Costs to rise on nickel

The operations director of leading WA nickel producer Western Areas NL has warned declining supply in the nickel sulphide industry will precipitate rising energy and production costs.

On the first day of the Paydirt Australian Nickel Conference in Perth yesterday, Western Areas director of operations Daniel Lougher said the lack of major new nickel sulphide discoveries had pushed the sector towards lower grade disseminated sulphides and nickel laterites which were more costly and energy intensive.