The Financial Post reports in its Saturday edition that Mark Selby wants to break the Canadian nickel industry's "oligopoly." The Post's Gabriel Friedman writes that
Mr. Selby, chief executive officer of Royal Nickel, which is raising money to build a mine in Quebec, thinks he can muscle his way in.
Royal Nickel has devised a way to reverse-engineer a product that resembles nickel pig iron, a lower grade, cheaper form of the metal derived from ores found in tropical areas.
Used by China's steel industry, the nickel pig iron market is rapidly expanding. Mr. Selby's company is the first Canadian nickel producer looking to sell its product into that market, and if he succeeds, it would show how Chinese demand for raw materials can stimulate the expansion of Canadian mining.
"If you're a (nickel) miner, you really only have about a half-dozen smelters that you can ship it to," Mr. Selby told the Post. "So we're going to take advantage of the nickel pig iron producers in China."
plan is to send nickel concentrates to Asia, where they will be roasted and then converted into something more closely resembling a nickel pig iron than the highly refined, nearly pure nickel that emerges from North America's smelters.
© 2019 Canjex Publishing Ltd. All rights reserved.