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The prospects for nickel What price new capacity?
Author(s) -
Len Jim
Publication year - 1990
Publication title -
natural resources forum
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 0.646
H-Index - 49
eISSN - 1477-8947
pISSN - 0165-0203
DOI - 10.1111/j.1477-8947.1990.tb00517.x
Subject(s) - economics , nickel , supply and demand , agricultural economics , monetary economics , natural resource economics , macroeconomics , chemistry , organic chemistry
The average LME nickel price in 1988 was $6.26/lb and in 1989 was $6.00/lb. This contrasts with an average price of $2.11/lb over the period 1982–87. The reasons for this run up on price include increased demand for stainless steel (the largest use of nickel), reflecting the period of sustained economic growth in the OECD countries, and the decline in market stocks which reached unusually low levels in 1987 and 1988. Forecasts of nickel supply and demand for 1990 and beyond are presented and the need for additional capacity estimated. In general new greenfield capacity will not be needed until the late 1990s.