International Nickel Conference: Notes from the Floor

The two-day 6th International Nickel Conference just wrapped up in Toronto after running from Thursday (May 31) to Friday (June 1).

The Investing News Network (INN) team kept busy engaging with companies, attending panel discussions and of course interviewing industry experts.

Below we’ve put together some highlights from the conference. Scroll on to read more about what happened on the floor, and make sure to check out our YouTube playlist for interviews with some of the most knowledgeable minds in the base metals sector.

International Nickel Conference — Day 1

The first day of the conference brought panels and presentations on industry and pricing trends, global supply and demand and a look at nickel’s presence in electric vehicles (EVs).

The day kicked off with a discussion of how nickel is currently performing and what the future may hold.

Industry pros discussing the current state of nickel and what the future holds for the commodity pic.twitter.com/dHbH1gb5qJ

— Resource Investing (@INN_Resource) May 31, 2018

Panelists think shipping nickel from Zambia and many other locations globally will be much easier in the next five years. #nickel2018

— Resource Investing (@INN_Resource) May 31, 2018

Next, INN sat down with Mark Selby, president and CEO of RNC Minerals (TSX:RNX), who was part of the day’s first panel. Among other things, Selby spoke about nickel’s strength as part of the EV sector.

“Nickel is shaping up to be the best-performing base metal of 2018,” Selby told INN. You can watch the full interview with Selby here.

INN’s @NicoleRashotte interviewing #MarkSelby of @royalnickel at the 6th International Nickel Conference #nickel2018 pic.twitter.com/wEQwyHMlZn

— Resource Investing (@INN_Resource) May 31, 2018

The second panel of the day was all about supply and demand. Notably, Colin Strang, vice president, base metals, at CCMA, said battery demand has the potential to “swing the market.”

Session 2 is now underway. Colin Strang, VP base metals at CCMA is speaking about the global supply and demand of nickel and the state of the nickel market. #nickel2018

— Resource Investing (@INN_Resource) May 31, 2018

Graph: Nickel stocks have fallen by 128,000t over the last year. pic.twitter.com/VbehNRfMwU

— Resource Investing (@INN_Resource) May 31, 2018

To wrap up his presentation: “Battery demand looks to have potential to swing the market and put primary nickel demand at the forefront into the next decade,” Colin Strang, VP base metals, CCM.

— Resource Investing (@INN_Resource) May 31, 2018

70 percent of nickel goes to stainless steel production, but where will all the nickel we need come from. “Indonesia. Right now they make up 25 percent of market, that’s expected to grow to as much as 40 percent in coming years.” Jim Lennon Red Door Research. #nickel2018

— Resource Investing (@INN_Resource) May 31, 2018

After a lunch break where attendees were keen to network, INN attended several more panel discussions with EVs as the focus. The final panel of the day zeroed in on nickel and its ability to meet the demands of the ever-growing EV industry.

Next Presentation: by Ken Hoffman, client development exec McKinsey & Company —Supplying the EV battery market: Will nickel meet growing demand? #MBnickel

— Resource Investing (@INN_Resource) May 31, 2018

In 2017 governments around the world announced regulations that will promote EV demand — Hoffman #MBnickel pic.twitter.com/WJ6X1QvLaU

— Resource Investing (@INN_Resource) May 31, 2018

When it comes to global competition about who is going to lead the EV revolution it comes down to “China vs Europe,” Hoffman. #MBnickel

— Resource Investing (@INN_Resource) May 31, 2018

Hoffman: “[the] next gen battery will use graphene which conducts electricity 100x better than copper.” #MBnickel

— Resource Investing (@INN_Resource) May 31, 2018

International Nickel Conference — Day 2

The second day of the conference started with a focus on the challenges of producing EV batteries.

The first discussion of Day 2 is underway, panelists are discussing lithium ion batteries and the challenges faced in EV battery production. #MBnickel

— Resource Investing (@INN_Resource) June 1, 2018

EV battery revolution will be essential for commercial vehicles that conduct ecommerce business #MBnickel

— Resource Investing (@INN_Resource) June 1, 2018

Ajay Kochhar, president and CEO Li-Cycle Corp debunks myth that it is more expensive to recycle Li-ion batteries than to mine and refine. #mbnickel

— Resource Investing (@INN_Resource) June 1, 2018

After the first panel of the day, INN sat down with Srinath Rengarajan, senior automotive research analyst at Oliver Wyman.

Day 2 at the 6th International Nickel Conference!
INN sits down with Srinath Rengarajan, senior automotive research analyst @OliverWyman #MBnickel pic.twitter.com/Vm2C1ofpzt

— Resource Investing (@INN_Resource) June 1, 2018

The talk with Rengarajan was followed by an interview with Jon Hykawy, president of Stormcrow Capital.

INN sits down with Jon Hykawy, president of Stormcrow Capital to chat nickel’s role in EV batteries.#MBnickel pic.twitter.com/TfM3qHOoWc

— Resource Investing (@INN_Resource) June 1, 2018

During the interview, Hykawy stated, “nickel is still dominated by its demand in the steel industry.” The interviews with Hykawy and Rengarajan will be posted soon.

“Nickel is still dominated by its demand in the steel industry” – Jon Hykawy#MBnickel pic.twitter.com/mIhwv1pZ24

— Resource Investing (@INN_Resource) June 1, 2018

INN wrapped up the conference by attending a panel discussion on the current situation in the Philippines and its effect on the nickel industry.

While the country is still the world’s second-largest nickel producer, supply has been severely affected in recent years on the back of mine closures. Currently a ban on new open-pit mines is in place.

Philippines unable to make up for the deficit in high and middle grade nickel ore after Indonesia export ban of 2014. Koichi Ishihara, VP marketing and procurement Nickel Asia Corporation #MBnickel

— Resource Investing (@INN_Resource) June 1, 2018

Philippines projected to export 28.6 million wmt of nickel ore in 2018 #mbnickel

— Resource Investing (@INN_Resource) June 1, 2018

Keep an eye out for more content from the International Nickel Conference from the INN team. As mentioned, the full interview with Selby is already posted, and we’ll be adding the interviews with Hykawy and Rengarajan soon.

Don’t forget to follow us @INN_Resource for real-time news updates!

Securities Disclosure: I, Nicole Rashotte, hold no direct investment interest in any company mentioned in this article.