Monsoon Season Set to Disrupt Philippine Nickel Mining

Seasonal rains over the next four months are set to disrupt nickel mining in the Philippines and stoke a shortfall in the global supply of the commodity as well as hurt China’s supply of the metal.

According to Reuters:

Most producers in the Philippines’ main nickel mining region of Caraga are expected to close operations as normal from October or November until early next year in anticipation of heavy rains.

Daniel Hynes, an analyst with ANZ in Sidney, said:

They (China NPI makers) are definitely going to be caught short. Obviously they’ll just have to dig into their inventory to meet demand in the shorter term or look at importing some ferronickel from various sources.

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