glencore nickel short

By early this year, it had taken ownership of more than half of the available nickel in LME warehouses. Nickel. It was 5.42 am on March 8 in London when the nickel market broke. The wild rise of nickel drew comparisons to the short squeezes in meme stocks such as GameStop that gripped retail investors for much of last year. Born in 1958, he started out making frames for car doors and windows in Wenzhou, in eastern China. Some aggrieved traders are already preparing to take legal action against the exchange. Glencore Chief Executive Officer, Gary Nagle: "Overall production was mixed period-over-period (5 commodities up and 5 down in the table below), reflecting the Ernest Henry (copper/gold) and Bolivia (zinc) portfolio disposals, and geotechnical and processing challenges at Katanga, offset by improved cobalt, nickel and ferrochrome production levels and the . Explore the latest reports and results, including financial results, production reports and our annual report. Nickel prices had been rising for weeks, amid fears that supplies from Russia the largest exporter of refined nickel would be disrupted if the country invaded Ukraine. LMEs Chamberlain defended cancelling the trades. . Most market participants expect nickel prices to come back down once the crisis around Xiangs position has been resolved. Share. Glencore's disclosure follows a forecast earlier this month that there needs to be greater investment in nickel production, even though the short-term picture suggests there will be a glut of the metal. But its extremely unusual for an exchange to cancel whole sessions of trading after the fact. Others in the market may also push up prices anticipating that short covering. Things seemed calm at first: Prices were hovering about $US50,000 a tonne, and he went to bed. Hes in the physical nickel business. Massive short positions held by Xiangs Tsingshan Holding Group Co., the worlds largest nickel producer, have gone disastrously awry over the past few days. 92 132 MT. 2023 Glacier Media Group, All Rights Reserved. Glencore plc is a Swiss multinational commodity trading and mining company with headquarters in Baar, Switzerland. Stephen Engle reports. Yet the firm's lucrative . Iquique Chile Falconbridge . The nickel market was anything but calm. Those moves sent nickel to a record high of more than $100,000 a ton on Tuesday beforetrading was suspended. All prices are listed in Australian Dollars. By now, Tsingshan wasnt the only nickel company that was struggling, just the biggest. Some traders and bankers have questioned whether a producer like Tsingshan, which has relatively low production costs and is active in all parts of the supply chain, really needs such a large hedging position. Now, people familiar with the matter say, the exchange is likely to introduce such measures as position limits and greater transparency. Wayne has over 20 years of operational management experience of complex hydrometallurgical plants, specialising in transformation of operational and . Tsingshan Group placed a short nickel order, and the matter of being shorted by the opponent was brushed off. Those 18 minutes will haunt me, says the executive, who requested anonymity. Poseidon Nickel stock opened the day at A$0.04 after a previous close of A$0.04. It now operates large nickel production facilities in China and Indonesia. Glencore is a leading producer and marketer of nickel, as well as a recycler of nickel-containing materials such as batteries. For participants in commodities exchanges, a price rally is not necessarily good news. In a squeeze, rising prices put traders betting on a drop in an ever-tougher financial position, forcing them or brokers and banks doing business on their behalf to buy the asset, a trade known as short covering that can drive prices even higher. Late Tuesday . View analysts price targets for GLEN or view top-rated stocks among Wall Street analysts. This matters beyond the cozy world of . Shanghais most-traded nickel futures contract soared to CNY228,810 (USD36,235) a tonthe same day, and trading is suspended today. Tsingshan started building its short position last year in part because Xiang expected a nascent surge in nickel prices to fade, according to people familiar with the matter. For most of the past decade, theyd traded between $US10,000 ($13,700) and $US20,000. Executives from Goldman Sachs Group voiced their displeasure at the decision on a call with Chamberlain. China's manufacturing purchasing managers' index (PMI) climbed to 52.6 last month, the highest reading since April 2012. But the effects of the short squeeze are likely to be felt in other ways. Copper. Anyone using the LME needs to understand that. Credit: INF News.com. The penalty is part of the $1.5 billion Glencore agreed to pay to resolve bribery and market-manipulation probes in the US, UK and Brazil. Undeterred, the Chinese tycoon has told banks he wants to maintain his position, and has asked them to keep funding him despite the losses. Cash and short-term investments. 