australian nickel conference, page-13

From David's comments at yesterday's conference.



Australia’s nickel sector is ‘well worth protecting’ – Poseidon

By: Esmarie Swanepoel
15th October 2009

(miningweekly.com) – Australian nickel explorer Poseidon Nickel CEO David Singleton on Thursday said that Australia’s nickel sector should not drop the impetus behind its research and development (R&D), in order to protect an inground resource worth over half a trillion dollars against potential loss of market overseas.

Speaking at the 2009 Australian Nickel Conference, in Perth, Singleton said that the nickel sector played a major part in the national economy.

“For Australia to be anything other than the best at what we do in the world would mean that we would lose the nickel advantages that we have been given in the ground.”

“Two years ago, we had nickel resources in this country of 29-million tons in-ground. At today’s nickel price, that is well over half a trillion dollars worth of nickel already reserved in Australia.”

Singleton said that half a trillion dollars was a prize “well worth protecting and pursuing”.

“In Western Australia alone, in 2008, nickel exports were worth A$4,2-billion and were responsible for employing 3 500 people directly – although that figure will be a little less today.

“Research and development has been fundamental to growing this particular corner of the resources sector.”

Singleton said that ongoing and well-funded R&D was critical for the nickel sector’s push to deliver environmentally sustainable production with increasing capacity to adopt new technology.

“This includes maintaining our advances in ion exchange processes and the whole High Pressure Acid Leach (HPAL) industry.

“Although HPAL has had an up and down history, it is going to be a critical part of the nickel sector’s technology base going forward as 80% of Australia’s nickel resources are hosted in laterite mineralisation.”

He added that any advances in making heap leach technology a stand-alone operation would be critical to the nickel industry in Western Australia.

“The State hosts numerous and very large, isolated laterite resources. The ability to be able to build stand-alone localised leach pads, especially where you cannot move that material because of the grade but still efficiently and effectively get nickel out at a reasonable price, will change the basis of the nickel industry in Western Australia.”