Most people don't understand the pricing structure of these contracts.
Nickel pricing in sulphate has a premium price, which is benmarked FOB.
The premium is proportional to where the nickel price is. The greater the price, lower the premium and vice versa. Within that benchmark premium there will be an additional commercial pricing for supply credentials.
More importantly, this project won't happen because of a nickel price snap shot today. It will happen because of governmental support. This has not changed, in my opinion. It is all up to the Aussie government
Associated News, page-1057
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