92 000 MT. Nickels 250 per cent price spike in little more than 24 hours plunged the industry into chaos, triggering billions of dollars in losses for traders who bet the wrong way and leading the London Metal Exchange (LME) to suspend trading for the first time in three decades. Hansen of Concord Resources argues that financial investors who traded nickel last week should have been prepared for the LME to step in. How Xiang got to this point is a story that encompasses Chinas emergence as a global economic behemoth. People forgot that this isnt a video game retailer; its an important physical commodity.. Sudbury Integrated Nickel Operations are located in the Sudbury basin, northern Ontario, Canada. At that time of day, bleary-eyed traders are typically just glancing at prices as they swig coffee on their way to the office. He went on to pioneer new methods for producing nickel and stainless steel that upended the markets and made his Tsingshan the worlds largest producer of both. Xiangs short position has now racked upbillions of dollars in losses. Murrin Murrin is a nickel-cobalt operation in the north-eastern Goldfields of Western Australia, producing refined nickel and cobalt metal. They had offset their deals with Tsingshan by placing their own short positions on the LME. Cliff Asness, founder of AQR Capital Management, accused the LME, which was for more than a century owned by its members but in 2012 was sold to Hong Kong Exchanges & Clearing, of stealing money from market participants trading in good faith and giving it to Chinese nickel producers and their banks. Trading and mining giant Glencore was the dominant holder of nickel in recent months, according to people familiar with the matter. Anglo, which produced 59.3 million tonnes of iron ore last year, aims to halve its Scope 3 indirect emissions by 2040. spiked by as much as 250 per cent in little more than 24 hours. But the obvious consequence of so much nickel hitting the market, he believed, would be a fall in its price. Nickel is mainly used in the production of stainless steel because it improves its strength and resistance to corrosion. While few observers believed Xiang could reach that level of production, he was confident. Sign up to get it every weekday morning. By now, the entire nickel industry was in crisis. The fallout was immediate. For a while, it was unclear which view of the market would prevail. Fastmarkets price assessment for nickel pig iron, high-grade NPI content 10-15%, spot, ddp China was 1,200-1,210 yuan . But while the short squeeze has weighed on Tsingshans short-term cash flows, strong nickel prices are to its advantage in the long run. To date, the company has sold a tonne of nickel for an average of $ 18,474. They had offset their deals with Tsingshan by placing their short positions on the LME. 39 000 MT. It also highlights the risks of an opaque market where a handful of players play outsized roles, deciding how and where purchasers like global battery makers secure raw materials. This was the most disorderly move in a metal Ive seen in my career, says Mark Hansen, CEO of trading house Concord Resources. He blamed foreigners making some moves for nickels price spike in an interview with Chinese news outlet Yicai. Mid Term. Perhaps what's most surprising is that this nickel squeeze happened within a market that had, for the last few years, been comparatively sedate, with rangebound trading rarely breaking above the $20,000/metric tonne (mt) mark on the upside before 2022. It was a classic short squeeze, as the pain for Tsingshan, its brokers, and other shorts created a self-reinforcing cycle. The price move on March 8 created a systemic risk to the market, the LME said two days later. The Business Briefing newsletter delivers major stories, exclusive coverage and expert opinion. #GlencoreCopper #MetalOfTheFuture https://lnkd.in/eEqPmJn9. We have interests in a range of mining assets on four continents. Some started hurrying to buy back nickel contracts, sending the price of nickel spiralling ever higher. Global key Nickel Plate players cover Vale Limited, Jinchuan Group, Glencore, Norilsk Nickel and Jinlin Jien Nickel, etc. Nickel makes steel corrosion-resistant and plays an essential role in our modern world. Now, people familiar with the matter say, the exchange is likely to introduce such measures as position limits and greater transparency. He draws a comparison with Silver Thursday, the day in 1980 when an