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Trade union Solidarity said on March 9 that it would approach the Labour Court on an urgent basis to obtain an interdict against the lock-out of its members at diversified miner Sibanye-Stillwater’s South African gold mines.

This comes after Solidarity members received a notice informing them that they would be locked out of the workplace despite Solidarity’s acceptance of Sibanye’s wage offer and Sibanye negotiators having allegedly given an undertaking to Solidarity that this would not happen.

While Solidarity and Uasa have accepted Sibanye’s wage offer, the National Union of Metalworkers and the Association of Mineworkers and Construction Union have served a strike notice on Sibanye.

“In terms of the lock-out notice, the majority of members of all the unions involved have to accept an offer before a settlement can be reached. This implies that Solidarity’s members who have accepted the offer will also be locked out, and the principle of no work, no pay will apply,” said Solidarity mining, agriculture and chemicals industry deputy general secretary Riaan Visser.

Solidarity contended that the move to lock out Solidarity members amounted to Sibanye “punishing and bullying its loyal employees”, accusing the company of having “lost its moral compass”.

“The unions have been clearly and formally engaging as a collective throughout the extended negotiation period and the majority of the unions have not accepted our final offer.

“We are taking this action to bring a resolution to the dispute which requires a majority decision from the coalition members,” Sibanye investor relations senior VP James Wellsted told Mining Weekly in response to Solidarity’s statements.

Visser contended that the action taken by Sibanye was indicative of why the company was facing an unprecedented second consecutive strike following a previous strike in 2019, which he said was an indication of the company’s poor labour relations.

“Sibanye’s culture of contempt for employees is also one of the main reasons why the company was the most dangerous mining house in the industry to work for in 2021,” he added.

Sibanye recorded 18 deaths across its operations last year. Several more fatalities have followed since January.

“Sibanye’s executives will have to reflect on how the company has lost its moral compass under its management and that . . . the company now also does not respect employees’ right to accept a wage offer,” Visser said.

Solidarity has called on Sibanye to reconsider its “immoral decision”, claiming that its members “have the interests of the company at heart, [but] are being treated with contempt”.

The platinum surplus in 2021 is forecast to reduce by 47% in 2022 as Covid-related and operational disruptions gradually settle, the World Platinum Investment Council (WPIC) states in its Platinum Quarterly.

Covering the fourth quarter of 2021, along with a full year review of 2021 and revised forecast for 2022, the WPIC's Platinum Quarterly states that Covid--related factors and operational disruptions played out particularly during the second half of 2021, having a huge impact on both the supply of and demand for platinum. (Also watch attached Creamer Media video.)

Despite significant demand growth in most sectors, strong supply levels – boosted by a production surge from the accelerated processing of the backlog of semi-finished material – combined with the reduction in Nymex stocks and net negative exchange traded funds demand saw a platinum surplus of 1 232 000 oz, with total platinum supply increasing by 21% and total demand decreasing by 9% year-on-year.

As these issues normalise in 2022, this surplus is forecast to reduce by 47% in 2022 to 652 000 oz, as demand increases 7% (+520 000 oz), while supply declines 1% (-61 000 oz).

The quarterly refers to the role of green hydrogen as being more widely accepted for decarbonisation, which has benefits for platinum owing to its use in both electrolysers to produce green hydrogen, and in hydrogen fuel cells.

It reports that investors are becoming increasingly aware of platinum’s key strategic role in unlocking hydrogen’s crucial contribution to achieving global net zero targets.

Furthermore, the role of green hydrogen in reducing European gas imports could drive a strategic acceleration of electrolyser construction, which would benefit platinum directly but also support the infrastructure needed for broad-based commercial adoption of fuel cell electric vehicles

Mining Weekly is able to point out that 20% of green hydrogen into the existing gas infrastructure would halve Europe's reliance on Russian gas, now of key concern owing to Russia’s invasion of Ukraine.

There are also early indications that supply disruption of palladium from Russia may well enhance platinum demand.

Imports into China have exceeded the Asian giant’s visible demand needs with unwrought platinum alone amounting to 2.75-million ounces, an increase of 45% on the already elevated levels in 2020 - and more than twice the average annual flows over 2016 to 2019.

Increase in platinum supply in 2021 is forecast to plateau in 2022, as the last of additional semifinished material is processed.

Significant rises in automotive (+11%), industrial (+27%), and jewellery (+5%) demand in 2021 set to remain strong in 2022.

