Platinum group stocks see little gain from rise in metals prices
It was not so long ago that some chrome and platinum-group-metal miners were laying off workers and putting mines on care and maintenance due to low chrome and PGM prices.
But in 2017, although some analysts predict chrome prices will start dropping, platinum sister metals such as palladium and rhodium are expected to keep rallying. The leader of the PGMs, platinum, has dropped 8.3% since July last year, yet chrome, which last year alone increased about 305%, is now trading at $395 a ton. Palladium last year rose 21% and this year leads the rally in PGM prices with an 10.4% increase so far. Palladium is trading at $751.33/oz. Rhodium has increased 8.4% this year and is trading at $835/oz. Impala Platinum this week announced the sale of its 65% stake in Impala Chrome, prompting questions as to why Implats would not follow in Anglo American's footsteps and hold on to such an asset a little longer to squeeze the benefits of chrome's price rise. Implats spokesman Johan Theron said the chrome extraction venture the company was selling was a small part of the business and, if sold to local businesses and communities , would benefit them a lot more than it ...
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