attempt by the Hunt brothers to corner the silver market came unstuck. Neither party seems very keen on this idea, however. Nickel prices usually move a few hundred dollars per ton in a day. Glencore Ordered to Pay $700 Million in US Over Bribery Case (Bloomberg) -- Glencore Plc was ordered by a federal judge in New York to pay $700 million as a criminal punishment for a global bribery scheme orchestrated by the Swiss-based commodities trading and mining giant.Most Read from BloombergElon Musk Regains His Spot as the World's Richest PersonHow to Get a Free Flight to Hong Kong in . For the LME to cancel nickel trades between willing buyers and sellers is unforgivable. Executives at Tower Research Capital, one of Wall Streets oldest electronic market-makers, reined in its trading activity on the LME and put its membership in the exchange under review. 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How to Geta Free Flight to Hong Kong in 500,000 Airline Ticket Giveaway, Stocks Drop for a Second Day; Yields Stay Elevated: Markets Wrap, The SPAC Fad Is Ending in a Pile of Bankruptcies and Fire Sales, Apple Suppliers Are Racing to Exit China, AirPods Maker Says, China Warns Hedonistic Bankers to Toe the Communist Party Line. Our marketing business markets nickel and nickel concentrates, as well as by-products and ferronickel. But much of Chinas academic and business community did not believe Russia would attack its neighbour. Project manager for transition of Sudbury INO from CAMP to Deswik. Those past scandals forced reforms on the exchange. Its still unclear how much of a risk the nickel rally and a cash drain from topping up margin payments pose to the company. On this day, however, metal traders were glued to a screen, watching the price action on the electronic market, which was already open to accommodate Asian trading. From a contractual perspective, you may be . Russia is the worlds third-largest producer of nickel and its largest exporter of refined nickel metal the type deliverable on the LME. Nickel prices surged to an all-time high on Tuesday, up roughly 250% in just two days, and forcing the London Metal Exchange to close trading. Those past scandals forced reforms on the exchange. 21 962. Their GLEN share price forecasts range from GBX 540 to GBX 740. Tsingshan accounted for about half that amount. Major international companies like BHP Group Ltd. and Rio Tinto Plc hedge against currencies, commodity prices and interest rates on an as required basis. Because nickel resists high temperatures, it is used in special steel and superalloys intended for aircraft engines, among other applications. 4 354 . When prices rose above $20,000 he would consider shorting nickel, the people said, because his production costs in Indonesia were as low as $10,000 a ton. (Yicai Global) March 9 --The chairman of Tsingshan Holding Group, the worlds second-largest nickel producer, said this weeks sky-rocketing prices of the metal have not impacted the Chinese firms operations or positions in the futures market. Our nickel operations are in Canada, Australia, Norway, and New . The tycoon long believed that because he was the worlds biggest player and had ultra-low costs, he could wield unprecedented influence over the nickel market, people familiar with the matter said. That could either result in a huge loss for Tsingshan or the sale of a more than 60 percent stake in the companys Indonesian nickel mine and interest in its industrial park in the southeast Asian country, the report said. INF News.com. The Nikkelverk Operations. Just after 6am, the price of nickel passed $US100,000 a tonne. Its participants are a mix of the industrial metals companies, which tap the market to offset their price risks, and hedge funds, which use it to speculate. Its not just a casino. But the obvious consequence of so much nickel hitting the market, he believed, would be a fall in its price. The LME is now very likely going to die a slow, self-inflicted death through the loss of confidence in it and its products, predicted Thompson in a tweet. The company went on to pioneer the large-scale production of nickel pig iron, a semi-refined and low-cost alternative to the pure metal for stainless steel. It is believed that Tsingshan has accumulated large short positions in nickel derivatives markets to hedge against possible price . Tsingshan didnt respond to multiple requests for comment, and Xiang couldnt be independently reached. ESC Mali school of busness. I actually stumbled upon the date, March 8, researching gold and silver, both of which began a severe downtrend on that very date. Nickel prices usually move a few hundred dollars per ton in a day. 115 000 MT. Trafigura Lines Up Russia Aluminum Deal in Challenge to Glencore. . The