Big Companies May Look to Sell Assets as Nickel Price Rises

Base Metals Investing

Bloomberg reported that one result of this year’s jump in nickel prices is that large companies like BHP Billiton Ltd. (NYSE:BHP,ASX:BHP,LSE:BLT) may finally be able to sell their unwanted mines.

Bloomberg reported that one result of this year’s jump in nickel prices is that large companies like BHP Billiton Ltd. (NYSE:BHP,ASX:BHP,LSE:BLT) may finally be able to sell their unwanted mines.

As quoted in the market news:

Diversified mining companies such as BHP Billiton Ltd. and Anglo American Plc don’t see the metal as strategic because it generates less cash than other commodities and requires more investment. With nickel prices improving and companies looking to cut costs, OAO GMK Norilsk Nickel, the largest producer, last month agreed to sell two mines in Australia. BHP, valued at $174 billion, said May 14 that it’s holding talks to sell its Australian nickel unit, while London-based Anglo said it may consider shedding its mine in Brazil.

Click here to read the full Bloomberg report.

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