Global Ferronickel Holdings, Inc. (FNI), the Second-largest nickel producer in the Philippines, said its revenue for the first half of 2021 rose 68.9% year-on-year to 1.54 billion pesos on the back of a surge in shipments and higher nickel prices.
Dante R. Bravo, PRESIDENT of FNI, said the company had a more favorable performance during the year and did not experience operational disruptions as it did in April 2020, thanks to a significant increase in the price of lower-grade nickel in the market.
In terms of total shipments, FNI shipped 32 cargoes of nickel ore in the first half of 2021, compared to 23 cargoes in the same period of 2020. Shipments increased by 38.3% to 1.74 million wet tons compared to 1.258 million wet tons in 2020.
In the first half of 2021, 100% of FNI nickel ore was exported to China, including 1.465 million wet tons of low grade nickel ore and 275,000 wet tons of medium grade nickel ore. The resulting sales mix is 84% low grade ore and 16% medium grade ore, compared to 52% low grade nickel and 48% medium grade nickel in 2020.
The total average price of FNI nickel for the first half ended June 30, 2021 was us $31.10 / wet ton compared to US $24.38 / wet ton for the same period in 2020, an increase of 27.6%.
In terms of grade, FNI low grade nickel ore prices rose 61.7% to $31.01 / wet ton in the first half of 2021 from $19.18 / wet ton in 2020. Medium grade nickel ore prices rose 5.2% to us $31.58 / wet ton from US $30.03 / wet ton in 2020.
Mysteel understands that fNI is targeting a nickel loading capacity of 6 million wet tons in 2021 with a forecast sales mix of 70% low grade nickel and 30% medium grade nickel.
