A new extra-fine grade Ni powder (XF Ni) has demonstrated increased sintering activity in Co-Fe-Ni binders for diamond tool applications. XF Ni has the advantage of significantly lower cost than XF Co. Up to 30% of XF Co was substituted with XF Ni while maintaining comparable apparent hardness and transverse rupture strength to pure Co binders. Ni substantially increased the diffusion of Fe. Diamond tool producers can take advantage of the improved sintering properties of XF Ni powder to substantially lower material costs.