Anglo American to Sell Brazilian Nickel Assets to MMG for Up to $500 Million

Anglo American

Strategic sale aligns Anglo’s focus on copper, iron ore, and crop nutrients amid nickel market shifts

Anglo American, the UK-South African mining major, has agreed to sell its Brazilian nickel business to MMG, a subsidiary of China’s Minmetals, for up to $500 million. The deal will streamline Anglo’s portfolio as it pivots toward copper, iron ore, and crop nutrients—sectors with stronger long-term demand.

The transaction includes an upfront $350 million cash payment, a $100 million price-linked earnout, and an additional $50 million contingent payment tied to development projects. MMG’s acquisition will be executed through its Singapore Resources arm, and the deal is expected to close by September 2025.

Brazilian ferronickel assets and greenfield projects included

The sale covers several key nickel operations in Brazil: the Barro Alto and Codemin ferronickel plants, as well as the Jacaré and Morro Sem Boné greenfield development projects. These assets provide MMG with direct access to high-grade nickel resources amid growing demand from battery and stainless steel industries.

In 2024, Anglo produced 39,400 tonnes of nickel (metal equivalent), down 1.5% year-on-year. It projects 2025 output between 37,000 and 39,000 tonnes. The sale will help Anglo prioritize high-margin projects in metals crucial to the global energy transition.

MMG expands presence as Brazil nickel exports to China fall

MMG, backed by state-owned China Minmetals Corporation, continues to secure upstream assets worldwide as China strengthens its control over energy transition metals. Despite the decline in Brazil's 2024 ferronickel exports to China—40,048 tonnes, down 36.3% from 2023—MMG’s acquisition signals confidence in long-term nickel demand.

Indonesia’s rise in nickel pig iron (NPI) output has pressured Brazilian exports, especially in the stainless steel sector. Meanwhile, Brazilian mining giant Vale is also reviewing its nickel portfolio, possibly considering divestment to sharpen competitiveness in its vertically integrated business model.

This transaction highlights shifting dynamics in global nickel supply as miners recalibrate for market volatility and the EV-driven demand surge.

Nickel Industries Acquires 51% Stake in Indonesian Nickel-Cobalt Project

Nickel Industries

Australian-based Nickel Industries has officially acquired a 51% stake in the Siduarsi nickel-cobalt project located in West Papua, Indonesia, as announced on Monday. This acquisition is part of a larger agreement made in September 2021 with Iriana Mutiara Mining, which grants Nickel Industries the opportunity to eventually own 100% of the project, contingent upon certain conditions being met.

Further Investment Potential in Siduarsi Project

Nickel Industries has the potential to expand its stake to 82.5% pending the approval of a feasibility study by the Indonesian Mines Department. The Siduarsi deposit covers 16,470 hectares and is estimated to hold 52 million dry metric tonnes of mineral resources, with nickel concentrations at 1.1% and cobalt at 0.1%.

Initial testing has confirmed that the deposit’s limonite and saprolite ores are suitable for high-pressure acid leaching (HPAL) and rotary kiln electric furnace (RKEF) operations. According to Nickel Industries managing director Justin Werner, the primary focus will be on shipping limonite ore directly to the Weda Bay Industrial Park, though the potential for HPAL processing offers opportunities for producing higher-value products like mixed hydroxide precipitate (MHP), nickel sulphate, and nickel cathode.

Nickel Industries already has significant interests in Indonesia, including an 80% stake in four nickel projects and a stake in two HPAL projects, producing a variety of nickel products, including NPI, matte, MHP, and nickel sulphate.

Nickel Market Surplus 2025 to Reach 198,000t on Indonesian Output Growth: INSG

Nickel Factory

Surplus Widens as Global Nickel Supply Outpaces Demand

The nickel market surplus in 2025 is expected to reach 198,000 tonnes, according to the International Nickel Study Group (INSG). This marks an increase from 170,000t in 2023 and 179,000t in 2024, driven largely by continued production expansion in Indonesia across all major nickel product types. Global primary nickel production is forecast at 3.735mn tonnes, while demand lags behind at 3.537mn tonnes.

Indonesia Leads Supply Growth Despite Ore and Royalty Headwinds

Indonesia remains the engine of global nickel supply, despite recent permit issuance delays and the introduction of a new royalty regime based on the Harga Mineral Acuan, a price benchmark tied to LME nickel pricing. The full impact of these changes on mining output is still unclear. Meanwhile, China is also ramping up production of nickel cathode and nickel sulphate, although its nickel pig iron (NPI) output is expected to decline.

Mixed Demand Outlook: Stainless Steel Grows, Battery Demand Slows

The nickel market surplus in 2025 also reflects shifting demand trends. The stainless steel sector is projected to grow further, supporting baseline nickel consumption. However, demand from the EV battery sector is expected to slow due to rising use of non-nickel chemistries and increased adoption of plug-in hybrid vehicles. Still, new ternary cathode projects globally may support medium-term nickel usage recovery.

