Glencore's are starting to collect good size PGM assets directly or indirectly.
Looking at a takeover of ENRC for $19.5 billion. ENRC last year took over Camec for $950 million which has a 60% stake in a platinum project in Zimbabwe. ENRC also purchaced a 14.35% stake in Northam last year. That coupled with a 34% stake in Xstrata which has a 25% stake in Lonmin plus their own Elands project and the Mototolo JV, not forgetting investments in PGM deposits in Canada. It all starts to add up for a large slice of the PGM market for the commodities trader. And a corner stake investment in a company with a PGM project at the Duluth complex in America.
World wide consolidation of platinum projects continue to happen year after year and there are lot less of them available than other precious metals.
NKP Price at posting:
27.0¢ Sentiment: Hold Disclosure: Held
