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Indian Minerals Yearbook 2013

(Part- II : Metals & Alloys)

52nd Edition

NICKEL

(FINAL RELEASE)

GOVERNMENT OF INDIA MINISTRY OF MINES

INDIAN BUREAU OF MINES

Indira Bhavan, Civil Lines, NAGPUR 440 001

PHONE/FAX NO. (0712) 2565471 PBX : (0712) 2562649, 2560544, 2560648

E-MAIL : cme@ibm.gov.in Website: www.ibm.gov.in

May, 2015

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NICKEL

12 Nickel

Nickel, when added in small quantity to iron,increases its properties manifold and makesthe product hard and stainless. The reasonbehind the demand of primary nickel all over theworld is for the production of stainless steel.When it is used in plating, it makes the surfaceta rn i sh- res i s tan t and prov ides po l i shedappearance.

Nickel is not produced from primary sourcesin the country. The entire demand is met throughimports. However, it is being recovered as nickelsulphate crystals, a by-product obtained duringcopper production.

OCCURRENCES & RESOURCESImportant occurrence is nickeliferous limonite

in the overburden of chromite in Sukinda Valley,Jajpur district, Odisha, where it occurs as oxide.A suitable process is being developed for itsutilisation. Nickel also occurs in sulphide formalong wi th copper minera l i sa t ion in Eas tSinghbhum district, Jharkhand.

In addit ion, i t is found associated withuranium deposits at Jaduguda, Jharkhand andprocess is being developed for its recovery. Otherreported occurrences of nickel are from Karnataka,

Kerala and Rajasthan. Polymetallic sea nodulesare another source of nickel.

As per UNFC, as on 1.4.2010, the totalresources of nickel ore have been estimated at189 million tonnes. About 92% resources i.e., 175million tonnes are in Odisha. The remaining 8%resources a re d i s t r ibu ted in Jharkhand(9 million tonnes) and Nagaland (5 million tonnes).Nominal resources are reported from Karnataka(0.23 million tonnes) (Table - 1).

EXPLORATION & DEVELOPMENTGSI carried out exploration for PGE during

2012-13 in the s ta te o f Chha t t i sgarh andMaharashtra. Details of exploratory activities isgiven below. In Chhattisgarh, reconnaissancestate investigation (G-4) was carried out inMayurnacha-Kanpara, Jamihor and Madhubanareas in distr ict Jashpur to search for PGEmineralisation in Raigarh-Bilaspur-Surguja belt.

The work components include 100 sq km ofLarge Scale Mapping (1:12500) supplemented bya quantum of 50 cu. m of pitting & trenching andcollection of 30 nos of SSS, 50 nos of BRS and50 nos. of PTS. In addition to these, 30 nos. ofPS, 20 nos. of PCS and 40 no of samples for PGE

Table 1: Reserves/Resources of Nickel Ore as on 1.4.2010(By Grades/States)

(In million tonnes)

Total Remaining resources reserves Total

Grade/State (A) Pre-feasibility Measured Indicated Inferred Total resourcesSTD221 STD222 STD331 STD332 STD333 (B) (A+B)

All India : Total 21 21 31 53 63 189 189

By Grades+ 0.9% Ni 13 8 18 3 42 420.5 to 0.9% Ni 8 13 31 21 21 94 94(+)0.5% Ni, unclassified 14 39 53 53Not-known

By StatesJharkhand 2 7 9 9Karnataka ++ ++ ++Nagaland 5 5 5Odisha 21 21 31 51 51 175 175

Figures rounded off.

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analysis were a lso accomplished. The areaexposes Precambrain rocks comprising micaschist, quartzite, talc-chlorite schist, magnetite-quartz schist and actinolite-chlorite schist forminga part of Raigarh-Bilaspur-Surguja metamorphicbelt . These rocks are intruded by basic andultrabasic rocks.

The available PCS data indicates that the MgOcontent in u l t ramaf ics rocks vary be tween18.5-37.26%. In AFM diagram, the granites depictCalc-a lkal ine t rend whereas the maf ic andultramafic shows Tholeiite trend. In R1-R2 plotby Batchelor and Bowden, (1985) granitoidsindicates the syn-collisional signature. The partyreceived analytical results of 105 samples indicatesAu content 50 ppb-100 ppb, Ni : 4 ppm to 0.22%Co

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IMMT is also engaged in extraction of nickeland coba l t f rom la te r i t i c n icke l /chromi teoverburden of Odisha through microbial routeusing acidophilic micro-organism. Up to 35% Niand 50% Co recovery was achieved throughmechano-chemical activation and pelletisation ofchromite overburden. In a span of 60 days, 70%Ni and 60% Co recovery was achieved. Thetechnology could be exploited in ultramaficcomplexes of Sukinda Valley. At present, it is tobe scaled up to 10-tonne scale to generate processdata and basic engineering details with supportfrom OMC Ltd for its commercial implementationat Sukinda mine site.