The Metalnomist Commentary

The projected nickel market surplus in 2025 signals continued pressure on prices. As Indonesia leads global production, market rebalancing may hinge on battery chemistry shifts and Chinese industrial demand.

Canada Nickel Secures Ontario Grant for New Nickel Processing Facility

Canada Nickel

Ontario Supports Canada Nickel’s Nickel Processing Expansion

Canada Nickel has received a C$500,000 ($349,000) grant from Ontario’s Critical Minerals Innovation Fund. The funding will support the company’s efforts to complete a feasibility study for a new nickel processing facility near Timmins, Ontario.

CEO Mark Selby confirmed that the feasibility study is set to take place later this year. The study will refine project costs, with current estimates requiring C$400 million for full development.

Production Goals and Market Focus

The upcoming facility aims to produce over 75,000 metric tonnes per year of nickel. This figure is slightly lower than the initial target of 80,000 t/yr. The plant is expected to begin operations in late 2027.

It will produce 98% purity nickel-cobalt material, serving the stainless steel, alloyed steel, and electric vehicle (EV) battery markets. This aligns with growing demand for high-purity nickel, particularly in the EV sector, which relies on nickel-rich cathode materials.

Canada’s Role in the Global Nickel Market

The Canadian government continues to invest in critical mineral projects. Ontario’s funding highlights the region’s commitment to strengthening domestic nickel supply chains. This project could boost Canada’s position as a key supplier in the global nickel and battery metals market.

With rising demand for sustainable nickel processing, this facility could play a major role in future clean energy technologies.

China Nickel Sulphate Market Holds Firm Amid Supply Tightness and Weak NCM Demand

Nickel Sulphate

China nickel sulphate prices have remained stable for over a month due to constrained supply and sluggish demand from the NCM battery sector. Despite declining output and elevated feedstock costs, producers have resisted lowering prices to protect margins. The China nickel sulphate market is now facing a complex supply-demand imbalance shaped by both upstream disruptions and shifting downstream preferences.

Feedstock Supply Disruptions Tighten Production Margins

Nickel sulphate output in April dropped to 30,000 tonnes (nickel metal equivalent), down 13% month-on-month and 18% year-on-year. Cumulative output for January–April stood at 127,000 tonnes, 1.6% lower than the previous year, according to CNIA data. This production cut stems from limited availability of mixed hydroxide precipitate (MHP) and nickel matte, both critical inputs for sulphate production. Heavy rainfall in Morowali, Indonesia, disrupted MHP production in March and April, reducing output by 5,500 tonnes. At the same time, matte producers in China shifted to more profitable nickel pig iron (NPI), reducing matte availability. Consequently, the payable indicators for MHP and matte rose significantly, eroding margins and compelling some plants—like those in Guangxi—to convert from matte to MHP feedstock. These factors have kept the China nickel sulphate market tight despite weak demand.

NCM Battery Demand Shrinks as LFP Dominance Grows

While supply tightens, demand has faltered. NCM and NCA batteries, once dominant, have lost significant market share to lithium iron phosphate (LFP) chemistries. As of April, NCM batteries accounted for just 20% of China’s battery output, while NCA stood at 17%, down from a combined 65% in 2019. This shift has impacted upstream nickel demand, causing several international projects to stall. In recent months, Eramet and BASF withdrew from their Weda Bay refining JV, and Hanrui Cobalt cancelled its MHP investment in Indonesia. Meanwhile, automakers like Volkswagen are pivoting toward LFP technology to cut costs. Demand for NCM batteries is expected to remain weak through Q2 2024, with some exporters front-loading shipments earlier in the year due to global trade tensions. As a result, the China nickel sulphate market remains under pressure, with producers navigating tight margins amid uncertain downstream growth.

The Metalnomist Commentary

China’s nickel sulphate market exemplifies the structural turbulence within the EV battery supply chain. As feedstock constraints collide with weakening demand for NCM chemistries, producers must brace for lower growth visibility and rising volatility across Asia’s nickel value chain.

EU Selects 47 Strategic Raw Materials Projects Under CRMA

EU

New Projects Aim to Boost European Raw Material Independence

The European Commission has announced 47 strategic raw materials projects across 13 EU countries under the Critical Raw Materials Act. These initiatives are part of the EU’s push to reduce foreign dependence and strengthen domestic supply chains by 2030.

The selected projects span extraction, processing, recycling, and substitution of key metals like lithium, nickel, and graphite. In total, they are expected to require €22.5 billion ($24.3 billion) in capital investment, with an accelerated permitting timeline.