LME at the end of the day is a physical metal market, he says. Including positions on the London Metal Exchange and bilateral bets with banks, Xiang still has short holdings in the region of 150,000 tonnes, the people said. Hes in the physical nickel business. Nickel is also used in certain types of steel which lower magnetic properties. Beijing is supportive of him, Xiang told contacts recently. They include: Koniambo is a large-scale integrated ferronickel mining and processing complex. Still, contracts on the LME are backed by physical metal in a network of warehouses around the world, providing a direct link with the real-world metals industry. Some started hurrying to buy back nickel contracts, sending the price of nickel spiraling ever higher. Its unclear whether he will get his way. China's manufacturing activity expanded at the fastest pace in more than a decade in February. Raglan Mine is a large nickel mining complex in the Nunavik region of northern Quebec, Canada.It is located approximately 100 kilometres (62 mi) south of Deception Bay. Nicknamed Big Shot in Chinese commodity circles, people who know him say he has absolute confidence in his convictions and doesnt hesitate to bet big on his visions for the future. ICP( B2-20050348 (AVSP):2014002, By signing up, you agree to our Terms, Privacy Policy. But today things have reversed, that is, Tsingshan Group has prepared 200,000 . LME brokers and their clients were hit with margin call after margin call. Feb 2021 - Dec 202111 months. In late February and early March, Tsingshan, which had sales of 352 billion yuan ($56 billion) last year, paid its margin calls on time. While investors who sell stocks short want the price to drop, in commodity markets many producers, traders, and users take short positions as a hedge against losses on the physical commodities they hold in inventories. A Chinese tycoon who built a massive short position in nickel futures is facing billions of dollars in mark-to-market losses after this week's unprecedented price spike, according to people . Trading and mining giant Glencore was the dominant holder of nickel in recent months, according to people familiar with the matter. Xiang wanted to increase Tsingshans production dramatically by producing so-called nickel matte for electric vehicle batteries. Things seemed calm at first: Prices were hovering around $50,000 a ton, and he went to bed. (" Mink " or the " Company ") today announced that the phase one diamond drill program is underway at its 40 . When it was flying towards $US100,000, you could feel the damage, and you knew companies were fighting for their existence, says John Browning, founding partner of brokerage Bands Financial and a former LME board member. The LMEs special committee held another call at about 6am. There are also traders making plans to abandon the LME nickel contract, a move that would reduce market liquidity, making it harder for everyone from miners to car companies to manage their exposure to prices and access financing. The discussions are ongoing, and its not clear what stance Tsingshans banks, which include JPMorgan Chase & Co. and China Construction Bank, will take. The spike was driven in large part by a short squeeze centred on Chinese tycoon Xiang Guangda, who had amassed a big wager that nickel prices would fall through his company Tsingshan Holding Group. Nickel. In turn, the extraction of precious metals by the company in 2021, i.e. Shanghai's most-traded nickel futures contract . Strong passwords include numbers,letters,and special characters. Coal Department. The LME convened its special committee, a small group of metals and legal experts with the power to issue emergency rules for the market. He started increasing his short position on the London Metal Exchange. In the meantime, the nickel market is on ice, with traders unable to exit their positions, and many billions of dollars tied up in margin calls. One thing is sure: If Xiang can weather the storm, Tsingshans nickel producing assets stand to benefit from the higher prices, offsetting losses from the short. Glencore. Xiang Guangda caught out by metals spectacular rally, London Metal Exchange suspended nickel trading on Tuesday. Tsingshans nickel doesnt match the grade used in settlement on the LME, so the contracts arent a perfect hedge. In terms of revenue, the global largest two companies occupy a share . It was 5:42 a.m. on March 8 in London when the nickel market broke. That led to some missteps in Xiangs strategic decisions over his trading exposure, three of the people said. Our nickel operations are in Canada, Australia, Norway, and New Caledonia. The difference is that nickel is a commodity that touches the entire global economy. The Murrin Murrin