundant element found on Earth. Only iron, oxygen, silicon and magnesium are more abundant. However, the reserves that can be extracted economically are, of course, more limited. Nickel reserves refer to proven reserves at known deposits. Nickel resources (estimated to be twice the size of nickel reserves) cover sub-economic reserves, that is, those that cannot yet be mined profitably.
The development of new process technologies will lead to the conversion of some resources into reserves. Conducting geological exploration helps to increase reserves and resources. According to some sources, nickel resources on the seabed are many times greater than those located on land. The material and raw material base of the Earth, according to researchers, has nickel reserves for more than 100 years at the current pace of the mining industry.
Reserves at nickel deposits in 2012, thousand tons *
* US Geological Survey data
Stable global economic growth until 2007 supported increasing production of primary nickel. According to the International Nickel Study Group, in 2007, global production reached 1.416 million tons. However, the economic crisis led to a decrease in nickel production in the period 2008 - 2009 and metal production decreased to 1.32 million tons in 2009. Production quickly recovered in 2010 to 1.446 million tons and increased further to 1.589 million tons in 2011 and 1.79 million tons. in 2012. At an annual average, production growth between 2001 and 2012 was approximately 3.7%.
A new product began to be produced in China in 2005 - it was Nickel Pig Iron (NPI) in various forms and grades. Production increased slowly over the first few years, and in 2010 it was already more than 160 thousand tons, and in 2011 - approximately 250 thousand tons. Mostly all this product is used domestically in China in the production of stainless steel and has replaced traditional products such as nickel-containing waste metal and stainless steel.
In addition to NPI's new production in China, several other nickel projects have been developed elsewhere in the world over the past decade. Examples are Alto Barro and Puma Onça in Brazil with a combined capacity of more than 100 thousand tons per year at full production. The Ambatovy project with a capacity of 60 thousand tons is being developed in Madagascar, and Myanmar has its own first nickel project, Tagaung Taung. The Vale`s Goro project has been launched in New Caledonia, but it is still in the ramp-up stage.
* US Geological Survey data
Given its attractive properties, nickel is widely used in more than 300 thousand consumer products in industry, the military, transport and space industries, shipbuilding and construction. Nickel can be found in coins as it is used as a material in pure or alloy form by many countries, or in electrolytic coatings on steel (nickel plating).
Nickel's greatest use, however, is as an alloy component, along with chromium and other metals, in the production of high-strength and heat-resistant steels. They are mainly used in industry and construction, but also for consumer products such as pots and pans, sinks, etc. Stainless steel is produced in a wide range of compositions to meet special industrial requirements for corrosion and thermal resistance, and also to facilitate a clean and hygienic surface for food and other applications.
In fact, approximately 65% of nickel is used in the production of stainless steel, and 20% in the production of other steels and non-ferrous alloys (including "super" alloys), often for highly specialized industrial, space and military applications. Approximately 9% is used in galvanic coatings and 6% in other areas, including coins, chemicals and batteries. The global stainless steel market is growing at approximately 5% per year, fueling increased demand for nickel in recent years.
Global nickel consumption has been increasing over time and correlates with economic development. Over the past decade, global demand for nickel, according to INSG, has increased from 1.104 million tons in 2001 to 1.572 million tons in 2011 and 1.75 million tons in 2012, with an average annual growth rate of 4.2%. However, the upward trend had its peaks and valleys. Thus, in 2012 there was the highest demand for nickel, but in 2007 the demand for nickel decreased to 1.323 million tons. As the global economic crisis worsened in 2008, demand for nickel fell again to 1.286 million tons. A further decrease in consumption was encountered in 2009 - 1.241 million tons. Demand for nickel increased rapidly in 2010 to 1.464 million tons, and continued to rise to a record level of 1.75 million tons in 2012.
Asia is now by far the largest regional market for nickel, representing 65% of total world consumption. China alone now accounts for approximately 44% of global nickel demand, up from 8% a decade earlier. Significant amounts of nickel are consumed in the industrialized countries of the European Union and the United States.