Lithium and Nickel Dominate Strategic Focus

Among the 47 projects, 22 are focused on lithium, 12 on nickel, and 10 on cobalt—metals vital for green energy transitions. Projects also cover graphite, manganese, tungsten, and magnesium, all critical for battery, defense, and digital industries. The EU has set targets to meet 10% of its raw material extraction and 40% of processing needs internally by 2030. Savannah Resources’ Barroso lithium project in Portugal is among the featured initiatives with strategic classification status.

Stockpiling and Geopolitical Implications

The Commission is now gathering data on national stockpiles to assess safe storage levels for critical materials across the bloc. An EU raw materials center may coordinate stockpiling efforts starting next year, aligning with global practices in the US and China.

Given global geopolitical shifts, including US leadership changes, the EU is intensifying its focus on material security strategies. Officials stress that European clean tech independence should not lead to new forms of dependency—especially on China.

The Metalnomist Commentary

The EU's selection of 47 strategic raw materials projects signals a shift toward regional autonomy in critical mineral supply chains. If executed on time, the CRMA framework could reshape Europe's role in the global energy and defense materials landscape. However, execution speed and political cohesion across member states will ultimately determine the strategy’s success.

US Flags 10 New Mining Projects for Fast-Tracked Permitting Under Critical Minerals Push

U.S Critical Minerals Mining

US critical minerals permitting accelerates with second wave of fast-tracked projects

The US government has added 10 new mining and metals projects to its expedited permitting initiative to boost domestic critical mineral supply. Overseen by the Federal Permitting Improvement Steering Council, the selected projects include copper, nickel, lithium, uranium, and vanadium developments across Minnesota, New Mexico, and Nevada. Each project is at a different stage in the federal and state permitting pipeline.

Projects span key materials vital to energy, defense, and manufacturing

The newly flagged projects include NewRange's NorthMet copper-nickel project in Minnesota, Energy Fuels’ Roca Honda uranium and vanadium project in New Mexico, and 3PL’s Railroad Valley lithium exploration project in Nevada. These projects will soon appear on the Permitting Council’s dashboard with their respective timelines, providing more transparency and predictability in the permitting process. This is a critical step toward advancing long-term mineral security.

Federal push aligns with broader energy dominance and reshoring agenda

The US critical minerals permitting effort is part of a broader initiative to limit foreign dependence and enhance national security. President Trump’s March executive order instructed federal agencies to identify pending mining projects across 50 USGS-listed critical minerals and additional strategic materials like uranium, copper, potash, and gold. The Permitting Council plans to continue selecting more qualifying projects in the coming months to support reshoring and energy independence goals.

The Metalnomist Commentary

The expanded US critical minerals permitting list highlights a policy shift toward streamlined approvals for strategic mining projects. As geopolitical competition intensifies, these actions could reshape global supply chains by fostering domestic sourcing and reducing exposure to import disruptions.

EU Selects 13 Strategic Raw Material Projects Outside the Bloc

EU strategic raw material projects

EU Seeks to Diversify Critical Mineral Supply Chains

The European Commission has approved 13 strategic raw material projects outside the European Union, estimating a total capital investment of €5.5bn ($6.26bn) to bring them online. Chosen from 49 applications, these projects span Brazil, Canada, Greenland, Kazakhstan, Madagascar, Malawi, New Caledonia, Norway, Serbia, South Africa, the UK, Ukraine, and Zambia. Under the 2024 EU Raw Materials Act, the bloc aims by 2030 to domestically extract 10pc, process 40pc, and recycle 25pc of 17 strategic raw materials. Additionally, no single third country should supply more than 65pc of annual EU consumption.

Targeting Lithium, Nickel, Cobalt, Manganese, and Rare Earths

Ten of the approved projects focus on lithium, nickel, cobalt, manganese, and graphite, while two — Songwe Hill in Malawi and Zandkopsdrift in South Africa — will extract rare earth elements. Other notable initiatives include Rio Tinto’s Jadar lithium and boron project in Serbia, the Integrated Dumont Nickel Project in Canada, Kobaloni Energy’s cobalt processing in Zambia, and Balakhivka Graphite Deposit in Ukraine. The EU will provide coordinated support, including facilitating finance and connecting projects with potential off-takers. Industrial commissioner Stephane Sejourne emphasised that diversifying away from dependency on countries like China is critical, given current reliance levels exceeding 100pc in some refining and recycling segments.

The Metalnomist Commentary

The EU’s latest selections mark a significant expansion of its global strategic raw material network, signalling an urgent push to secure supplies ahead of the 2030 targets. While the €5.5bn investment is substantial, long-term success will depend on execution speed, environmental considerations, and stable geopolitical relations with host nations.

