World’s largest nickel mine to cut output sharply to support prices
Indonesia’s PT Weda Bay Nickel, the world’s biggest nickel mine, has been assigned a reduced production quota of 12 million tons of ore for 2024, down significantly from 42 million tons planned for 2025. This move by Indonesian authorities aims to boost global nickel prices.
Located on the island of Halmahera in North Maluku province, the mine is owned by Tsingshan Holding Group Co., France’s Eramet SA, and PT Aneka Tambang. Eramet confirmed the quota reduction on Wednesday and announced its intention to request a revision. The mine accounts for about 17% of global nickel production, making this cut highly impactful. Following this news, shares of the Russian company Norilsk Nickel began to rise.
This decision may signal other producers to limit supply on the global nickel market, potentially driving prices higher amid growing demand.
