Giga Metals provides update on nickel market
September 9, 2020 TSX.V - GIGA
Giga Metals provides update on nickel market
(Vancouver) – Martin Vydra , President of Giga Metals Corp. (TSXV – GIGA) today
provided an update regarding certain nickel market developments.
“We were not surprised to learn today about Vale’s decision to place their High Pressure,
High Temperature Acid Leach (HPAL) operation in New Caledonia, commonly known as
Goro, on care and maintenance” said Mr. Vydra. “HPAL is exceedingly complex and can
be prone to failure . Even the best designed and constructed facilities must rely on
experienced and well-trained personnel or they are likely to suffer setback after setback.”
Earlier this year the Ambatovy HPAL operation in Madagascar was also placed on care
and maintenance. These two operations represent nameplate capacity of close to 120,000
tonnes per year of nickel and 10,000 tonnes per year of cobalt.
“The continued growth in lithium ion batteries relies on available nickel in the form of
intermediates, powders or briquettes of which 2020 production is expected to total 477,000
tonnes according to Wood Mackenzie. Goro and Ambatovy represent 71,000 tonnes of
that total in 2020, which demonstrates how tight the market could become,” continued Mr.
Vydra. “400,000 tonnes of nickel equates to approximately 8 million Electric Vehicles
(EVs) utilizing 50 kg of nickel per EV. That’s not too far in the future and when you
consider that it takes anywhere from 5-10 years to bring a nickel operation such as HPAL
into production, the nickel available for lithium ion batteries could be in deficit sooner than
OEM’s and cathode manufacturers realize.”
Giga Metals is actively advancing its flagship Turnagain nickel sulphide deposit wi th the
aim of sustainably producing 40,000 tonnes of nickel per year. The Company has been
supporting work with the University of British Columbia on CO 2 sequestration in the
pursuit of producing environmentally friendly nickel with the objective of building one of
the world’s first carbon neutral mines. For more information visit www.gigametals.com
On behalf of the Board of Directors,
“Martin Vydra”
Martin Vydra, President
GIGA METALS CORPORATION
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Exchange) accepts responsibility for the adequacy or accuracy of this release.
Suite 203 – 700 West Pender St., Vancouver, BC, Canada V6C 1G8
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