great find.
I am doing a lot of reading about platinum and it really seems like one of those cases of diminishing supply coupled with increasing demand.
Platinum is an integral part of the Fuel cell cars story, which is at infancy with Shell Petroleum announcing a 400 station network across Germany
http://www.shell.com/media/news-and...-hydrogen-vehicle-fuelling-pumps-germany.html
Platinum is an important element and a catalyst in combining oxygen and hydrogen to provide energy
There are several different
types of fuel cell but the most researched type is the proton exchange membrane (PEM) fuel cell, which contains platinum catalysts. PEM fuel cells are capable of being used in power generation for buildings, instead of batteries or generators in portable equipment and as replacements for the internal combustion engine in a vehicle.
http://www.platinum.matthey.com/about-pgm/applications/fuel-cells#sthash.w4mhJf3F.dpuf
here we are seeing demand increase while supply is diminishing....
from the
World Platinum Investment Council (https://www.platinuminvestment.com/supply-and-demand/platinum-quarterly)
For the
first quarter of 2016, today’s report once again highlights a market that is tightening, with supply falling and demand rising:
- Total platinum supply fell 210 koz (-11%) quarter-on-quarter to 1,735 koz, with total mining supply slipping 230 koz and recycling growing by only 20 koz.
- Refined production fell 420 koz quarter-on-quarter owing to a decline in South African refined output caused by a temporary refinery closure, the effect of which was not totally offset by sales of 150 koz from producer inventory.
- Global platinum demand rose 180 koz (+10%) quarter-on-quarter to 2,010 koz despite lower jewellery (-11%) and industrial usage (-6%), as automotive demand improved (+2%) and investment demand enjoyed a positive quarter after seeing disinvestment in Q4’15.
Platinum prices looks very good on the six month (but so do many other commodities!):
View attachment 207423
Platinum in the ASX
In terms of good leveraged Platinum ASX exposure (I don't have the funds or patience to sit on blue chips!), I've only been able to locate PGM and RIM as mentioning it in their presentations.
PGM and RIM are neighbouring and are located in Fifield NSW, where CLQ is located and through its old name Ivanplats had been hunting for Platinum years ago (also under Friedland I think - not 100% sure).
Funnily enough, Robert Friedland is a big believer in Platinum with numerous investments in South Africa via Ivanplats Canada, could this be another reason he has thrown so many eggs into Fifield NSW with Cleanteq Holdings (CLQ)
@Bomber78 ?
http://www.mining.com/friedland-wants-south-africa-to-be-the-silicon-valley-for-platinum-65665/
http://investingnews.com/daily/reso...sting/robert-friedland-platinum-airpocolypse/
@mouse I know you don't like fuel cell cars, but would be interested to know your thoughts on Platinum moving forward.... the above link I posted in bold has other important uses for platinum that would imply increased demand
DYOR
(20min delay)