Nickel prices rose further on the London Metal Exchange on Monday as mining disruptions in key producer Indonesia sparked supply concerns about the stainless steel ingredient.
Widespread flooding in Indonesia’s nickel hub on the island of Sulawesi has halted some mining operations in Indonesia, an official with the country’s Nickel Miners Association said.
“A number of mines haven’t been able to operate in the past two weeks,” said Meidy Lengkey, secretary general of the association, adding an estimated 15 to 20 miners producing 50,000-100,000 tonnes of nickel ore a month were affected.
* Three-month nickel on the London Metal Exchange rose 0.7% to $11,950 a tonne by 0215 GMT, extending gain from the previous session when it hit a two-week high.
* The most-traded nickel contract on the Shanghai Futures Exchange, however, eased 0.1% to 100,060 yuan ($14,452.02) a tonne.
* Copper prices were supported by news that more than 3,000 unionized workers at Codelco’s sprawling Chuquicamata copper mine walked off the job early Friday morning after failing to reach a labor deal earlier this week with Codelco.
* Benchmark copper rose 0.1% to $5,826.50 a tonne, while zinc, lead and tin also advanced. In contrast, all metals in Shanghai declined after China released disappointing industrial and investment data.
* China’s economy flashed more warning signs in May as the United States ramped up trade pressure, with industrial output growth unexpectedly slowing to a more than 17-year low and investment cooling, underlining a need for more stimulus.
* Rare earth developers in Australia say they are edging closer to signing deals with new customers that would drive forward their projects amid mounting global supply concerns over the minerals that are crucial to high-tech industries.
* Zambian President Edgar Lungu said on Friday those investing in Africa to reap the benefits without paying their dues were not welcome in Zambia, according to a statement issued by the presidency’s office.