NEW YORK, Dec 4 (Reuters) - Brazilian miner Vale SA VALE3.SA , the world's top nickel producer, wants to shore up its nickel business before the electric vehicle revolution, but lowered 2019 output forecasts for the metal, a key ingredient in lithium batteries.
In presentation to investors in New York, Vale executives projected the company would produce 244,000 tonnes of nickel next year, below the 263,000 tonnes it had forecast a year ago.
The company said on Tuesday that it could produce 313,000 tonnes of nickel annually in the short term and 400,000 tonnes annually in the medium term. During the presentation each year, the company usually gives annual projections five years out.
Nickel, a key input for most types of lithium-ion batteries, is expected to benefit from a widely expected pickup in electric vehicle (EV) sales.
The metal CMNI3 , also used to make stainless steel, hit multi-month lows last week as demand worries escalated on Chinese steel price weakness and U.S.-Sino trade tensions.
Vale said on Tuesday it had reached a deal with global trader and miner Glencore GLEN.L to jointly explore Vale's Victor mine for copper and nickel and Glencore's Nickel Rim South mines in Canada, citing reduced costs and capital expenses thanks to the venture.
Vale, also the world's top iron ore producer, maintained its outlook for iron ore production at 390 million tonnes for this year and 400 million tonnes for 2019 and 2020.
Vale Chief Executive Fabio Schvartsman, whose two-year term is up in May, reiterated his interest in staying on and said discussions were ongoing about his future role.
"We are going to come to an agreement. I couldn't have more fun than I have running this company," Schvartsman said.