BHP strengthens positions on nickel market

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BHP strengthens positions on nickel market

October 17, 2018 - 15:57
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BHP Billiton Ltd. is increasing sales of high quality nickel, which is necessary for electric cars batteries, Bloomberg reports. This is one more sign that largest mining company in the world is aiming to use growth opportunities of this sector.

Photo © Martin Str, CC0 1.0

BHP Billiton Ltd. is increasing sales of high quality nickel, which is necessary for electric cars batteries, Bloomberg reports. This is one more sign that largest mining company in the world is aiming to use growth opportunities of this sector.

Sales of refined nickel grew by 18% in third quarter compared with the last year.

BHP’s unit Nickel West in Western Australia is planning to sell 90% of its output to battery sector by the end of next year going away from traditional client base in stainless steel market.

BHP already supplies material to batteries producers, including Panasonic Corp., partner of Tesla Inc.

Even though profit of Nickel West in 2018 fiscal year grew due to higher prices, the future of the unit is still unclear as it accounts less than 2% of total BHP’s earnings.