Huayou Cobalt Reports Surge in Nickel and Cobalt Shipments Amidst Expanding Global Demand

In a strong showing for the first half of 2024, Huayou Cobalt, one of China's leading producers of battery materials and metals, reported significant increases in shipments of cobalt, nickel, and lithium-ion battery precursors. The company disclosed that its cobalt shipments rose by 13% year-on-year, reaching 23,000 tons from January to June. Nickel shipments saw an even more substantial rise, increasing by over 40% to 76,000 tons during the same period. These figures also account for materials used internally.

Shipments of lithium-ion battery precursors, which include ternary precursors and cobalt tetroxide, grew by 11% to 67,000 tons. However, shipments of cathode active material (CAM) slightly declined to 53,000 tons. Additionally, Huayou shipped over 100 tons of sodium-ion battery precursors in the first half of the year.

The company attributed the strong demand for its products to robust downstream segments. Industry data cited by Huayou revealed a 15% year-on-year increase in global power battery installations, totaling 346 GWh for the first half of the year. Despite this, China's production of ternary CAM slightly dipped by 1% to 300,000 tons, as lithium iron phosphate batteries dominated the market due to lower manufacturing costs. However, the adoption of high-nickel ternary batteries is anticipated to gain momentum, likely driving further demand for nickel-based materials.

The consumer electronics sector also showed signs of recovery during the same period. Global shipments of smartphones and personal computers rose by 11% and 5.5%, respectively, reaching 585 million and 120 million units.

Huayou's international projects continue to show progress. The Huafei project in Indonesia, with an annual capacity of 120,000 tons of nickel metal equivalent, reached its design capacity by the end of Q1. The Huayue project, also in Indonesia, and the Huake nickel matte project maintained stable production. Huayou is advancing key nickel projects in partnership with Ford and Vale in Indonesia. Additionally, the company’s 50,000 tons/year lithium salts plant in Guangxi province, China, has reached full capacity, supported by feedstock from the Arcadia mine in Zimbabwe.

Huayou is also expanding its global footprint with the construction of a 50,000 tons/year ternary precursor project in Indonesia and a 25,000 tons/year ternary CAM project in Hungary.

China’s Nickel Sulphate Prices Rise as Producers Struggle with Mounting Losses

China’s Nickel Sulphate

Chinese nickel sulphate producers increased prices following the Golden Week holiday to offset growing losses, as raw material prices for class 1 nickel and mixed hydroxide precipitate (MHP) rose. On October 10, these producers reported a nearly 2,000 yuan per tonne ($283/t) loss, up from a 500 yuan loss before the holiday, driven by international nickel and MHP price hikes.

Following these losses, producers raised nickel sulphate offers by around 1,000 yuan to reach 27,800-28,200 yuan per tonne on October 11, up from 26,800-27,200 yuan before the holiday. Despite this increase, market activity remains low due to ample inventory and a declining outlook in the electric vehicle (EV) sector, particularly in the fourth quarter.

Limited Demand Despite Supply Adjustments

Nickel sulphate is vital for the production of batteries in the EV industry, which comprises nearly all battery demand in China. However, weak downstream interest has dampened pricing, as cathode active material (CAM) prices, specifically nickel-cobalt-manganese (NCM), have remained stable post-holiday. Many suppliers, seeking to avoid further price drops, are destocking their inventories, further affecting demand.

The country imported 122,272 tonnes of MHP and 68,227 tonnes of nickel matte in August, primarily from Australia, Papua New Guinea, Indonesia, and New Caledonia. While many sulphate producers continued output to retain market share, low profitability has forced others to delay new projects, including planned expansions in Guangxi and Guizhou.

Recent data from the China Automotive Battery Innovation Alliance show that newly installed power-battery volumes rose by 33% year-on-year to 292.1GWh from January to August. However, nickel sulphate output held steady at around 380,000 tonnes, indicating that destocking and overstocking issues from previous years continue to impact the industry. "We aren’t seeing significant demand growth due to ongoing destocking efforts after EV producers overestimated their needs in 2021-22," noted an NCM CAM producer.

Eramet Signs Nickel Deal with Indonesian Sovereign Funds to Expand EV Battery Ecosystem

Eramet Group

Partnership Targets Integrated Mining and Processing Value Chain in Indonesia

Eramet signs nickel deal with Indonesian sovereign funds to advance a sustainable and integrated electric vehicle (EV) battery raw materials ecosystem in Indonesia. The French mining group signed an initial agreement with Danantara and the Indonesia Investment Authority (INA), both sovereign investment agencies. Together, they aim to identify key projects and develop a roadmap for upstream and downstream EV value chain development.

The partnership will leverage long-term capital from Danantara and INA to finance critical infrastructure, while Eramet will lead the mining and processing operations. These projects will align with global environmental and social standards. This strategic collaboration comes as Indonesia strengthens its position as a hub for nickel-based EV battery materials, particularly amid global supply chain diversification efforts.