During the year 2011, IMMT had undertakenR&D project by way of dry beneficiation studiesto enrich the nickel content from the waste lateriticnickel-bearing chromite overburden materials ofSukinda. It has also undertaken amenability studyof nickel ore for physical beneficiat ion forM/s CDE Asia Ltd, Kolkata.

IMMT developed a process for production ofnickel concentrate from chromite overburdennickeliferous lateritic ores. A process was alsodeveloped for extraction of nickel from solutionscontaining nickel and sodium sulphate and animproved process for dissolution of nickel-cobaltmixed sulphides. Patents were granted for all thethree processes in India.

IMMT had car r ied ou t and comple tedbeneficiation studies on low grade nickel ore forM/s Jindal Stainless Ltd, Bhubaneswar, Odisha.

USESThe most important use of nickel is in

production of stainless steel and other corrosion-resistant alloys. Nickel/chrome plating is still themost widely used decorative electroplated finishon metals. Conventional plating is still much infavour but other techniques such as electrolyticcoating or sintered slurry coating are used forapplications like turbine blades, helicopter rotors,rolled steel strips and extrusion dies. Nickel is animportant ingredient in coins. Finely dividednickel is used as a catalyst in hydrogenation.Other commercial uses are in ceramics, specialchemical vessels, rechargeable nickel-cadmiumstorage batteries, electronic circuits, in computerhard discs, jewellery, green colouring of glass andpreparation of nickel compounds.

CONSUMPTIONWorld over stainless steel is the major end-

use sector of nickel having over 66% consumptionshare. Other uses include, electroplating (8%),other steel alloys, including casting (24%) andother chemical applications, like nickel-cadmiumbattery (3%). Domestic consumption of ferro-nickel during 2010-11, 2011-12 and 2012-13 was2,000 tonnes, 2,235 tonnes and 2,235 tonnes,respectively, all in alloy-steel industry.

SUBSTITUTESAluminium, coated steels, plain chromium

steels and plastics can replace stainless steel toa l imited extent in many construct ion andtransportation applications. Nickel-free specialitysteels are sometimes used in place of stainlesssteel within the power-generating, petrochemicaland petroleum industries. Titanium alloys orspeciality plastics can substitute nickel metal ornickel-based alloys in highly corrosive chemicalenvironments.

TRADE POLICYAs per Foreign Trade Policy, 2009-2014,

imports of nickel ores & concentrates (headingno. 2604) and metal (heading no. 7503) areallowed freely. However, some forms of metalwaste & scrap (ITC-HS Code No. 7503 0090) arerestricted.

WORLD REVIEWThe world reserves of nickel are estimated at

74 million tonnes of metal content. Australia (24%),New Caledonia (16%), Brazil (11%), Russia (8%),Cuba (7%), Indonesia & South Africa (5% each)and Canada & China (4% each) toge theraccounted for a round 84% nickel reserves(Table-2). The identified land-based reservesanalysing on an average of 1% nickel or morecontain at least 130 million tonnes nickel. About60% of nickel reserves are in laterites and 40% insulphide deposits. In addition, extensive deep-sea resources of nickel are in manganese crustsand nodules, covering large areas of the oceanfloor, particularly in the Pacific Ocean.

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Table 3 : World Mine Production of Nickel(By Principal Countries)

(In '000 tonnes of metal content)

Country 2010 2011 2012

World: Total 1540 1823 1895Australia 1 6 9 2 1 5 2 4 4Brazil 66 74 87Canada 1 5 8 2 2 0 2 0 4China 80 90 93Colombia 49 38 52Cuba 66 66 68Dominican Republic 13 15Indonesia 2 1 7 2 2 6 2 5 3New Caledonia 1 3 1 1 2 9 1 3 2Philippines 1 8 4 3 1 9 3 1 8Russia 2 7 0 2 7 0 2 6 9South Africa 40 43 46Other countries 1 1 0 1 2 0 1 1 4

Source: World Mineral Production, 2008-2012.

