Dive in nickel prices plunges French islands into crisis

Noumea

PLUNGING nickel prices and the market woes of world mining giants have shaken the French territory of New Caledonia, a tropical archipelago in the Pacific that is hostage to the metal's fortunes.

Though best known for its stunning lagoon, pristine beaches and diverse wildlife, New Caledonia's economy actually relies heavily on nickel, discovered here in the 19th century.