Eramet already holds a 38.7% stake in PT Weda Bay Nickel in partnership with China’s Tsingshan Group, producing nickel and ferronickel. The company has expressed plans to expand its nickel operations in Indonesia by acquiring new mining permits. However, with the Indonesian government tightening permit issuance, partnerships with state-backed investors offer Eramet a pathway to secure strategic access. As Eramet signs nickel deal with Indonesian sovereign funds, it reinforces Indonesia’s emergence as a global center for battery metals.

The Metalnomist Commentary

Eramet’s alliance with Indonesian sovereign funds highlights a growing trend: securing nickel supply through vertically integrated, ESG-compliant partnerships. As Indonesia tightens mining access, collaboration with state capital becomes essential for companies seeking long-term footholds in EV-critical materials.

Indonesia’s Nickel Ambitions Face Obstacles Amid HPAL Expansion

HPAL

Indonesia is poised to increase its nickel production in the coming years, primarily by boosting its high-pressure acid-leaching (HPAL) capacity. However, this ambitious plan faces significant hurdles, notably the scarcity of sulphuric acid and challenges in managing tailings waste effectively. Despite these concerns, production is still expected to grow, even as the global nickel market anticipates a surplus.

Sulphuric Acid Supply and Tailings Management: Key Challenges

The HPAL process relies heavily on sulphuric acid to extract nickel and cobalt from ore, producing mixed hydroxide precipitate (MHP), which is essential for downstream nickel sulphate and battery production. Indonesia is projected to produce between 325,000 to 345,000 tons of MHP this year, a jump from 269,000 tons in 2023. With several new MHP projects on the horizon, output is expected to rise significantly, potentially tripling to 800,000-900,000 tons by 2026, as highlighted by Indonesia's Deputy Minister Septian Hario Seto during a recent metal industry event in London.

The increase in MHP production will necessitate more nickel ore and sulphuric acid, raising concerns about the sustainability of limonite ore supplies, which could deplete quickly like saprolite ore, currently used for nickel pig iron and matte production. The Indonesian government plans to address these issues with industry stakeholders.

Currently, Indonesia's four operational HPAL facilities—Huayou's Huayue and Huafei projects, GEM's QMB project, and Lygend's HPAL project—have been importing sulphuric acid primarily from China and South Korea. However, the rising cost has led some producers, such as Halmahera Persada Lygend, to switch to cheaper sulphur alternatives. The startup of new smelters, like Freeport McMoran's Manyar in Java and AMNT's copper smelter in Nusa Tenggara, is expected to add 3 million tons per year of acid capacity by 2025, potentially easing supply pressures.

Another critical issue is the proper disposal of tailings waste, which has come under increased scrutiny due to environmental, social, and governance (ESG) standards. The HPAL process generates substantial amounts of waste, with energy consultancy Wood Mackenzie estimating 1.4-1.6 tons of tailings per ton of nickel produced. Three disposal methods—tailings dams, deep sea disposal, and dry stacking—each have their risks, with dry stacking viewed as the more sustainable option. Yet, Indonesia’s wet climate and seismic activity pose challenges for safe waste storage.

To ensure the successful expansion of its HPAL production, Indonesia must secure a stable supply of sulphuric acid and implement sustainable methods for managing tailings waste. Addressing these issues is critical for maintaining the momentum in the country’s nickel production growth while adhering to stricter ESG standards.

Mosaic Exits Lithium Exploration to Refocus on Gold and Nickel

Mosaic Minerals

Mosaic Minerals Shifts Strategy Amid EV Market Slowdown

Mosaic Minerals, a Canadian mining exploration firm, has announced its exit from lithium exploration to refocus on gold and nickel projects. The decision comes as the company cites overhyped electric vehicle (EV) growth expectations and low-cost foreign lithium competition as deterrents.

Mosaic holds 11 lithium assets across 78,248 hectares in Quebec. However, CEO Jonathan Hamel noted that profitable development is now “highly unlikely” given current global lithium dynamics.

Gold and Nickel to Drive Mosaic’s Growth Strategy

Instead, Mosaic will prioritize assets with more sustained global demand, particularly in gold and nickel exploration. Geopolitical tensions and inflationary pressures have fueled renewed investor interest in gold, making it a strategic focus.

The company’s Amanda Gold Project, wholly owned by Mosaic, covers 7,677 hectares in James Bay, Quebec. Mosaic also owns the Gaboury Nickel Project, located 11km from the historic Loraine Mine in Témiscamingue.

Resource Realignment Reflects Broader Market Trend

As EV sector growth cools and raw material prices fluctuate, more junior miners are reevaluating lithium investments. Mosaic’s shift underscores a growing trend toward diversification and defensible assets in the mining sector.

