METALS-Nickel hits over 1-wk high on Ramu mine closure in Papua New Guinea
By Mai Nguyen

SINGAPORE, Oct 24 (Reuters) - Nickel prices touched a more than one-week high on Thursday, after authorities in Papua New Guinea shut down a nickel project following a slurry spill.

Papua New Guinea has closed Metallurgical Corporation of China’s Ramu nickel operations in the country for spilling slurry into a bay in August and “for not adhering to remedial measures”.

The most traded nickel contract on the Shanghai Futures Exchange (ShFE) jumped as much as 4.2% to 134,120 yuan ($18,982.38) a tonne, its highest since Oct. 15, while benchmark three-month nickel on the London Metal Exchange (LME) advanced as much as 1.5% to $16,530 a tonne, its highest since Oct. 16.

“I think it’s fair enough that the fundamentals are supporting higher nickel prices. Earlier in the week, we had a Norilsk Nickel’s mine accident as well,” said a trader.

Three people were killed on Tuesday in an accident at major producer Norilsk Nickel’s Taimyr underground mine in Siberia.

METALS-Nickel hits over 1-wk high on Ramu mine closure in Papua New Guinea