Nickel ore is a major dry bulk cargo, with global seaborne trade of approximately 50 to 70 million tonnes per year, principally moving from Indonesian and Philippine producing regions to Chinese stainless steel and electric vehicle battery feedstock processors. The cargo is regulated under the International Maritime Solid Bulk Cargoes Code (IMSBC) under a Group A schedule and is among the most liquefaction-prone bulk cargoes ever shipped commercially. Nickel ore casualties have caused multiple bulk carrier total losses with significant loss of life, and the IMSBC nickel ore schedule has been progressively tightened in response.
Schedule structure
The IMSBC Code includes a dedicated schedule for nickel ore:
- Nickel ore: lateritic and saprolitic nickel-bearing ores from tropical regolith deposits. Group A (liquefiable), subject to TML and MC certification.
The schedule is one of the most stringent in the IMSBC Code, reflecting the severe casualty history.
Cargo properties
Nickel ore from Indonesia and the Philippines is principally lateritic, derived from tropical weathering of ultramafic rocks. The product is a soft, clay-rich, fine-grained material with the following characteristics:
- Particle size distribution heavily weighted toward fines below 1 millimetre.
- Moisture content at loading typically 25 to 35 per cent (much higher than iron ore at 6 to 9 per cent).
- Bulk density approximately 1.5 to 1.8 tonnes per cubic metre.
- Stowage factor approximately 0.55 to 0.65 cubic metres per tonne.
- High clay content imparting low permeability and slow drainage.
The combination of high moisture, fine particle size, and low permeability makes nickel ore highly susceptible to liquefaction under ship motion. The cargo can develop significant pore-water pressure rapidly and shift suddenly to one side of the hold, producing extreme lists.
Casualty history
Multiple nickel ore casualties have occurred since 2010, principally on bulk carriers loading in the Philippines and Indonesia during or shortly after monsoon rains. Notable losses include:
- MV Jian Fu Star, October 2010: lost in the South China Sea with 13 crew. Cargo of nickel ore from the Philippines.
- MV Nasco Diamond, November 2010: lost in the East China Sea with 21 crew. Cargo of nickel ore from Indonesia.
- MV Hong Wei, December 2010: lost in the South China Sea with 10 crew. Cargo of nickel ore from Indonesia.
- MV Vinalines Queen, December 2011: lost in the South China Sea with 22 crew. Cargo of nickel ore from Indonesia.
- MV Bulk Jupiter, January 2015: lost off Vietnam with 18 crew. Cargo of bauxite from Malaysia (separate cargo, but contributing to the broader IMSBC reform context).
- MV Emerald Star, October 2017: lost in the Pacific with 10 of 26 crew. Cargo of nickel ore from Indonesia.
The cumulative loss exceeds 80 lives in the post-2010 nickel ore casualty cluster, making it one of the worst commodity-specific casualty patterns in modern maritime history.
Code response
The IMSBC nickel ore schedule was significantly tightened following the 2010 to 2011 casualty cluster. Specific provisions added include:
- Mandatory pre-loading TML and MC certification with sampling under defined IMSBC Section 4 protocol.
- Cargo declaration requirements specifying particle size distribution, clay mineral composition, and shipper certification.
- Master’s right and duty to refuse loading of cargoes whose certification appears inconsistent with cargo condition or that are loaded during heavy rainfall.
- Special advisories issued by the IMO MSC and by class societies including ClassNK, Lloyd’s Register, ABS, and DNV with specific guidance on nickel ore vetting.
- Flag-state and port-state inspection focus on nickel ore loading procedures at major Philippine and Indonesian export terminals.
The Philippines also introduced national regulations restricting nickel ore exports during the rainy season (typically June to October) and requiring certified moisture testing at loading.
Major exporters
Nickel ore seaborne trade flows include:
- Indonesia: the largest exporter, with exports through ports including Pomalaa, Sorowako, Halmahera, and Sulawesi Sea coastal terminals. Indonesian export policy has alternated between unrestricted export and partial bans intended to develop domestic processing capacity; the 2014 to 2017 partial ban was ended and reinstated in different forms in subsequent years.
- Philippines: significant exporter, with shipments from Surigao del Norte (the largest single export region), Palawan, Zambales, and Tawi-Tawi.
- New Caledonia: French overseas territory exporter to Japanese, Korean, and Australian processors.
China is the dominant single importer, with nickel ore feeding both stainless steel manufacture and the rapidly growing nickel sulphate / nickel matte production for EV battery cathodes.
Loading and discharge
Loading is by shore-based conveyor or barge-to-ship transfer at the Philippine and Indonesian export terminals. Many of these terminals are minor or unimproved, with loading directly from open stockpiles that are exposed to monsoon rain. Master’s pre-loading inspection is critical.
Discharge is by grab-fitted shore cranes at Chinese stainless steel and battery production terminals.