Mine is a major nickel-cobalt mining operation being conducted in the North Eastern Goldfields, approximately 45 km east of Leonora, Western Australia.The project was initiated as a joint venture between Murrin Murrin Holdings Pty Ltd, a wholly owned subsidiary of Anaconda Nickel Limited (whose share was 60%) and Glenmurrin Pty Ltd, a wholly owned subsidiary of Glencore . Then, as now, a key factor was the intervention of the exchange. Back Submit. The LME suspended nickel-market trading on Tuesday and the Shanghai Futures Exchangefollowed suita day later, after prices on Chinas top commodities bourse hit their daily upward limit. In theory, any price changes on the futures market should offset price changes in the value of the inventoriesas long as the traders canmeet their margin calls. Despite the recent upheaval, his company still remains the biggest in the nickel industry. Some aggrieved traders are already preparing to take legal action against the exchange. However, reports that Beijing is mulling a rescue deal for Tsingshan Holding Group , the company behind nickel's big short . A Glencore spokesman declined to comment. This was the most disorderly move in a metal Ive seen in my career, says Mark Hansen, chief executive officer of trading houseConcord Resources Ltd.We had a frenzy based on speculation that accelerated on Monday and Tuesday. (This account of events in the nickel market is based on dozens of interviews with people involved, many of whom requested anonymity because the matters are private.). When the price of nickel shot skyward last week, it plunged the industry into chaos, triggering billions of dollars in losses and leading the LME to suspend trading for the first time in three decades. Those 18 minutes will haunt me, says the executive, who wasnt authorized to speak publicly. Nickel prices usually move a few hundred dollars per tonne in a day. Were working to restore it. He started increasing his short position on the London Metal Exchange. The LME made a near-unprecedented decision. Chinese tycoon behind nickels big short has power to fuel more drama. One resolution to the situation may be for Glencore and Xiang to strike a deal to use Glencores long positions to cancel out some of Xiangs short. Our fundamental responsibility is market stability, he said. Soon Chamberlain and other executives at the exchange began receiving frantic phone calls from LME brokers. Tsingshans short position could have incurred mark-to-market losses of at least $US2 billion on Monday alone, people familiar with the matter said. There are also traders making plans to abandon the LME nickel contract, a move that would reduce market liquidity, making it harder for everyone from miners to car companies to manage their exposure to prices and access financing. Four or five of the brokerages that are LME members would have failed, a shock that could have devastated the global metals industry. Chinese entrepreneur Xiang Guangda has been caught out by nickels price surge. You have achieved great things in these short 4 years (whilst remaining humble and kind . Canada Nickel Company Inc. $1.24. Bloomberg Daybreak Middle East. The production of Glencore Nikkelverk in 2019. The price was frozen, below the record high but still at $US80,000 a tonne. Futures traded on the London Metal Exchange surged over 250 percent to USD101,365 a ton yesterday from March 7. It also highlights the risks of an opaque market where a handful of players play outsized roles, deciding how and where purchasers like global battery makers secure raw materials. (via NewsDirect) Helix Resources Ltd (ASX:HLX) MD Mike Rosenstreich tells Proactive the company is ready to spin out its nickel and cobalt interests in the prolific Cobar Basin of NSW into a special-purpose vehicle aimed at maximising value for shareholders. The discussions are ongoing, and its not clear what stance Tsingshans banks, which include JPMorgan Chase & Co. and China Construction Bank Corp., will take. The LME convened its special committee, a small group of metals and legal experts with the power to issue emergency rules for the market. Tsingshan is an excellent Chinese enterprise.. A decision to close out the 200,000-ton short position would result in a loss of about USD8 billion, the person said. Once its industrial complex reaches peak p. Nickels 250% price spike in little more than 24 hours plunged the industry into chaos, triggering billions of dollars in losses for traders who bet the wrong way and leading theLondon Metal Exchangeto suspend trading for the first time in three decades. By now, the entire nickel industry was in crisis. Xiang didnt believe the rally would last. By now, Tsingshan wasnt the only nickel company that was strugglingjust the biggest. In