South Africa’s platinum mining industry in terminal decline, Northam CEO says

PUBLISHED: Fri, 30 Aug 2024 23:19:51 GMT

Felix Njini and Nelson Banya

Aug 30 (Reuters) – South Africa’s platinum mining industry has entered a phase of irreversible decline as producers struggle with low prices and demand suffers from the rise of battery electric vehicles, Northam Platinum CEO Paul Dunne said on Friday.

The price of the white metal used primarily in autocatalysts, which once topped $2,000 an ounce, has slid 13% since the beginning of last year to $939 an ounce.

Northam said on Thursday its headline earnings per share fell 81.6% in the year to end June to 4.45 rand ($0.2506) from 24.15 rand previously, largely due to lower prices.

The price of platinum’s sister metal palladium also fell 40% in 2023 and is down 10% so far this year, while rhodium is trading around $4,750 an ounce, well below its 2021 peak of nearly $30,000 an ounce.

Read the full article at:  South Africa's platinum mining industry in terminal decline, Northam CEO says - CNBC Africa