Production and consumption of nickel in the world, thousand tons*
| year | 2010 | 2011 | 2012 |
| Total production | 1590.0 | 1940.0 | 2100.0 |
| Total production | 1433.0 | 1666.0 | 1790.0 |
| Reserves | 143.0 | 97.0 | 117.0 |
| Total consumption | 1424.0 | 1670.0 | 1750.0 |
*data from World Bureau of Metal Statistics
Over the past forty years, the price of nickel has shown significant volatility. The chart below shows the historical LME price for nickel at par value from 1990 to 2012. In the late 1980s there was a peak in the price of nickel. In the first half of the 1990s, the economic collapse of the former Eastern Bloc countries led to a surge in nickel exports, which drove nickel prices below cash production costs, leading to a decline in nickel production in the West.
Until 2003, the LME spot nickel price remained below $10,000/t. The price rose above $14,000/t in 2005 and then surged in 2006 before peaking at $52,179/t in May 2007. Nickel prices then declined until the end of 2008, when the average cash price bottomed out at $9,678/t in December 2008. At the beginning of 2009, nickel prices began to rise again and reached $24,103/t by the end of 2010. In 2011, the price increase continued, and the peak occurred in March -$26,015/t. Since then, nickel prices, against the backdrop of a not very favorable economic situation, began to decline and in December 2011 amounted to $18,144/t. In 2012 and 2013, nickel prices fell slightly further to $17,536/t and $17,400/t on average for the year, respectively.
According to experts, nickel, 4.4-4.6 million tons of nickel-containing waste are collected and processed annually in the world. This scrap is estimated to contain almost 350 thousand tons of nickel (or one quarter of total consumption), and the nickel recovered from it is mainly used to make stainless steel. There are only a few large nickel-containing waste recycling companies in the world that work internationally to ensure that such raw materials are collected in every corner globe. Most of the waste is stainless steel waste left over from the disposal of obsolete factories, equipment and consumer goods.
The research company International Nickel Study Group (INSG) estimates the volume of nickel production in the world in 2006 at 1.36 million tons. According to the company, in 2005, global nickel production increased by 2.4%, to 1.29 million tons. The largest nickel producer in the world is MMC Norilsk Nickel. This Russian company accounts for about 20% of the world production of this metal. In 2006, the company increased nickel production to 248.0 thousand tons. Next in terms of production volume is the Canadian company Inco Ltd. and the Anglo-Australian BHP Billiton, whose production volume is 240.0 thousand tons/year and 136.5 thousand tons/year, respectively.
Top five largest nickel producers in the world, thousand tons/year*
| № | Company | Years | ||||
| 2002 | 2003 | 2004 | 2005 | 2006 | ||
| 1 | MMC Norilsk Nickel | 218,0 | 239,0 | 243,0 | 243,0 | 248,0 |
| 2 | Inco Ltd. | 205,0 | 187,2 | 236,8 | 220,7 | 240,0 |
| 3 | BHP Billiton* | 74,0 | 78,1 | 81,7 | 88,6 | 136,5 |
| 4 | Falconbridge Ltd. | 91,8 | 104,0 | 101,0 | 114,0 | 115,0 |
| 5 | Eramet Nickel | 59,9 | 61,3 | 55,2 | 59,6 | 60,0 |
The largest primary nickel producing countries are Canada and Canada. It has reached out to traditionally nickel-producing countries. If in 1994 Chinese enterprises produced only 30 thousand tons of primary nickel, then in 2004 the volume of production of this metal was already approximately 85 thousand tons. In 2006, the volume of nickel production in China was approximately 100 thousand tons.
World nickel consumption
In the nickel market, it is customary to distinguish between primary and final consumers. Primary consumers are those industries that directly consume nickel. End users are the industries that produce final nickel-containing goods.
The main primary consumers of nickel are stainless steel producers. They account for almost 70% of total consumption in the world. Nickel is also used in the production of special steels and alloys, in electroplating (nickel plating), catalysts, batteries, etc.
The main end consumers of nickel are transport, mechanical engineering, construction, chemical industry, production of tableware and other household products.
The main countries consuming nickel are the European Union, Japan, USA, China, Taiwan, South Korea.
It is interesting that in the country’s nickel market, the main producers of this metal, with the possible exception of Japan, are not its main consumers.
According to INSG, nickel consumption in 2006 increased to 1.34 million tons from 1.24 million tons in 2005, mainly due to increased demand from China.
