Nickel demand boosts mineral output

Gold retained the second spot with 37 percent or P36.90 billion, while copper took the third position with 14 percent or P14.40 billion.

The country’s metallic mineral production registered sustained growth during the first three quarters of 2019, according to the Mines and Geosciences Bureau (MGB).

The agency has attributed this to increased international demand for nickel ore and a decreased source of the commodity as the result of an export ban imposed by Indonesia.

Presently, Indonesia remains the world’s largest nickel-producing country recording an output of 560,000 tons in 2018, This was followed by the Philippines, which posted production of 340,000 tons during the same year

MGB also said the country’s metallic production value posted a 6.5 percent or P6.09 billion growth from P93.48 billion during the first three-quarters last year. It also attributed the growth to the country’s continuous nickel ore export to China, which has limited nickel resources.

“Despite the 1.24 percent slip in the average nickel price, nickel direct shipping ore with the aid of its other products (mixed nickel-cobalt sulfide and scandium oxalate) again took the spotlight, accounting for 48 percent or P47.36 billion of the total value during the period,” the report said.

Gold retained the second spot with 37 percent or P36.90 billion, while copper took the third position with 14 percent or P14.40 billion.

MGB said the remaining 1 percent was cornered by silver and chromite with P900 million.

Metal prices of nickel, copper and silver all went down. Prices of copper declined from $3.00 per pound to $2.72 per pound year-on-year. Nickel, likewise, slipped from $6.13 per pound to $6.05 per pound year-on-year.

“It is important to note, however, that the price of nickel has been going up from July to September 2019. In September alone, the price was at $8.01 per pound,” MGB said.

In contrast, prices of yellow metal rose by as much as $79.72 from $1,283.27 per troy ounce in 2018 to $1,362.99 per troy ounce in 2019.