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GPF Physical Carbon Neutral Nickel ETC

GPF Physical Carbon Neutral Nickel ETC

This is the only physically-backed Carbon Neutral Nickel ETC available on the European market.

  • Competitive TER

  • Physically backed with allocated carbon neutral nickel in warehouses

  • Ownership tracked with Distributed Ledger Technology

What is Carbon Neutral Nickel?

Carbon Neutral Nickel, is Norilsk Nickel’s pioneering nickel product which comes with a zero carbon footprint. The nickel meets LME’s physical contract specifications including purity and grade in addition to coming with independently verified carbon offsetting certificates for residual carbon emissions. The carbon offsetting certificates are generated from real-life carbon-reducing operational improvements at Norilsk’s mining, refining and operating plants.

Why Carbon Neutral Nickel?

Climate change is an ever-present risk and we can see the environmental damage all over the world with rising global temperatures. Nickel is indispensable in EV batteries and battery storage and one of the key metals in the transition to the zero-carbon economy. According to the IEA, successfully implementing the current Paris Agreement climate pledges will still leave around 22 billion tonnes of CO2 emissions in 2050! Carbon Neutral Nickel is a pioneering initiative by Norilsk Nickel to offer investors better stewardship of their assets and the opportunity to transform and meaningfully impact the metals industry.

How is Norilsk creating its Carbon Neutral Nickel?

Norilsk Nickel has one of the lowest carbon emission production processes in the world given its mix of hydropower, nuclear and natural gas powered refining operations. After producing its low carbon nickel, carbon offset certificates are attached to a specific batch of nickel to make it carbon neutral. Carbon offset certificates are created from real life energy efficiency and emissions improvements to Norilsk’s operations. These are then independently verified by leading international carbon certification and verification companies to confirm the nickel’s zero-carbon rating. Carbon Neutral Nickel comes with enhanced security and transparency with its carbon certificates and carbon footprint recorded in blockchain to create immutable records.

Pricing of Carbon Neutral Nickel?

Carbon Neutral Nickel is priced with a premium of $793 to the official LME Nickel cash price. The premium is calculated based on the cost of carbon futures and is fixed for the life of each batch of nickel. Investors in GPF Carbon Neutral Nickel ETCs will therefore only be exposed to the underlying price performance of nickel and any change in the cost of carbon futures between a creation and subsequent redemption order will be borne by GPF.