The overhaul of the Albanese government’s critical minerals strategy offers no relief to the besieged nickel industry, which faces further job losses at BHP-owned mines.
BHP said its Nickel West business was not immune to the challenges suffocating the sector where some mines have shut down, and fellow producer Panoramic Resources was tipped into administration this week. Nickel West asset president Jessica Farrell said uncertainty had swept through the Australian nickel industry.
“We are working hard to remain globally competitive in a very tough operating environment. Costs have risen sharply and continue to go up while prices have fallen as new supply comes into the market,” she said.
Industry sources estimate Nickel West has been losing tens of millions of dollars a month. Andrew Forrest, meanwhile, is battling to keep open the Mincor nickel mines his Wyloo Metals business acquired for $760 million in July.
For the rest of this article: https://www.afr.com/companies/mining/bhp-issues-dire-warning-on-nickel-mines-20231215-p5ertg