Vale SA: Rebounding stainless steel market to drive nickel demand in 2012

BRASILIA (Scrap Monster): Vale SA (BM&F Bovespa: VALE3, VALE5), the largest producer of iron ore, said that nickel demand is expected to be improved in 2012, supported by the rebounding stainless steel market.

According to Vale, nickel prices in 2012 will depend on the pace of global project ramp-ups and the level of Chinese nickel pig iron production.

In 2011, Vale’s nickel shipments totaled 252,000 tons, the highest level since 2008, with average prices of US$22,680/ton.

Meanwhile, the mining giant produced 242,000 tons of nickel in 2011, increasing by 35.1% year on year.

Vale SA is a Brazilian multinational diversified metals and mining corporation and one of the largest logistics operators in Brazil. Also the second-largest mining company in the world.