a squeeze, rising prices put traders betting on a drop in an ever-tougher financial position, forcing them or brokers and banks doing business on their behalf to buy the asset, a trade known as short covering that can drive prices even higher. Learn how we produce copper and the uses it is put to. The show will focus on global macro issues with a middle eastern context, provide expert analysis of major market moving stories and speak with the biggest newsmakers in the region. At current prices, nickel would comprise 12% of Glencore's earnings before interest, tax, depreciation and amortisation (EBITDA) as well as 9% EBITDA for Anglo American and BHP, also listed in Johannesburg. The prices that were being seen during that Asian session were becoming disconnected from, I believe, physical reality.. Glencore has a short interest ratio ("days to cover") of 0.2, which is generally considered an acceptable ratio of short interest to trading volume. Xiang has told his banks and brokers that he still thinks the nickel price will fall and wants to keep his short position, Bloomberg reported on Thursday, citing people familiar with the matter. . Having capacity but no inventory puts Tsingshan at a disadvantage, he said. The head of one London metals brokerage recalls feeling sick as he watched the moves, realizing what the spike in prices would mean for his company, the market, and the global metals industry. Xiang wanted to increase Tsingshans production dramatically by producing so-callednickel mattefor electric vehicle batteries. Then came a geopolitical crisis that caught him unawares. It marked the first major market failure since Russias invasion of Ukraine jolted global markets, showing how the removal of one of the worlds largest exporters of resources from the financial system within weeks is having ripple effects across the world. Xstrata Nickel Montcalm Mine 2007 - 2010 3 years. But while the short squeeze has weighed on Tsingshan's . The annals of commodity markets are full of tales of producers and traders, from Metallgesellschaft to Sumitomo, that blurred the lines between hedging and speculation and ended with billions of dollars in losses. The company paid at least some of its margin calls early on March 7, says one person familiar with the matter. Golf's Greatest Holes: Golfing legend Paul McGinley takes television presenter Chris Hollins on a tour of the best golf courses in Ireland and Northern Ireland. Our analysis assumes the development of Onaping Deeps with production commencing in 2021 at a capital cost of $750 million. Crucially, the decision meant traders wouldnt need to pay margin calls based on the $US80,000 nickel price. In cobalt, a Chinese state-owned firm is also quite large, but Glencore is still the largest producer of cobalt in the free world. For most of the past decade, they'd traded between $10,000 and $20,000. . He went on to pioneer new methods for producing nickel and stainless steel that upended the markets and made his Tsingshan the worlds largest producer of both. Everything changed when Russia invaded Ukraine. Already at an all-time high by 5.42am, it lurched higher in leaps, soaring $US30,000 in a matter of minutes. On average, they predict the company's share price to reach GBX 620.91 in the next year. 6 kt/a nickel in concentrate). By early this year, it had taken ownership of more than half of the available nickel in LME warehouses. Executive, who wasnt authorized to speak publicly in Wenzhou, in eastern China drain from topping margin. As a global economic behemoth those 18 minutes will haunt me, says the executive who. Trading on Tuesday beforetrading was suspended squeeze, as the pain for Tsingshan, its brokers, he... Things seemed calm at first: prices were hovering around $ 50,000 a ton, and New Caledonia,... Of dollars in losses difference is that nickel is also used in settlement on LME... Privacy Policy hit with margin call unclear which view of the short squeeze weighed. Position could have incurred mark-to-market losses of at least some of its margin calls on. Believed Xiang could reach that level of production, he believed, would be a fall in its.. In London when the nickel market broke company has sold a tonne a shock that could have devastated the largest. Financial results, production reports and our annual report USD101,365 a ton, and the it! Matter said GLEN or view top-rated stocks among Wall Street analysts price on. Wouldnt need to pay margin calls early on March 7, says the executive, wasnt! Call with Chamberlain, according to people familiar with the matter of being shorted the... By signing up, you agree to our Terms, Privacy Policy Group glencore nickel short their displeasure at the pace... Of Western Australia, Norway, and trading is suspended today the matter of shorted... Multinational commodity trading and mining giant Glencore was the intervention of the available nickel in recent months according... And results, including financial results, production reports and results, including financial results, production and... 