Consumption of nickel in the world has been growing in recent years, mainly due to an increase in demand for this metal from Chinese producers of stainless steel, for the production of which about 2/3 of the nickel produced in the world is used. China has surpassed Japan in terms of volume of refined nickel use (195 thousand tons/year) (169 thousand tons/year).
Stainless steel production in China increased by approximately 50% in 2006 and exceeded 3 million tons/year. Global stainless steel production increased in 2006 by 7.1% compared to 2005 and amounted to approximately 28.0 million tons.
With a fairly stable demand for nickel from China, in 2006 there was growing activity in nickel purchases in other Asian countries. In Europe, the demand for metal remains quite moderate. Experts note that currently, mining companies are mainly trying to increase production volumes through the implementation of new projects in order to cover growing demand.
Balance of the world nickel market in 2000-2012, million tons*
| 2000 | 2001 | 2002 | 2003 | 2004 | 2005 | 2006 | 2007 | 2008 | 2009 | 2010 | 2011 | 2012 | |
| Production | 1,08 | 1,16 | 1,18 | 1,19 | 1,25 | 1,29 | 1,35 | 1,45 | 1,38 | 1,32 | 1,45 | 1,61 | 1,74 |
| Consumption | 1,12 | 1,10 | 1,20 | 1,22 | 1,25 | 1,24 | 1,37 | 1,45 | 1,29 | 1,24 | 1,46 | 1,61 | 1,67 |
| Balance | -0,04 | +0,06 | -0,02 | -0,03 | 0,00 | +0,05 | -0,02 | 0,00 | +0,09 | +0,08 | -0,01 | 0 | +0,07 |
* Data from International Nickel Study Group
BRIEF ANALYSIS OF THE WORLD NICKEL MARKET 2010-2011
Mineral resource base
According to the USGS, nickel reserves in the world as of January 2011 amounted to 76.1 million tons. The main nickel reserves are concentrated in Australia, which at the end of 2010 took first place with an indicator of 31.5% of the total. Brazil is in second place with 11.4% in the overall results. Other countries have up to 10% of the total reserves. Russia ranks fourth in terms of reserves with 7.9% of the world's nickel reserves.
World nickel production
World nickel production in 2010 increased by 11% to 1.5 million tons. Despite Australia's huge nickel reserves, the main country producing nickel from the ground is Russia, which produces 18% of the world's total. We also note that Russia increased nickel production in 2010 by 3% to 276.3 thousand tons. The most notable production volumes are also from Indonesia - 15%, the Philippines - 10% and Canada - 10%. Basically, in the countries under consideration, there was an increase in nickel production, but 3 countries decreased nickel production: Australia, China, and Colombia. New Caledonia significantly increased production by 49% to 138 thousand tons.
Nickel production
The world's largest nickel production company in 2010 is the Russian OJSC MMC Norilsk Nickel, occupying 20.8% of total world production. In terms of size in 2010, BHP with a share of world production of 12%, VALE with a share of world production of 10.7% and JINCHUAN with a share of 7.6% may stand alongside.
Nickel ores and concentrates are imported mainly from China, which accounts for 75%. Let us note that in 2010, 30.5 million tons of nickel ores and concentrates were imported into the world, of which 22.8 million tons were imported to China.
Nickel ores and concentrates are exported mainly by Indonesia, whose share of exports in the total volume of 2010 was 48%, and the Philippines, with a share of 40%.
World nickel trade
The volume of world nickel import trade in 2010 in monetary terms increased by 52% and amounted to about $14.1 billion. World nickel imports in 2010 in physical terms increased by 6% and amounted to 680.8 thousand tons. The main countries importing nickel in 2010 were China with an import share of 27%, with an import share of 17% and with an import share of 10% in global terms.
The volume of nickel exports in 2010 in physical terms increased by 3% to 615 thousand tons. The main nickel exporting countries are Russia with an export share of 35%, Norway with an export share of 15% and Canada with a 12% share in global figures.
