Australia’s national science agency, the Commonwealth Scientific and Industrial Research Organisation (CSIRO) reports that an environment friendly processing method, that uses and recycles nitric acid, could unlock 70% of the world’s nickel supply.

Full-scale testing of the process started in March this year at a $3.5-million pilot plant at CSIRO, in Perth, Western Australia. The process, developed by Sydney-based nickel extracting company Direct Nickel, could deliver a huge boost to the global nickel industry by rendering millions of tonnes of untapped nickel laterite reserves economically viable to mine.

Direct Nickel MD and CEO Russell Debney says with the increasing industrial demand for nickel, which is a key component of stainless steel, the future of the world’s supply lies in laterites.

“Many of these reserves remain untapped, owing to the difficulty and expense of extracting nickel. Technical difficulties and the high costs of existing processing methods are massive and act as continuing roadblocks,” says Debney.

“There is a desperate need for a solution to the laterite processing problem, which is energy intensive and costly, and is threatening world supply. Other forms of nickel reserves, such as sulphides, are running out and there are few new discoveries.”

Traditional processing techniques use large quantities of sulphuric acid at high temperatures and pressures, resulting in expensive treatment and disposal of chemical waste.

CSIRO mineral processing research leader Dr Dave Robinson explains that the new process uses nitric acid, over 95% of which can be recycled and reused, making it more environment friendly and lower in cost.

“The process has the potential to revolutionise the global industry. Australia has an abundance of nickel laterites, so it would provide a significant boost to our economy,” says Robinson.

CSIRO has been working in partnership with Direct Nickel for over three years and both companies note that the pilot plant is an important step in understanding the process, as it will provide the engineering data to validate technical and economic predictions.

Debney notes that the set-up and operating costs are less than half compared to existing processes, and that the process is more efficient in extracting the nickel from the laterite ores. It is also believed to be the first process capable of treating all laterite ores, which are inherently difficult to process.

“Initial full-scale testing has provided positive results. If we continue on this path, our processing method will be ready to roll out to industry as early as 2016,” Debney concludes.