In a Zoom interview Mining Weekly put these questions to WPIC director of research Trevor Raymond.

Mining Weekly: Your Platinum Quarterly release mentions Covid-related and operational disruptions in 2021 that have had an effect on supply – can you describe more specifically what these have been, and why they are likely to settle in 2022?

Raymond: We had two real issues that played out in 2021. Firstly, we saw operational disruptions due to Covid in 2020, and those were less so in 2021. But certainly there was some operational impact – absenteeism, etc – so supply was reduced slightly at the at the mining level. The second big issue that played out – in 2020, you'll recall that the Anglo American Platinum Converter was offline for a couple of months earlier, and then later in the year. That resulted in quite a large backup of about 560 000 oz of platinum. We saw that starting to come out in 2021. But it really accelerated towards the end of the year, and by the year-end, that was almost all processed. What we had was mining still at levels potentially a little bit below pre-Covid levels, but a massive boost to refined production that came out, and a lot might have assumed that the high margins being made by the platinum group metals miners caused that, but it was actually the release of that material ...

The platinum surplus in 2021 is forecast to reduce by 47% in 2022 as Covid-related and operational disruptions gradually settle, the World Platinum Investment Council (WPIC) states in its Platinum Quarterly.

Covering the fourth quarter of 2021, along with a full year review of 2021 and revised forecast for 2022, the WPIC's Platinum Quarterly states that Covid--related factors and operational disruptions played out particularly during the second half of 2021, having a huge impact on both the supply of and demand for platinum. (Also watch attached Creamer Media video.)

Despite significant demand growth in most sectors, strong supply levels – boosted by a production surge from the accelerated processing of the backlog of semi-finished material – combined with the reduction in Nymex stocks and net negative exchange traded funds demand saw a platinum surplus of 1 232 000 oz, with total platinum supply increasing by 21% and total demand decreasing by 9% year-on-year.

As these issues normalise in 2022, this surplus is forecast to reduce by 47% in 2022 to 652 000 oz, as demand increases 7% (+520 000 oz), while supply declines 1% (-61 000 oz).

The quarterly refers to the role of green hydrogen as being more widely accepted for decarbonisation, which has benefits for platinum owing to its use in both electrolysers to produce green hydrogen, and in hydrogen fuel cells.

It reports that investors are becoming increasingly aware of platinum’s key strategic role in unlocking hydrogen’s crucial contribution to achieving global net zero targets.

Furthermore, the role of green hydrogen in reducing European gas imports could drive a strategic acceleration of electrolyser construction, which would benefit platinum directly but also support the infrastructure needed for broad-based commercial adoption of fuel cell electric vehicles

Mining Weekly is able to point out that 20% of green hydrogen into the existing gas infrastructure would halve Europe's reliance on Russian gas, now of key concern owing to Russia’s invasion of Ukraine.

There are also early indications that supply disruption of palladium from Russia may well enhance platinum demand.

Imports into China have exceeded the Asian giant’s visible demand needs with unwrought platinum alone amounting to 2.75-million ounces, an increase of 45% on the already elevated levels in 2020 - and more than twice the average annual flows over 2016 to 2019.

Increase in platinum supply in 2021 is forecast to plateau in 2022, as the last of additional semifinished material is processed.

Significant rises in automotive (+11%), industrial (+27%), and jewellery (+5%) demand in 2021 set to remain strong in 2022.

In a Zoom interview Mining Weekly put these questions to WPIC director of research Trevor Raymond.

Mining Weekly: Your Platinum Quarterly release mentions Covid-related and operational disruptions in 2021 that have had an effect on supply – can you describe more specifically what these have been, and why they are likely to settle in 2022?

Raymond: We had two real issues that played out in 2021. Firstly, we saw operational disruptions due to Covid in 2020, and those were less so in 2021. But certainly there was some operational impact – absenteeism, etc – so supply was reduced slightly at the at the mining level. The second big issue that played out in 2020, you'll recall that the Anglo American Platinum’s converter was offline for a couple of months earlier, and then later in the year. That resulted in quite a large backup of about 560 000 oz of platinum. We saw, they're starting to come out in 2021. But it really accelerated towards the end of the year, and by the year-end, that was almost all processed. What we had was mining still at levels potentially a little bit below pre-Covid levels, but a massive boost to refined production that came out, and a lot might have assumed that the high margins being made by the platinum group metals miners caused that, but it was actually a the release of that mat...

