Nov 1 (Reuters) - Nickel miner Independence Group NL IGO.AX said on Friday it will stop work on developing a downstream nickel sulphate facility after winning improved terms in two recent offtake agreements for concentrate from its Nova mine.
"The commercial terms agreed are materially better than those they replace and reflect the growing global demand for nickel as a key raw material into the clean energy market," Independence said in a statement.
Given the improved terms, the value of the downstream project offered less return and it would no longer proceed with a detailed feasibility study for the facility, the miner said.
Independence said it had signed fresh offtake agreements with Trafigura Pte. Ltd and a unit of global miner BHP Group BHP.AX .
The miner has existing agreements with both buyers which are set to expire. A third contract with a unit of Glencore GLEN.L is set to expire by the year's end.