Russia's Nornickel forecasts lower global nickel surplus in 2024, bigger palladium deficit
MOSCOW, May 30 (Reuters) -Russian mining and metals giant Nornickel GMKN.MM on Thursday lowered its forecast for the global nickel surplus this year, but said it expected a bigger global palladium deficit.
Nornickel, the world's largest producer of palladium and high-grade nickel, said it expected the global nickel surplus to be about 100,000 metric tons this year, down from a previous estimate of 190,000 tons.
Most of the surplus would come from low-grade nickel, it said.
In 2025, the nickel surplus would remain at the same level of 100,000 tons, Nornickel said in a report.
"Growing nickel demand from the smelting (stainless steel, alloys and speciality steels) and electric vehicles sectors will be offset by both the commissioning of new nickel production capacity in Indonesia and increased supply of nickel metal and chemical compounds," the report said.
Nornickel, whose share in palladium production exceeds 40%, revised its market forecast for the metal for the current year and said it expected a global deficit of 0.9 million ounces compared to a previous estimate of 0.4 million ounces.
The increased deficit was due to lower than expected secondary production, it said.
In 2025, it forecast the palladium market deficit to fall to 0.3 million ounces.
Reporting by Reuters
Editing by Andrew Osborn
Latest News
Disclaimer: The XM Group entities provide execution-only service and access to our Online Trading Facility, permitting a person to view and/or use the content available on or via the website, is not intended to change or expand on this, nor does it change or expand on this. Such access and use are always subject to: (i) Terms and Conditions; (ii) Risk Warnings; and (iii) Full Disclaimer. Such content is therefore provided as no more than general information. Particularly, please be aware that the contents of our Online Trading Facility are neither a solicitation, nor an offer to enter any transactions on the financial markets. Trading on any financial market involves a significant level of risk to your capital.
All material published on our Online Trading Facility is intended for educational/informational purposes only, and does not contain – nor should it be considered as containing – financial, investment tax or trading advice and recommendations; or a record of our trading prices; or an offer of, or solicitation for, a transaction in any financial instruments; or unsolicited financial promotions to you.
Any third-party content, as well as content prepared by XM, such as: opinions, news, research, analyses, prices and other information or links to third-party sites contained on this website are provided on an “as-is” basis, as general market commentary, and do not constitute investment advice. To the extent that any content is construed as investment research, you must note and accept that the content was not intended to and has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such, it would be considered as marketing communication under the relevant laws and regulations. Please ensure that you have read and understood our Notification on Non-Independent Investment. Research and Risk Warning concerning the foregoing information, which can be accessed here.