Dirty Nickel Campaign: Indonesia's Rival and Allies

The pressure on Indonesia's nickel products is intensifying as Australian mining magnate Andrew Forrest urges the London Metal Exchange (LME) to differentiate between "dirty" and "clean" nickel in its trading. This call comes on the heels of Forrest shutting down his mining company, Wyloo Metals, due to the decline in nickel and other commodity prices.

Forrest asserts that LME should classify nickel based on carbon emissions, allowing customers to make informed choices regarding the sustainability aspects of products available. He points out that some companies utilize batteries made from cheap nickel mined in Indonesia, known for its high emission footprint and questionable environmental standards. "You want the option to buy clean nickel if you can," he stated on Feb 26.

In response, LME management stated their commitment to supporting sustainability in the metal and mining industry, including ensuring transparency in the supply chain. LME claims to collaborate with Metalshub, which operates a specialized platform for market participants to differentiate products based on specific environmental, social, and governance (ESG) standards. "Low-carbon nickel is listed on Metalshub, and its transaction data supports credible 'green' identification."