The Metalnomist Commentary

Mosaic’s strategic pivot is a telling sign of the reset in lithium investor sentiment. With gold and nickel gaining favor, junior explorers may increasingly chase assets with clearer economic visibility and geopolitical value.

China's GEM Increases Battery Material Sales in 1H

Sales Surge Driven by Full Capacity

Green Eco-Manufacture (GEM), a leading Chinese cobalt refiner and lithium cathode active material (CAM) precursor producer, reported a significant increase in sales of CAM precursors, cobalt, and nickel for the first half of the year. The company attributed this rise to full capacity operations across its main product lines.

GEM's sales of ternary precursors, including lithium nickel-cobalt-manganese (NCM) and lithium nickel-cobalt-aluminium (NCA), surged by 45% year-on-year to exceed 100,000 tons. The firm also experienced a remarkable 133% increase in ternary CAM sales, reaching 7,119 tons.

Expansion and Strategic Partnerships

In August, GEM secured a supply agreement with South Korean lithium-ion battery CAM manufacturer Ecopro for 265,000 tons of ternary precursors from 2025 to 2028. The company is also expanding its production capabilities, with a new 50,000 tons per year ternary precursor plant in Indonesia set to start operations in the latter half of this year.

GEM's cobalt tetroxide sales soared by 163% year-on-year to 10,500 tons, driven by higher demand from the consumer electronics sector. The company sources cobalt from long-term contracts with Switzerland-based Glencore and from its mixed hydroxide precipitate (MHP) projects in Indonesia.

Nickel Production and Cost Reduction Goals

GEM's nickel MHP shipments from its QMB project in Indonesia doubled to over 20,000 tons nickel metal equivalent during January-June, with a full capacity rate. The firm plans to expand its nickel smelting capacity to 150,000 tons per year by year-end and aims to ship 60,000 tons of MHP in 2024. GEM also targets reducing MHP smelting costs to $7,500 per ton by the end of the year, benefiting from decreased sulfuric acid costs.

The company is involved in recycling power batteries, cobalt, nickel, and tungsten scrap, with recycled cobalt shipments reaching 8,987 tons and power battery recycling up by 37% to 16,300 tons or 1.84 GWh in the first half of the year.

GEM serves a global client base, including South Korean firms like Ecopro, Samsung SDI, SK On, and LGC, Chinese companies such as XTC New Energy Materials and BYD, as well as international entities like Umicore, Sandvik, and Kennametal.

China's Weiming Advances Nickel Matte Project in Indonesia

Chinese environmental protection equipment manufacturer Weiming made significant progress on August 25 in its Jiaman high nickel matte project, located in the north Maluku province of Wedabay, Indonesia. The company began preheating the first side-blown converter, a critical step toward moving the equipment into the linkage debugging phase before full-scale production begins.

Jiaman, a joint venture between Weiming and Merit International Capital, has a nameplate capacity of 40,000 tons per year in nickel metal equivalent. The facility features four production lines, each capable of producing 10,000 tons of nickel metal equivalent annually.

The Jiaman project is notable for being the second in Indonesia to adopt the oxygen-enriched side-blowing furnace (OESBF) process, following a similar initiative by Chinese nickel and lithium-ion battery cathode active material (CAM) precursor producer CNGR in 2022. The OESBF process is considered cost-effective, utilizing ores with low nickel content and enabling the recovery of cobalt metal, according to CNGR.

Market observers are closely watching the development and feasibility of the OESBF process, as it remains an emerging technology.

In addition to the Jiaman project, Weiming is involved in two other high nickel matte projects in Indonesia, with production capacities of 40,000 tons and 50,000 tons per year, respectively. These ventures will bring Weiming's total nickel metal production capacity in Indonesia to 130,000 tons annually.

U.S. Department of Energy Amplifies Commitment to Critical Mineral Technologies with $17 Million Investment

Infinite Elements

Strengthening National Energy Security through Advanced Material Innovations

The U.S. Department of Energy (DoE) has announced a significant investment of $17 million in 14 cutting-edge critical mineral technology projects. This strategic initiative, spanning 11 states, is poised to bolster the nation's energy security and enhance domestic supply chains essential for clean and advanced technologies.

Targeted Improvements Across the Board

These projects, orchestrated by the DoE's Critical Materials Collaborative, aim to refine manufacturing processes for key technologies such as hydrogen fuel cells, semiconductors for electric vehicles, and components for wind and solar energy solutions. The focus extends to magnets used in wind turbines and motors, alongside advancements in battery and electronic technologies.

Key domestic materials like lithium, nickel, cobalt, rare earth elements, platinum group metals, silicon carbide, copper, and graphite are under exploration to expedite their commercial readiness, as per the DoE's strategy.

