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Developing the next major nickel project in Brazil
Slide 1

Use

Nickel is a US$20+ billion per year industry with over two thirds of nickel going into stainless steel production. Overall there are more than 3,000 nickel-containing alloys in everyday use including batteries. Nickel use in EV batteries is forecast to skyrocket over the next 10 years from around 70,000 tonnes to close to 220,000 tonnes in 2025 according to Macquarie's research, which is considered a conservative estimate. Considering other energy storage, Wood Mackenzie, increases this forecast to 275,000 tonnes of nickel demand, approximately 12 per cent of global supply.*

Demand

As an alloying element, nickel contributes to the longevity, corrosion resistance and low maintenance of stainless steel goods.

Traditional demand for nickel in stainless steel is robust (3 – 4 % YoY growth) with primary Ni demand in stainless forecast to increase by almost 9% in 2017.**

Demand outstripping supply: Growing nickel deficits with 2018 predicted as third consecutive year of deficit - over 150,000 tonnes nickel

Electric vehicles penetration predicted to add over 200kt by 2025

Nickel Demand

Wood Mackenzie forecasts that the nickel price will increase from ~$12,000–$17,000/tonne throughout 2021–2022 — Araguaia Scheduled to start production 2021

Supply

The Company believes there has been under-investment in sector: Very few large scale nickel projects under development over the past 5 years

Nickel Demand
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* Wood Mackenzie: https://www.ft.com/content/38cb62fc-b8c8-11e7-8c12-5661783e5589
** Glencore: Nickel: State of the market 21/11/2017
*** International Nickel study group