The global nickel market was in deficit by 70,000 metric tons in the first eight months of 2006, with reported stocks around 36,000 tons lower, the World Bureau of Metal Statistics said Wednesday.

This compares with a 51,000-ton deficit for the January-July period reported last month.

Mine production stood at 911,000 tons, 5.1% above the same period of 2005.

Refined production was fractionally below the comparable total for 2005, with increases in European and Canadian output and the re-emergence of the Philippines as a producer more then offset by lost production in Oceania, the WBMS said, without giving a total production figure.

World demand was 37,000 tons higher than in the first eight months of last year. The WBMS makes no allowance in the consumption calculation for unreported stock changes.

In August, world production was 104,400 tons and demand 119,200 tons.