Ahead of the planned start of strike action by many employees of Sibanye-Stillwater’s South African gold mines at the evening shift on March 9, Sibanye CEO Neal Froneman has remained steadfast, stating that the offer made on February 4 in an attempt to reach agreement on wages was “final”.

“Wage increases that are higher than inflation are not sustainable and cannot be considered,” he stated on March 8.

Froneman insisted the offer was fair in that it took into consideration current inflationary living costs, and considered the sustainability of the company’s South African gold operations and the interests of all stakeholders for the long term.

Wage negotiations between the company and workers represented by four unions – the Association of Mineworkers and Construction Union (AMCU), the National Union of Mineworkers (NUM), Uasa and Solidarity, have been ongoing since June last year.

Solidarity and Uasa have accepted Sibanye’s latest wage offer, but AMCU and the NUM intend to proceed with strike action.

“It is very disappointing that the two unions have chosen this course of action despite our ongoing engagement. There are no winners in a strike. Not only would strike action undermine employment and the livelihoods of many people who depend on the South African gold operations, but employees will gain little to nothing from it,” Froneman said.

Under the terms of the latest offer, Category 4 to 8 employees would receive an average increase of 6% in the first year, 5.7% in the second year, and then 5.4% in the third year.

This would amount to employees receiving an R800 a month pay rise each year, which would include a R100 increase in the living out allowance each year.

Sibanye said that, in rand terms, the inflation-linked increases would result in wages for entry-level Category 4 underground production increasing by about R34 397 over the three-year period to an average total guaranteed income of about R245 110 a year.

Meanwhile, miners, artisans and officials would receive a flat increase of 5% year-on-year for the three years.

“We urge employees to carefully consider the consequences of strike action on them personally and collectively. Strike action will only serve to jeopardise the sustainability of our gold operations and, ultimately, their futures,” Froneman concluded.

Platinum group metals (PGMs) mining company Royal Bafokeng Platinum (RBPlat) CEO Steve Phiri on Tuesday criticised the sell-off of RBPlat shares by Royal Bafokeng Holdings (RBH) to Northam Platinum as an undermining of the direct significant influence of the 300 000-strong Bafokeng community on regional job sustainability – plus the giving up of a heritage that Bafokeng sweat and blood had helped to enable.

“You do not give up that kind of heritage, even for the most tempting price,” said Phiri after announcing RBPlat’s stunning set of record-breaking financial and production results for the 12 months to December 31, when the JSE-listed company increased its earnings before interest, taxes, depreciation and amortisation (Ebitda) by 28% to a best-ever R8.5-billion on 22%-higher revenue of R16.4-billion. The Ebitda margin rose 51.9% from 49.7% in the previous comparative period. (Also watch attached Creamer Media video.)

On the decision of RBH to sell to Northam Platinum while RBPlat was negotiating with suitor Impala Platinum, Phiri said: “This was in contrast to what we would have expected, which is for RBH to remain invested in its RBPlat creation, and convince all the parties to participate in a consolidated merger," he said during the presentation of 2021 results, covered by Mining Weekly.

“Sadly, RBH’s approach resulted in a messy contest between two strangers in the lounge area of the Royal Bafokeng Nation (RBN), leaving RBN spectators in their own house, which RBN can do nothing about, and which will take some time to resolve, if any,” said the RBPlat founding CEO, who has led South Africa’s only rural community mining company to its current peak together with RBH.

Phiri spoke of RBH having missed a golden opportunity to become a catalyst for job-sustaining and consolidation, a road which would have made an important contribution to the consolidation of the PGMs mining industry, while still ensuring that RBH and the RBN retained their role at the boardroom table.

RBPlat’s listing on 8 November 2010 was so successful that it was oversubscribed four times – “and RBH were there, they actually took RBPlat to market”, said Phiri, who recalled that shortly before year-end “something happened that I could never in my wildest dreams have imagined taking place”.

This, he said, involved RBH not only selling off its defensive role shareholding in the company that it had created, but the sale was to one of RBPlat’s competitors, which, he added, had abandoned shareholders who invested alongside RBH, and who had made “an enormous contribution to the formation, growth and maturity of RBPlat, which as the record shows, has started delivering strong dividends to patient shareholders.

The RBPlat board has declared a gross cash final dividend of 535c a share, equating to R1.5-billion. This is in addition to the interim dividend of R1.5-billion, declared in August 2021, bringing total capital returns for the year to R3.5-billion.

