LISTED nickel producer Global Ferronickel Holdings, Inc. (FNI), the second largest nickel ore producer in the Philippines and the largest lateritic mine exporter in the world, said on Wednesday its subsidiary, Platinum Group Metals Corporation, has shipped 1.746 million wet metric tons (WMT) of nickel ore as of June 27 this year.
Such shipment volume has put the company on track to hit its 2017 shipment target of 6 million WMT, it said.
FNI President Dante Bravo told the Philippine Stock Exchange (PSE) in a disclosure that weather permitting, the company expects to meet its shipment target this year, especially with the renewal of its mineral production sharing agreement (MPSA) covering its 4,376-hectare Cagdianao mine for another 25 years.
FNI has also acquired the right to explore an additional 853-hectare land that is adjacent to the Cagdianao mine in Surigao del Norte.
“The acquisition presents an opportunity to enhance the company’s nickel ore resources without requiring significant expenditures for mine infrastructure development,” the company said.
Bravo said during a media briefing in Makati that FNI is optimistic about the opportunities they have now, as nickel plays a vital role in urbanizing areas.
Citing findings on nickel demand, he said, “The consensus view is that nickel demand will increase by 3 percent annually from 2017 to 2020 on the back of stainless steel [demand]. According to the United Nations, two-thirds of Asia’s population will be in urban areas by 2050.”
Bravo said this presents a significant opportunity for the company as it will push demand growth and focus on industrial commodities such as nickel.
The FNI president also presented their strategies for the coming months, which include commencing production of their Palawan mine site, development and upgrading of existing resources within the Cagdianao deposit areas, selectively pursuing value-added opportunities, and diversifying into other minerals and metals.