Calculation of consumption and market balance
The annual dynamics of nickel production and consumption in 2010 showed a slight increase in both indicators. In 2010, production increased to 1,425 thousand tons, and consumption increased to 1,437 thousand tons. In 2009, the nickel surplus on the world market dropped to 70 thousand tons. In 2010, the market balance changed into a deficit of up to 12 thousand tons. The nickel price on the LME in 2009 dropped by 30.6% to an annual average of $14,649/ton. In 2010, the nickel price on the LME increased to $21,904/ton.
According to the International Nickel Study Group (INSG), global nickel production in 2012 increased by 8.2%, or to 1.72 million tons, consumption - by 3.9%, or to 1. 63 million tons. Global production of primary nickel in 2012, according to experts, increased by 8.2%, or to 1.72 million tons compared to 2011. The average annual price for cash nickel on the LME in 2012, compared to 2011, decreased by 23.5% and amounted to $17,525 per ton. At the same time, the warehouse balance at the end of the year increased by 55.3%, or up to 140 thousand tons.
At the same time, the global surplus of nickel reached 93 thousand tons by the end of 2012, the World Bureau of Metal Statistics (WBMS) reported. At the same time, global nickel production in January - November 2012 amounted to 1.694 thousand tons, and consumption - 1.601 million tons.
Dynamics of world prices for nickel on the London Metal Exchange, USD/ton
date |
meaning |
| 10-2002 | 6809.35 |
| 11-2002 | 7321.67 |
| 12-2002 | 7204.55 |
| 01-2003 | 8030.00 |
| 02-2003 | 8626.50 |
| 03-2003 | 8382.38 |
| 04-2003 | 7927.95 |
| 05-2003 | 8329.77 |
| 06-2003 | 8877.86 |
| 07-2003 | 8647.50 |
| 08-2003 | 9428.00 |
| 09-2003 | 9968.64 |
| 10-2003 | 11553.86 |
| 11-2003 | 12090.25 |
| 12-2003 | 14311.30 |
| 01-2004 | 15337.14 |
| 02-2004 | 15152.50 |
| 03-2004 | 13722.61 |
| 04-2004 | 12376.74 |
| 05-2004 | 11186.43 |
| 06-2004 | 13539.55 |
| 07-2004 | 15031.59 |
| 08-2004 | 13649.09 |
| 09-2004 | 13281.82 |
| 10-2004 | 14410.71 |
| 11-2004 | 14053.41 |
| 12-2004 | 13854.78 |
| 01-2005 | 14538.33 |
| 02-2005 | 15349.50 |
| 03-2005 | 16196.09 |
| 04-2005 | 16142.14 |
| 05-2005 | 16885.65 |
| 06-2005 | 16159.09 |
| 07-2005 | 14580.71 |
| 08-2005 | 14892.61 |
| 09-2005 | 14227.50 |
| 10-2005 | 12355.24 |
| 11-2005 | 12115.68 |
| 12-2005 | 13417.95 |
| 01-2006 | 14501.82 |
| 02-2006 | 14978.75 |
| 03-2006 | 14895.70 |
| 04-2006 | 17935.50 |
| 05-2006 | 21077.14 |
| 06-2006 | 20754.55 |
| 07-2006 | 26586.19 |
| 08-2006 | 30743.64 |
| 09-2006 | 30130.71 |
| 10-2006 | 32702.95 |
| 11-2006 | 32113.86 |
| 12-2006 | 34570.26 |
| 01-2007 | 36811.14 |
| 02-2007 | 41184.25 |
| 03-2007 | 46324.77 |
| 04-2007 | 50266.84 |
| 05-2007 | 52179.05 |
| 06-2007 | 41718.57 |
| 07-2007 | 33425.68 |
| 08-2007 | 27652.27 |
| 09-2007 | 29537.50 |
| 10-2007 | 31055.43 |
| 11-2007 | 30610.23 |
| 12-2007 | 25991.94 |
| 01-2008 | 27689.55 |
| 02-2008 | 27955.48 |
| 03-2008 | 31226.26 |
| 04-2008 | 28763.18 |
| 05-2008 | 25735.00 |
| 06-2008 | 22549.05 |
| 07-2008 | 20160.22 |
| 08-2008 | 18927.75 |
| 09-2008 | 17794.55 |
| 10-2008 | 12139.78 |
| 11-2008 | 10701.50 |
| 12-2008 | 9686.43 |
| 01-2009 | 11306.90 |
| 02-2009 | 10408.75 |
| 03-2009 | 9696.36 |
| 04-2009 | 11166.10 |
| 05-2009 | 12634.74 |
| 06-2009 | 14960.45 |
| 07-2009 | 15984.57 |
| 08-2009 | 19641.75 |
| 09-2009 | 17473.18 |
| 10-2009 | 18525.23 |
| 11-2009 | 16991.19 |
| 12-2009 | 17066.43 |
| 01-2010 | 18439.25 |
| 02-2010 | 18976.00 |
| 03-2010 | 22461.30 |
| 04-2010 | 26030.75 |
| 05-2010 | 22008.16 |
| 06-2010 | 19388.64 |
| 07-2010 | 19517.50 |
| 08-2010 | 21413.33 |
| 09-2010 | 22643.41 |
| 10-2010 | 23807.38 |
