Both raw materials are used in the batteries of electric vehicles.
While there are uncertainties surrounding economic growth in China and emerging markets, Moody's Investor Service expects improved conditions for the global metals and mining industry. Fundamentals for key commodities look good, as do activity indicators in China and other major economies. Demand for battery metals such as nickel or cobalt and base metals should remain strong. This is because the clean energy theme will create demand. If demand from electromobility grows, this will also reduce inventories, even if there is still enough nickel at the moment.
In the case of nickel in particular, inventories have barely increased in recent weeks. Experts therefore believe that the current price weakness for nickel is exaggerated. In addition, Russia is one of the most important suppliers of high-grade nickel, so there could be restrictions on nickel exports from Russia. And Russia has a 17 percent market share of nickel class one.
In the case of cobalt, an indispensable component of rechargeable batteries for electric cars or smartphones, the dilemma is that the largest global reserves are located in the Congo, a country with difficult domestic politics. And there is no substitute for cobalt as part of rechargeable batteries. Cobalt, a strategic raw material, is also used in special superalloys and for very strong tools. For Europe, cobalt production sources that, in contrast to Congo, can score with high environmental compatibility are of course important.
Cobalt exists, for example, at Mawson Gold's - https://www.commodity-tv.com/ondemand/companies/profil/mawson-gold-ltd/ - Rajapalot gold-cobalt project in Finland.
In Ontario, Canada Nickel Company - https://www.commodity-tv.com/ondemand/companies/profil/canada-nickel-company-inc/ - owns nickel and cobalt at its main Crawford project.
Current corporate information and press releases from Mawson Gold (- https://www.resource-capital.ch/en/companies/mawson-gold-ltd/ -) and Canada Nickel Company (- https://www.resource-capital.ch/en/companies/canada-nickel-company-inc/ -).
In accordance with §34 WpHG I would like to point out that partners, authors and employees may hold shares in the respective companies addressed and thus a possible conflict of interest exists. No guarantee for the translation into English. Only the German version of this news is valid.
Disclaimer: The information provided does not represent any form of recommendation or advice. Express reference is made to the risks in securities trading. No liability can be accepted for any damage arising from the use of this blog. I would like to point out that shares and especially warrant investments are always associated with risk. The total loss of the invested capital cannot be excluded. All information and sources are carefully researched. However, no guarantee is given for the correctness of all contents. Despite the greatest care, I expressly reserve the right to make errors, especially with regard to figures and prices. The information contained herein is taken from sources believed to be reliable, but in no way claims to be accurate or complete. Due to court decisions, the contents of linked external sites are also co-responsible (e.g. Landgericht Hamburg, in the decision of 12.05.1998 - 312 O 85/98), as long as there is no explicit dissociation from them. Despite careful control of the content, I do not assume liability for the content of linked external pages. The respective operators are exclusively responsible for their content. The disclaimer of Swiss Resource Capital AG also applies: https://www.resource-capital.ch/en/disclaimer/
While there are uncertainties surrounding economic growth in China and emerging markets, Moody's Investor Service expects improved conditions for the global metals and mining industry. Fundamentals for key commodities look good, as do activity indicators in China and other major economies. Demand for battery metals such as nickel or cobalt and base metals should remain strong. This is because the clean energy theme will create demand. If demand from electromobility grows, this will also reduce inventories, even if there is still enough nickel at the moment.
In the case of nickel in particular, inventories have barely increased in recent weeks. Experts therefore believe that the current price weakness for nickel is exaggerated. In addition, Russia is one of the most important suppliers of high-grade nickel, so there could be restrictions on nickel exports from Russia. And Russia has a 17 percent market share of nickel class one.
In the case of cobalt, an indispensable component of rechargeable batteries for electric cars or smartphones, the dilemma is that the largest global reserves are located in the Congo, a country with difficult domestic politics. And there is no substitute for cobalt as part of rechargeable batteries. Cobalt, a strategic raw material, is also used in special superalloys and for very strong tools. For Europe, cobalt production sources that, in contrast to Congo, can score with high environmental compatibility are of course important.
Cobalt exists, for example, at Mawson Gold's - https://www.commodity-tv.com/ondemand/companies/profil/mawson-gold-ltd/ - Rajapalot gold-cobalt project in Finland.
In Ontario, Canada Nickel Company - https://www.commodity-tv.com/ondemand/companies/profil/canada-nickel-company-inc/ - owns nickel and cobalt at its main Crawford project.
Current corporate information and press releases from Mawson Gold (- https://www.resource-capital.ch/en/companies/mawson-gold-ltd/ -) and Canada Nickel Company (- https://www.resource-capital.ch/en/companies/canada-nickel-company-inc/ -).
In accordance with §34 WpHG I would like to point out that partners, authors and employees may hold shares in the respective companies addressed and thus a possible conflict of interest exists. No guarantee for the translation into English. Only the German version of this news is valid.
Disclaimer: The information provided does not represent any form of recommendation or advice. Express reference is made to the risks in securities trading. No liability can be accepted for any damage arising from the use of this blog. I would like to point out that shares and especially warrant investments are always associated with risk. The total loss of the invested capital cannot be excluded. All information and sources are carefully researched. However, no guarantee is given for the correctness of all contents. Despite the greatest care, I expressly reserve the right to make errors, especially with regard to figures and prices. The information contained herein is taken from sources believed to be reliable, but in no way claims to be accurate or complete. Due to court decisions, the contents of linked external sites are also co-responsible (e.g. Landgericht Hamburg, in the decision of 12.05.1998 - 312 O 85/98), as long as there is no explicit dissociation from them. Despite careful control of the content, I do not assume liability for the content of linked external pages. The respective operators are exclusively responsible for their content. The disclaimer of Swiss Resource Capital AG also applies: https://www.resource-capital.ch/en/disclaimer/