Table 2 : World Reserves of Nickel(By Principal Countries)

(In '000 tonnes of nickel content)

Count ry Reserves

World: Total (rounded) 7 4 0 0 0Australia 1 8 0 0 0Brazil 8 4 0 0Canada 3 3 0 0China 3 0 0 0Colombia 1 1 0 0Cuba 5 5 0 0Dominican Republic 9 7 0Indonesia 3 9 0 0Madagascar 1 6 0 0New Caledonia 1 2 0 0 0Phil ippines 1 1 0 0Russia 6 1 0 0South Africa 3 7 0 0USA 1 6 0Other countries 5 1 0 0

Source: Mineral Commodity Summaries, 2014.

In 2012, world mine production of nickelincreased marginally to 1.89 million tonnes ascompared to 1.82 million tonnes in the previousyear. Philippines, Russia, Indonesia, Australia &Canada, New Caledonia, China and Brazil & Cubawere the principal producers (Table-3). Almost allnickel producing countries showed increase inproduc t ion , s ign i f ican t among them arePhilippines, Canada and Australia.

Table 5 : Exports of Nickel and Alloys Incl. Scrap(By Countries)

2011-12 2012-13Country

Qty Value Qty Value(t) (L '000) (t) (L '000)

All Countries 5340 5886670 21615 22779895Singapore 43 53631 15386 16023740UAE 3640 4119391 4077 4534156Netherlands 62 72410 561 556888USA 270 381662 361 471895Latvia 147 188447 129 159956Japan 101 86428 92 76371Mexico 45 46037 61 75620Thailand 71 82786 53 65827Turkey 64 71234 60 61894France 25 49247 40 57531Other countries 872 735397 795 696018

FOREIGN TRADEExports

Exports of nickel and alloys including waste& scrap increased substantially to 21,615 tonnesin 2012-13 from 5,340 tonnes in the previous year.Out of the total alloys and scrap exported in2012-13, nickel alloys were 21,338 tonnes, whilenickel waste & scrap were 277 tonnes. Exportswere mainly to Singapore, UAE, Netherlands,USA, Latvia & Japan (Tables-4 to 7).

ImportsDuring 2012-13, imports of nickel ores &

concentrates decreased manifold to only 865 tonnesin comparison to 41,729 tonnes in the previous year.Imports were mainly from Australia & China. Importsof nickel & alloys including scrap were 54,424 tonnesin 2012-13 compared to 34,787 tonnes in the previousyear. Out of total alloys and scrap imported in2012-13, nickel alloys were 53,755 tonnes, whilenickel waste & scrap was 669 tonnes as compared to1,129 tonnes in the previous year. Imports in2012-13 were mainly from Russia, Australia, Canadaand Norway (Tables - 8 to 12).

Table 4 : Exports of Nickel ores and conc.(By Countries)

2011-12 2012-13Country

Qty Value Qty Value(t) (L '000) (t) (L '000)

All Countries 450 128258 86 1478China - - 86 1478Other countries 450 128258 - -

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Table 6 : Exports of Nickel & Alloys(By Countries)

2011-12 2012-13Country

Qty Value Qty Value(t) (L'000) (t) (L '000)

All Countries 5218 5842047 21338 22663186Singapore 43 53631 15386 16023740UAE 3640 4119369 4077 4534156Netherlands 62 72410 553 556029USA 254 377444 270 436641Latvia 147 188447 129 159956Mexico 45 46037 61 75620Thailand 71 82786 53 65827Turkey 64 71234 60 61894France 25 49247 40 57531Saudi Arabia 34 47763 49 54561Other countries 833 733679 660 637231

Table 7 : Exports of Nickel Waste & Scrap(By Countries)

2011-12 2012-13Country

Qty Value Qty Value(t) (L'000) (t) (L '000)

All Countries 122 44623 277 116709USA 16 4218 91 35254UK 46 11771 88 34384Japan 29 16554 42 22651Germany 14 1457 24 13842Belgium 4 1773 22 7514Italy - - 2 1964Netherlands - - 8 859Iran - - ++ 112Korea, Rep. of 2 907 ++ 100Kenya - - ++ 18Other countries 11 7943 ++ 11

Table 8 : Imports of Nickel Ores & Conc.(By Countries)

