Nickel rose to the highest intraday level in nearly two years as cuts to mining quotas in major producer Indonesia and a global sulfur shortage tightened the supply outlook for the battery metal.

Futures on the London Metal Exchange have risen about 10% since the start of the Iran war, which is driving a surge in sulfur prices and fueling concerns over disruptions to global mining, including mixed-hydroxide precipitate production in Indonesia and copper leaching in Africa. Other base metals were mixed, as traders assessed the chances for a conclusion to the war after a report that Iran has offered the US a new proposal to reopen the Strait of Hormuz.