“One would have thought that by creating this company and growing it, they were creating a long-term sustainable cash flow platform from which they would not divest especially at harvest time,” he said.

Still South Africa’s only listed rural community-owned company, RBPlat is a top-100 JSE company by market capitalisation.

“This at least should have made anyone who was part of its formation, think deeply before divesting.

“The trust large institutional investors had in RBH meant that they were comfortable to invest in RBPlat because of RBH and with RBH. Their huge support alongside RBH made it possible for us to successfully construct Styldrift.

ANGLO AMERICAN PLATINUM FORESIGHT PRAISED

“We also acquired Maseve with the support of our institutional investors alongside RBH. Our institutional investors also made it possible for us to acquire 100% of the BRPM joint venture, when, with RBH, we were able to persuade Anglo American Platinum to divest from the remaining 83% shareholding in the joint venture.

“At this j...

National mineral research organisation Mintek will be providing new services to the gold mining and exploration sector.

The organisation announced on March 7 that it would be providing oxygen demand and Knelson extended gravity recoverable gold (EGRG) testing services.

To facilitate these new services, Mintek has acquired an MD3 Knelson concentrator, which is a type of gravity concentration apparatus used for the recovery of fine particles of free gold without the need for gold cyanidation for recovery.

“We have received a number of requests for Knelson gravity work, as well as oxygen demand work, highlighting the need for these services,” said Mintek hydrometallurgy senior engineer Bongiwe Nkabane.

She said Mintek was at the development stage of conducting testing and validation of the Knelson EGRG.

She explained that the objective of the testing was to quantify the amount of EGRG that can be recovered from the ore.

Nkabane said the setup for the Knelson EGRG circuit consisted of a rod mill, a screen and the Knelson concentrator. The test was being carried out in three concentration stages, where each stage was preceded by grinding to a specific grind size. The grind size was progressively reduced as the stages progressed.

The concentrate of each stage was then analysed for gold and particle size distribution. The final tailings were also analysed for gold.

“The benefits compared to the gravity amenability testing equipment that we have is that the progressive grinding minimises the over-grinding of particles and smearing of coarse precious metals. Moreover, the liberation characteristics of the EGRG can be obtained from the test,” she explained.

She said the data acquired from the testing could be used to model, upscale and predict the performance of gravity circuits.

Nkabane requested gold mining and exploration companies to contribute further to the test work by contributing more samples for testing.

OXYGEN DEMAND TESTING

Mintek has also acquired oxygen demand testing equipment with the aim of quantifying ore oxygen requirements.

Nkabane said the sizing of oxygen plants for gold cyanidation plants remained problematic owing to the poor quantification of ore oxygen requirements.

To address this problem, Mintek entered into a service agreement with gas services and equipment provider Air Liquide to house oxygen demand laboratory equipment to be able to provide oxygen demand testing services to the industry.

“The main information acquired from this test is the oxygen uptake rate and the oxygen uptake efficiency. In addition to this, you can get the gold extraction efficiency, the gold dissolution rate, as well as the lime consumption,” Nkabane explained.

Currently, Mintek is busy with training personnel in collaboration with Air Liquide to use the equipment and interpret its results accurately. The commissioning and testing of the equipment still needs to be carried out.

Nkabane extended a plea to the gold mining and exploration industry to provide samples and plant data to help expedite the test work, which she said would begin within the next three months.

“To make this service available we need cooperation between the mining houses and Mintek during testing and validation,” she said.

Mintek expects both the Knelson EGRG and oxygen demand testing services will be commercially available to the industry within six months.

Diversified mining company African Rainbow Minerals (ARM) has reiterated its commitment to transitioning from coal to renewable energy, with its executive chairperson Patrice Motsepe describing the global commitment to the green economy as being not only important but crucial.

Motsepe was speaking against the background of coal contributing an increased R351-million to ARM headline earnings of R3.7-billion in the six months ended December 31, well up on the R222-million headline loss in the corresponding period of 2021 and representing 8% of earnings before interest, taxation, depreciation and amortisation (Ebitda). Significant combined contributions from platinum-group metals (PGMs) and iron-ore made up 88% of ARM’s Ebitda in the half-year.

“Coal has done reasonably well, but we are also committed to the transition from coal to renewables,” Motsepe said during ARM's presentation of half-year financial results covered by Mining Weekly.

