Brazilian miner Vale has decided to postpone the sale of its New Caledonia nickel and cobalt mine at the request of local authorities.
According to media reports, Vale New Caledonia agreed to postpone the sale as the local government looked for domestic shareholders to be part of the consortium led by Trafigura. Last month, Vale entered a 30-day exclusivity period with the buyers after rallies stirred in the community regarding fresh sale talks.
Vale did not respond to an enquiry by Davis Index regarding the matter at the time of the publication.
With global nickel output predicted to decline by 7.4pc in 2020, the vast deposits at the Goro mine in New Caledonia may be one of the best resources for metal, demand for which continues to rise with its application in electric vehicle batteries. The mine is estimated to contain 5.92mn mt of nickel.