Recent strength in the nickel price, which has sat well above $US17,000 a tonne since late August, has ticked up speculation of consolidation in WA’s junior and mid-tier nickel sector as the industry looks to cash in on the commodity’s importance to the battery industry.
A growing resource inventory at nickel explorer St George Mining is said to have put the company on the radar of offshore corporate players, and troubles at Panoramic Resources — which is looking to reopen its high-grade Savannah nickel mine in WA’s Kimberley and recently raised $28.2m through Morgans — may also have opened a window for potential suitors.
Fellow WA nickel miner Independence Group, which operates the Nova nickel mine in WA’s south, is said to have picked up a 3.9 per cent stake in Panoramic as it watches over the Savannah development.
The size of the parcel is consistent with the playbook of Independence boss Peter Bradford, with the company regularly taking small stakes in potential targets.
Coal price not right as Kestrel mine owners seek $4.8bn pay dirt
The owners of the Kestrel coal mine will have to convince buyers to pay about $4.8bn for the mine, but the coal price has fallen about 20 per cent since it was first set to hit the market.
St John of God in discussions over Healthscope leases
The not-for-profit St John of God Health Care has discussed with Healthco Healthcare and Wellness REIT taking over some real estate leases from tenant Healthscope.