Print Page   |   Report Abuse   |   Sign In   |   Register
IPMI and Industry News: Industry News

Rhodium the new PGM king

Wednesday, September 16, 2020   (0 Comments)
Posted by: Matt Watson
Share |

Rhodium the new PGM king

 14 SEP, 2020 - 00:09


Rhodium the  new PGM king



In January rhodium prices were already considered absurdly high at over $8 000/oz

Looking at the share price charts of Implats and Amplats, you’d imagine the lockdown had no impact on production whatsoever.

That’s not true: Amplats suffered a 25 percent drop in production in the first half to June, and reported a 585 000 ounce Covid-related loss of output. The impact on Implats was less severe, with tonnage and refined output down 14 percent due to Covid-19 for the full year to June.

The results announced last week by Implats were stunning. Buried in the detail is the impact of a formerly insignificant metal called rhodium, which accounts for just 6.5 percent of Implats’s output but 25 percent of revenue. It’s a similar story at Amplats, where rhodium accounts for 7.5 percent of platinum group metal (PGM) output but 34 percent of revenue.

The rise of rhodium

In January rhodium prices were already considered absurdly high at over $8 000/oz, with many analysts expecting a correction. That has not happened.

Not by a long shot. This week rhodium traded at $13 300/oz, a 10-fold rise over the last decade.

Platinum, on the other hand, is down nearly half since 2010. The palladium price is up eight-fold over the same period.

Platinum has been steadily eclipsed by what were previously considered by-product metals — rhodium and palladium. Ironically, platinum fell victim to its own success, having traded at a high of over $2 200/oz in 2008 during the commodity super-surge.

Read the full article at:



Association Management Software Powered by YourMembership  ::  Legal