Highlighting Innovative Projects and Collaborations

Among the 14 projects, four are dedicated to developing magnets that require fewer critical materials. These are taking place in notable institutions and companies including the University of Texas at Arlington, Iowa State University’s Ames National Laboratory, ABB Inc., and Niron Magnetics Inc.

Furthermore, the DoE has funded six projects focused on enhancing the processing and manufacturing operations of critical materials. Collaborators in these projects include Free Form Fibers, Virginia Polytechnic Institute and State University, the University of North Dakota, Ames National Laboratory, Tennessee's Oak Ridge National Laboratory, and Summit Nanotech Corporation.

Recovery and recycling efforts are also part of this initiative, with two projects aimed at reclaiming critical materials from scrap and recycled products. These are underway at Texas Agricultural and Mechanical University and the metal recovery company, Infinite Elements.

The initiative's final push includes projects designed to reduce critical material content in clean energy technologies, involving innovators like hydrogen specialist Celadyne Technologies and battery pioneer COnovate.

McKinsey : Copper, Nickel, and Lithium Prices Must Rise to Drive Supply

McKinsey

McKinsey Warns Copper, Nickel, and Lithium Prices Must Rise to Meet Energy Transition Demand

Copper, nickel, and lithium prices will need to increase significantly from current levels to drive the investment needed to meet the demands of the energy transition, according to US consultancy McKinsey's Global Material Perspectives 2024 report, published yesterday. To bring sufficient supply online to meet expected global demand by 2035, copper prices will need to increase to $12,000/t, nickel prices to $21,000/t, and lithium carbonate prices to $19,000/t, assuming that all currently announced projects enter production. For copper, this represents an increase of 27% over today's official London Metal Exchange (LME) three-month price, while the nickel price is a 29% jump on today's LME price.

Prices for all three metals would need to increase even more dramatically if some of the announced projects do not progress to commercial operation, McKinsey said. Supply shortages are expected for several materials by 2035 or earlier, particularly for copper, which has longer development timelines than other materials such as lithium. Demand for lithium and nickel has increased since 2022, but lithium prices have fallen by approximately 80% and nickel prices by about 20% over the same timeframe. These drops represent a "normalisation" rather than a drastic shift in industry dynamics, as prices have moved closer to typical production costs, McKinsey said.

Scaling supply to meet demand will require as much as $5.4 trillion in capital expenditure and 270GW of power by 2035. Buyers not willing to pay premiums. There is currently limited appetite to pay a premium for greener material, according to McKinsey's survey of global industry players. Less than 15% of decision-makers are willing to pay a 10% premium for low-carbon metals by 2030, even if there is a scarcity of green material. The two sectors interested in paying a premium are the automotive and energy equipment sectors. This outlook could change as a result of measures such as the EU Emissions Trading System and Carbon Border Adjustment Mechanism, which are likely to impose higher costs on companies based on their carbon emissions.

Decarbonization is unfolding slower than required to support the Paris Agreement's goals, partly owing to this disconnect between decarbonization costs and buyers' willingness to pay for low-carbon material. Metal and mining emissions are expected to decrease by 15% over the next decade, with the industry potentially accounting for 13% of global emissions in 2035, or 6 gigatons of CO2 per year.

Brazil Allocates R5bn to Boost Critical Minerals Development

Bndes

Funding Expands Rare Earths, Lithium, and Graphite Projects

Brazil has awarded R5bn ($908mn) to support 56 critical mineral and research projects, signaling stronger investment in strategic resources. The funding, provided by the state development bank BNDES and federal agency Finep, will support mining and innovation initiatives tied to the energy transition.

Over 30% of the funds are directed toward rare earths and lithium, while graphite, copper, and silicon also feature prominently. The selection process included 53 companies, with major recipients such as Stellantis and Weg advancing energy and mobility-related projects.

High Demand Outpaces Available Financing

Brazil received requests for R45.8bn ($8.2bn), but only a fraction was financed. This underscores the strong demand for critical mineral project funding, with only R5bn allocated in the initial round. Applicants now must decide by 25 July whether to pursue loans, equity, grants, or subsidies.

Projects targeting platinum group metals, nickel, niobium, and titanium also received backing, highlighting Brazil’s broad resource base. The program prioritizes projects with research and development plans that support decarbonization and clean energy technologies.

Brazil’s Strategic Position in Global Supply Chains

Brazil holds leading reserves of niobium, graphite, nickel, rare earths, silicon, and lithium. This positions the country as a critical supplier in global energy transition supply chains. According to BNDES, Brazil is the world’s top niobium producer and ranks among the top five globally for several other strategic minerals.

The allocation of funds aims to accelerate local processing, innovation, and integration into global supply chains. As energy security and geopolitical pressures reshape markets, Brazil’s role in critical minerals is likely to grow in importance.