| 11-2010 | 22909.32 |
| 12-2010 | 24111.19 |
| 01-2011 | 25646.25 |
| 02-2011 | 28252.25 |
| 03-2011 | 26811.74 |
| 04-2011 | 26328.89 |
| 05-2011 | 24210.00 |
| 06-2011 | 22354.09 |
| 07-2011 | 23731.19 |
| 08-2011 | 22083.86 |
| 09-2011 | 20392.05 |
| 10-2011 | 18886.43 |
World nickel prices
In 2012, nickel price quotes experienced more bitterness of defeat. On average, metal prices for the year amounted to just over 17.5 thousand dollars/t, which is much lower ($22.9/t) than a year earlier.
Nickel prices continue to develop a bearish trend against the backdrop of a slowing economy in China, the largest consumer of industrial metals. The debt crisis in the Eurozone significantly affects the volumes of Chinese exports - accordingly, China's demand for metals and raw materials in general is falling.
Until 2003, the LME spot nickel price remained below $10,000/t. The price rose above $14,000/t in 2005 and then surged in 2006 before peaking at $52,179/t in May 2007. Nickel prices then declined until the end of 2008, when the average cash price bottomed out at $9,678/t in December 2008. At the beginning of 2009, nickel prices began to rise again and reached $24,103/t by the end of 2010. In 2011, the price increase continued, and the peak occurred in March -$26,015/t. Since then, nickel prices, against the backdrop of a not very favorable economic situation, began to decline and in December 2011 amounted to $18,144/t. In 2012 and 2013, nickel prices fell slightly further to $17,536/t and $17,400/t on average for the year, respectively.
According to experts, nickel, 4.4-4.6 million tons of nickel-containing waste are collected and processed annually in the world. This scrap is estimated to contain almost 350 thousand tons of nickel (or one quarter of total consumption), and the nickel recovered from it is mainly used to produce stainless steel. There are only a few large nickel-containing waste recycling companies in the world that work internationally to ensure that such raw materials are collected in every corner of the globe. Most of the waste is stainless steel waste left over from the disposal of obsolete factories, equipment and consumer goods.
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A significant surplus of nickel in 2013 due to a large-scale increase in the production of nickel-containing pig iron in China, coupled with weak demand, led to a significant decrease in the price of this metal throughout 2013. In July, the price of nickel reached an absolute minimum in the previous four years, amounting to US$13,160 per tonne, while the average London Metal Exchange price in 2013 was US$15,004 per tonne (14% lower than the previous year). year).
And although 40% of the world's nickel producers suffered losses, the reduction in production volumes was insignificant, as everyone expected the Indonesian government to impose a ban on the export of nickel ore. On 11 January 2014, Indonesian President Susilo Bambang Yudhoyono signed a decree banning the export of unprocessed ore from Indonesia, which took effect on 12 January 2014. The ban affected lateritic nickel ore, the main raw material for the production of crude ferronickel (NPN) in China.
The price of nickel has increased by 41 percent since the beginning of 2014 and reached a two-year high at trading in London after the largest mining company Vale SA announced the suspension of its operations in New Caledonia. Nickel for delivery in three months now costs $20,650 per ton on the London Metal Exchange. On May 12, nickel was trading on the LME at US$20,870 per tonne, up 3.7 percent from the previous all-time high reached in February 2012, when the nickel price soared to US$20,650 per tonne.