Nickel Asia exports increase 9% in 2017

MANILA, Philippines — Nickel Asia Corp. saw a nine percent hike in export sales in 2017 owing to higher prices of nickel in the world market and a favorable exchange rate.

Export sales reached P14.45 billion compared with the P13.23 billion recorded in 2016.

Nickel Asia’s four operating mines sold a total of 17.7 million wet metric tons (WMT) of nickel ore, lower than the 19.25 WMT the previous year.  However, this was offset by the higher price in the world market.

“The change in our ore mix coupled with better prices and a more favorable exchange rate on sales, all of which are denominated in US dollars, more than offset lower volume of shipments experienced during the year,” said Gerard Brimo, president and chief executive officer of Nickel Asia.

Low-grade limonite ore shipped to the Coral Bay and Taganito processing plants, which remain linked to prices at the London Metal Exchange, fetched an average price of $4.67 per pound of payable nickel compared to $4.39 per pound a year ago.

Prices of nickel ore exports averaged at $24.46 per WMT, much higher than the average of $20.77 per WMT.

Nickel prices were at much lower levels in the first half owing to the economic slowdown in China.

The company is optimistic about its prospects this year given the improving prices of nickel worldwide.

Nickel Asia is a global supplier of lateritic nickel ore and exports both saprolite and limonite ore to customers in Japan and China.  Its operating mines are Rio Tuba, Taganito, Cagdianao and Taganaan sites, all located in the southern part of the Philippines.