The first shipment of nickel concentrate was made in 1974, but by this time the nickel price had fallen significantly.

As of 2012, nickel prices had moved to as low as $7.30 per pound.

Poor management within Anaconda Resources and low nickel prices led to its demise.

An upward trend in nickel prices continued, the price reaching $11,375 a tonne at the end of August.

Moreover, analysts project that nickel prices will rise about 20 percent in 2004, "and that has a leveraged impact on its bottom line," he added.

Inco says its earnings move about 15 cents a year for every 10-cent-a-pound change in nickel prices.

Due to the remote location and the low nickel prices at the time, the discovery did not draw much attention.

The mining firm posted a 4.3 million euro loss in the third quarter of 2012, blaming weak output and low nickel prices.

But the surge in nickel prices also reflects fears of a looming and long-lasting supply squeeze.

Besides higher nickel prices, they have complained of rising energy costs and adverse currency movements.