Global platinum demand expected to increase 5.8% a year during the period from 2010 to 2020
Global platinum demand is expected to increase 5.8% a year during the period 2010 to 2020, reaching 10.319-million ounces.
Speaking at the Geological Society of South Africa’s Platinum Day conference, in Johannes- burg, mining corporate finance company Allan Hochreiter partner René Hochreiter said that, since 1975, platinum demand had grown by 2.7% a year.
Platinum supply was expected to increase to 9.834-million ounces, up from the 6.6-million ounces recorded in 2010. However, the industry will face a significant shortfall by 2015, easing slightly by 2020.
Palladium demand would grow by 2.3% a year, compared with a 5%-a-year growth between 1981 and 2010, while rhodium demand was expected to rise 9.2% a year, a decrease from the 39.4%-a- year growth during the same period.
Palladium had seen a surplus over the past six years, owing to Russian stock supply, Hochreiter said; however, a shortfall of palla- dium was experienced last year. Supply in 2010 was 7.290-million ounces, 2.575-million ounces of which originated from South Africa, while demand reached 9.625-million ounces, compared with the 7.850-million-ounce demand in 2009.
While demand was expected to decrease to 7.855-million ounces by 2020, with palladium supply reaching 8.4-million ounces, the palladium industry would experience a shortfall until 2015.
Last year, China accounted for d 25% of global platinum demand, reaching 1.985-million ounces, while North America required 19%, or 1.505-million ounces. Japan’s and Europe’s demands were 15% and 27% respectively.
This demand was driven mostly by the 3.125-million ounces in the autocatalyst industry and 2.415-million ounces in the jewellery sector. South Africa supplied 4.635-million ounces of this demand, with Russia following at 825 000 oz and North America at 210 000 oz, while recycling provided 1.840-million ounces, Hochreiter said. – MiningWeekly
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