The Metalnomist Commentary

Brazil’s R5bn critical minerals funding demonstrates strategic prioritization of resources essential to the energy transition. While financing demand far exceeded available capital, the program highlights Brazil’s ambition to move beyond raw exports toward innovation-driven value chains. Long-term success will hinge on ensuring that projects deliver both economic returns and sustainability outcomes.

Posco Argentinian Lithium Projects Delayed Amid Prolonged Price Slump

Argentinian Lithium Projects

South Korea’s Posco has delayed completion of its Argentinian lithium projects by six months, citing sluggish lithium price recovery. The Posco Argentinian lithium projects were originally set to complete Phase 2 by Q3 2025 but are now rescheduled for Q1 2026.

Phase 2 Pushed Back as Market Conditions Weaken

Posco began operating its 25,000 t/yr lithium hydroxide plant in Argentina last year. The planned Phase 2 would have doubled capacity to 50,000 t/yr through a connected upstream brine project. However, weak lithium prices and soft global demand forced a schedule revision. The company now aims to optimize production systems and ramp up Phase 1 by late 2025.

This move reflects Posco’s strategic adjustment amid a volatile market. In its April 24 report, Posco highlighted the need for operational flexibility in response to sustained pricing pressures.

Lithium Price Pressure Forces Broader Strategic Realignment

The lithium downturn also contributed to Posco ending its nickel refinery joint venture with China’s CNGR. The JV’s liquidation will complete by June, marking a retreat from previously planned upstream battery material partnerships.

Meanwhile, Posco Future M—Posco's battery materials subsidiary—posted quarterly revenue growth of 17% but a 26% decline year-on-year. Profitability rebounded modestly, helped by rising sales of high-nickel cathode active material (CAM) and growing demand for non-Chinese anode active material (AAM).

China Price Slide Highlights Global Supply Chain Fragility

Chinese lithium carbonate prices remain under pressure due to weakened demand and US-China trade tensions. As of 22 April, lithium carbonate prices dropped to ¥69,000–72,000/t ($9,463–9,874/t), extending a multi-week decline. This pricing environment complicates investment timelines and return expectations for global lithium projects.

The Metalnomist Commentary

Posco’s delay reflects broader capital discipline across the lithium sector amid persistent price volatility. With Phase 2 postponed, the company is signaling caution, while still committing to its long-term battery supply chain strategy in South America.

Anglo American Faces Decline in Copper, Nickel, and PGM Output in 2024

Anglo American

Decreased Production from Chile, Peru, and South Africa Affects Key Metals

Anglo American, the UK-South African mining giant, reported a drop in its copper, nickel, and platinum group metals (PGMs) output for 2024. This decline, particularly from its assets in Chile, Peru, and South Africa, reflects challenges faced in production and ongoing operational adjustments.

Copper Production Decline Driven by Chile and Peru

Anglo American’s total copper output for 2024 decreased by 6%, reaching 772,700 tonnes. Copper production in Chile dropped by 8% to 466,400 tonnes, with a 20% decline at the Los Bronces mine, which was placed on care and maintenance in July. Additionally, production at the Collahuasi mine fell by 3%, though higher grades at El Soldado partially offset these declines, with a 22% output increase.

In Peru, the Quellaveco mine saw a 4% reduction in copper output to 306,300 tonnes, due to lower grades and recoveries. Anglo American’s Q4 copper output also saw a notable drop, decreasing by 14% to 197,500 tonnes compared to the previous year.

Looking ahead, the company projects copper production to range between 690,000 and 750,000 tonnes in 2025, with an expectation of increasing production to 760,000 to 820,000 tonnes in 2026 and 2027.

Nickel and PGM Production Challenges

Nickel output for Anglo American fell by 2% in 2024, totaling 39,400 tonnes. A 13% drop in production at the Codemin site in Brazil was partially offset by a 2% increase at the Barro Alto plant due to operational improvements. In Q4, nickel production declined by 10%, amounting to 10,000 tonnes, primarily due to planned lower grades.

The company also faced a 7% decline in PGM production from its operations, including mines in South Africa and Zimbabwe. Full-year production of PGMs in concentrate decreased to 3.55 million ounces. However, refined PGM production rose by 3%, reaching 3.92 million ounces in 2024. In 2025, Anglo American expects to produce between 3 million and 3.4 million ounces of PGMs.

Manganese Ore Decline and Future Expectations

Anglo American’s manganese ore production fell sharply by 38% to 2.29 million tonnes in 2024. This was largely due to the suspension of Australian operations following damage caused by Tropical Cyclone Megan in March.

Despite the setbacks in 2024, the company’s projections for future production of copper, nickel, and PGMs indicate a positive outlook for 2025 and beyond, as it continues to adjust operations and focus on optimizing output at key sites.