‘It would appear this nickel market update could just be a paid...

‘It would appear this nickel market update could just be a paid Canada Nickel promotion’. Bullseye.

The worst part is that no one is saying ‘hey- promote ARL!’ All we’re saying is be fair.

Oh well. It won’t stop us moving forward & just means more profit for we investors.

Today’s laugh is from Norway- one of the ‘greenest’ countries in the world because its people buy Teslas… with money made from the country selling oil- will potentially ruin its fishing grounds for a quick buck:

https://www.mining.com/web/eu-to-keep-tabs-on-norway-deep-sea-mining-efforts-green-deal-chief-says/

The big problem is that the ocean is the biggest carbon sink ( air cleaner ), we have- soaking up 2/3~ of all emissions. Start messing around with it by dredging the bottom? No thanks. Let it do its thing, which is to feed billions and keep us all breathing.

The next story shows the nickel market is now over 3.6 Mt per annum, bigger than what analyst consensus predicted just a year or two ago:

https://www.reuters.com/markets/commodities/nickel-producers-fear-growing-indonesian-pricing-power-2024-03-05/

Let’s do some basic math. If 2.03 Mt is 55% of the market then the market is 3.69 Mt (?), if I’m not misaken.

Even with the faster than expected supply growth in 2021 & 2022 we have seen that the oversupply story has a lot of holes in it. At a guess we will actually need 5 Mt supply by 2030? Around 1 Mt more than recently predicted.

The other informative part is the note about Metalshub, an arm of the LME, will soon be releasing the numbers for their ‘green’ minerals from operations that produce less than 20 tonnes of CO2 per tonne of minerals ( in our case, nickel and cobalt ), mined.

Metalshub, or something like it, will show that there is indeed a ‘green premium’ because not all minerals ( or batteries etc made using them ), can make it past the American/EU standards when it comes to tax breaks/subsidies. A big problem on the horizon for ‘cheap’ Chinese built BYD, Tesla etc cars.

As per our June 2023 PFS the figure would be close to half that 20 tonne line- 12 tonnes in fact.

Page 1 is where we first find the note:

https://ardearesources.com.au/downloads/announcements/arl_2023070501.pdf

If ‘green’ means less than 20 tonnes then most of Indonesian nickel is out of the IRA ( Inflation Reduction Act ), etc race.

Make no mistake- ESG requirements are only getting stricter. The trend is our friend, not Indonesia’s.