Nickel was hot last month when it comfortably outperformed a better-known metal, gold. It’s even hotter today.
A 30% rise in the price of nickel in the two months to early August has morphed into a 50% rise over three months, more than three-times the 15.5% rise in the headline-grabbing increase in the price of gold.
Over the past few days the nickel price has stormed up to a five-year high of $8.28/lb forcing investment banks to reconsider their previously cautious forecasts for the metal which is mainly used in the production of stainless steel, with increasing demand for its use in rechargeable batteries such as those used in electric cars (EVs).
In September 2017, Anglo Pacific Group PLC (LON:APF) entered into a royalty agreement with Brazilian Nickel Ltd (Brazilian Nickel) to acquire an initial 1% gross revenue royalty over the Piauí nickel-cobalt project.