2011-12 2012-13Country

Qty Value Qty Value(t) (L'000) (t) (L '000)

All Countries 41729 2008548 865 808473Australia 234 231344 716 698050China 66 61364 100 106881Germany - - 49 3542Other countries 41429 1715840 - -

Table 9: Imports of Nickel & Alloys Incl. Scrap(By Countries)

2011-12 2012-13Country

Qty Value Qty Value(t) (L'000) (t) (L'000)

All Countries 34787 39121536 54424 55264147Russia 11292 12512664 24768 23499754Australia 3901 4352679 9659 9889777Norway 3603 3863241 3155 3428726Canada 1716 2033424 3259 3271564Japan 1539 1683518 1989 2063874UK 1908 2s303601 1572 1948143Finland 1281 1418750 1847 1796707China 1549 1817296 1107 1220987USA 1044 1306467 841 1188804South Africa 1186 1439778 1130 1124600Other countries 5768 6390118 5097 5381211

Table 10: Imports of Nickel & Alloys(By Countries)

2011-12 2012-13Country

Qty Value Qty Value(t) (L'000) (t) (L'000)

All Countries 33658 38729885 53755 54973981Russia 11292 12512664 24768 23499754Australia 3901 4352679 9659 9889777Norway 3603 3863241 3155 3428726Canada 1716 2033424 3259 3271564Japan 1539 1683518 1987 2063169UK 1907 2303171 1569 1946056Finland 1281 1418750 1847 1796707China 1538 1806617 1105 1218340USA 840 1228813 750 1156813South Africa 1186 1439778 1130 1124600Other countries 4855 6087230 4526 5578475

Table 11: Imports of Nickel Waste & Scrap(By Countries)

2011-12 2012-13Country

Qty Value Qty Value(t) (L'000) (t) (L'000)

All Countries 1129 391651 669 290166UAE 296 128362 115 63447Kuwait - - 81 45980Iran - - 90 37125USA 204 77654 91 31992France - - 75 29190Malaysia - - 60 14043Germany 21 5227 33 13762Italy 333 88123 42 12784Sweden - - 14 7472Saudi Arabia 53 24302 16 6900Other countries 222 67983 52 27471

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Table 12 : Imports of Nickel(By Items)

2 0 1 1 - 1 2 2 0 1 2 - 1 3All Items

Q t y Value Q t y Value( t ) (L ' 000) ( t ) (L ' 000)

Al l I tems 3 4 7 8 7 39121536 5 4 4 2 4 55264147

Nickel & alloys 3 3 6 5 8 38729885 5 3 7 5 5 54973981

Bars, rods, plates, sheets foils of nickel 5 0 5 7 8 3 6 5 6 1 0 1 7 1 3 7 1 8 3 4

Bars, rods, plates, sheets foils of nickel alloys 1 7 5 0 2 8 9 2 0 5 1 1 5 9 2 2 7 2 5 8 2 8

Nickel electroplated anode 1 2 1 5 9 5 9 ++ 2 1 5

Nickel & alloys: worked 7 4 7 1 0 6 2 3 6 7 4 1 5 6 5 2 5 1 1 2 6

Nickel & alloys: worked NES 4 5 3 6 1 2 5 4 3 3 5 0 4 8 3 6 7 5

Nickel & alloys: unwrought 2 9 5 7 3 4 7 9 6 2 0 9 5 0 8 9 4 6 7 1

Nickel: worked 2 5 4 4 0 6 1 7 0 9 6

Nickel except electroplated anode 2 7 2 2 5 29871575 4 5 6 7 9 44223586

Nickel mattes ++ 1 1 1 5 0 6

Nickel oxide sinters & qtr intermediate 7 6 6 7 3 4 4 4 4 4

Nickel (scrap) 1 1 2 9 3 9 1 6 5 1 6 6 9 2 9 0 1 6 6

FUTURE OUTLOOKOver 60% of world nickel demand is for the

production of stainless steel. Nickel accounts for10 to 20% input cost in stainless steel productiondepending on the nickel content. The futureout look for n ickel depends mainly on theproduction of stainless steel which is one of themain drivers for nickel produced. The production

of stainless steel is estimated to be 5 milliontonnes by 2016-17 as per the 12 th Five Year PlanReport.

India will have no option but to depend onimports for th is meta l t i l l a technology torecover n icke l f rom the overburden ofchromite ore in Odisha is establ ished on acommercial scale.