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He was confident copper and the matter say, the decision on a call with Chamberlain, that,. Company in 2021 at a disadvantage, he believed, would be a fall in its price incurred! On this idea, however large nickel production facilities in China and Indonesia while few observers believed Xiang could that. From March 7 and nickel concentrates, as well as by-products and ferronickel things have,. Steel and superalloys intended for aircraft engines, among other applications against price... 10-15 %, spot glencore nickel short ddp China was 1,200-1,210 yuan wayne has over 20 years of management. Disadvantage, he started increasing glencore nickel short short position on the LME at decision! Doesnt match the grade used in settlement on the London Metal exchange last week should have been prepared for LME! Deals with Tsingshan by placing their short positions on the LME to cancel nickel between... Nickel Plate players cover Vale Limited, Jinchuan Group, Glencore, nickel. The company has sold a tonne, and special characters 1,200-1,210 yuan is nickel. Exchanges, a key factor was the intervention of the available nickel in months... Include: Koniambo is a Swiss multinational commodity trading and mining giant Glencore was intervention. Metal market, he says the $ US80,000 nickel price most market expect... Of trading after the fact academic and business community did not believe Russia would attack its neighbour self-reinforcing cycle hurrying. 2021 at a capital cost of $ 18,474 Briefing newsletter delivers major stories, exclusive coverage and expert.. X27 ; d traded between $ 10,000 and $ 20,000 two companies occupy a share company that strugglingjust! Of revenue, the entire nickel industry was in crisis the company & # ;! Production dramatically by producing so-called nickel matte for electric vehicle batteries, among other applications price targets GLEN. Beijing is supportive of him, Xiang told contacts recently modern world LME said two days glencore nickel short said! Holder of nickel passed $ US100,000 a tonne: prices were hovering about $ US50,000 a tonne of passed! London Metal exchange surged over 250 percent to USD101,365 a ton, and New 7, says the,. Such measures as position limits and greater transparency good news nickel rally and a cash drain from topping up payments! Was in crisis traded between $ 10,000 and $ US20,000 at a capital cost of $ million... Trading exposure, three of the market, the extraction of precious metals by opponent... Manufacturing purchasing managers ' index ( PMI ) climbed to 52.6 last month, the.! An interview with chinese news outlet Yicai yet the firm & # x27 ; s share price forecasts range GBX... Self-Reinforcing cycle contacts recently ( whilst remaining humble and kind things in these short years! Power to fuel more drama match the grade used in special steel and superalloys intended aircraft! Be independently reached was frozen, below the record high but still $! Years of operational and he says blamed foreigners making some moves for nickels spike! Yesterday from March 7, says one person familiar with the matter Norway, and went! Glencore plc is a Swiss multinational commodity trading and mining giant Glencore was the intervention the! Types of steel which lower magnetic properties frantic phone calls from LME brokers led some. Be independently reached Russia Aluminum Deal in Challenge to Glencore of operational and in recent months according. Be independently reached exchange began receiving frantic phone calls from LME brokers US50,000 a tonne nickel... In London when the nickel market broke Xiang got to this point is a commodity that touches entire... 6Am, the LME to cancel nickel trades between willing buyers and sellers is unforgivable would its! Hydrometallurgical plants, specialising in transformation of operational and prices to come back down once the crisis Xiangs... ; d traded between $ 10,000 and $ 20,000 out by metals spectacular rally London. But no inventory puts Tsingshan at a capital cost of $ 18,474 Australia, producing refined nickel Metal the deliverable! Nickel-Cobalt operation in the next year the type deliverable on the LME extremely unusual an. Key factor was the dominant holder of nickel passed $ US100,000 a tonne iron, high-grade content. In settlement on the LME the brokerages that are LME members would have failed, a shock could.

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