“What we’ve said globally, and I have been part of discussions at the highest levels in the world, is that the commitment to the green economy is not only important, it’s crucial.

“What is indeed important is that the transition must be a responsible and carefully planned transition that creates new jobs in the new economy, the economies of the countries and in the companies that are part of the minerals that are under purview in relation to their negative impact on global warming and climate change.

“Coal will continue to be an important part of the South African economy as part of the transition. There are no easy discussions as to how long the transition will take, and we will play our role in terms of making sure that African Rainbow Minerals is in line with the commitments of all of us globally, to climate change and to protection of the environment, society, and the globe overall,” said Motsepe, who expressed pleasure at signing the agreement to acquire Bokoni Platinum Mine for R3.5-billion in cash. ARM’s group net cash rose 35% to R11-1-billion in the period.

ARM has invested a lot in manganese and expressed confidence that in the medium term, manganese would continue to be a significant contributor to Ebitda, headline earnings and profitability.

ARM displayed a slide to emphasise the importance of the Bokoni PGMs transaction, and described it as being part of his JSE-listed company's growth in the short-, medium- and long term.

“The developing of the mine will allow us to scale our PGMs portfolio and create value for shareholders and other stakeholders,” Motsepe said in declaring a 20%-higher interim dividend of 12c a share.

The mine, which has not been operational, is viewed as an exciting opportunity for ARM.

“We’re excited and committed to growing Bokoni in the medium term,” said Motsepe, with ARM ultimately poised to own 85% of Bokoni mine, with communities, employees, and industrialists each owning 5% acquired at a nominal price.

“You cannot be a globally competitive company unless you pay consistent, competitive dividends, as well as indicate a track record of growth.

“We remain committed to paying competitive dividends while pursuing value-creating growth,” he added. ARM’s PGM assets contributed R1.2-billion to overall headline earnings in the period.

ARM’s PGM assets continue to display growth, and iron-ore and manganese continue to play a strategic role. PGMs contributed 46% to Ebitda in the period, iron-ore 42%, and manganese 10%.

“What we’ve said over the last 20 years is that we will grow the PGMs, but side-by-side with that, we will also grow the iron-ore and manganese. Over time, the plan is that the iron-ore and manganese should continue to be a strategic part of our long-term future, but the PGMs will grow significantly in terms of our plans and specifically the Bokoni transaction, and other opportunities that we’re looking at, so that we can get the full benefits of being a diversified mining company,” Motsepe said.

In addition to the acquisitive Bokoni growth project...

The bottlenecks in South Africa’s export corridors – caused in large part by State-owned logistics company Transnet’s inability to provide sufficient capacity – would likely undermine any opportunities that could arise from commodity supply shortages and higher prices as more sanctions are implemented against Russia, financial services provider Sanlam Investments equity analyst and fund manager Andrew Snowdowne told Engineering News on March 4.

Following Russia’s invasion of Ukraine on February 24, sanctions have now been imposed on Russia by the European Union, the UK, the US, Canada, Australia and Japan, while certification of the Nord Stream 2 pipeline project has been suspended by Germany.

Prior to the invasion, Russia provided more than 10% of the global supply of palladium, natural gas, gold, oil and coal. Much of this will now need to be sourced elsewhere, with South Africa potentially in a position to fill the gap if it could only get product out of the country.

“We're not in a position to necessarily take full advantage of the situation because of Transnet’s infrastructure problems and inefficiencies. It’s a very sad situation,” Snowdowne said.

He noted that, for now, there was much speculation and little certainty owing to the rapidly changing situation in Ukraine. Although supply chains appeared to be relatively unaffected for the time being, he said it was definitely not “business as usual”.

Snowdowne explained that geopolitical events typically impact commodity supply more than demand.

Sanctions are not currently targeting commodity flows and, in Sanlam’s view, are unlikely to do so directly, owing to the current power situation in Europe, the broader inflation backdrop and the market dislocation that followed 2018 sanctions on Russian aluminium producer Rusal.

Nevertheless, Snowdowne said there was the potential for exports from Russia to be disrupted by either indirect effects or by Russia’s own choice to restrict exports.

He said that recent history of geopolitical events suggested that the effects on markets are unlikely to be persistent because they do not change the underlying economic realities. Snowdowne said this may well be the case again, but the potential for a significant negative commodities supply shock creates the risk that “this time it’s different”, and that prices might rise sharply to reflect a risk premium.

“This should of course be very bullish for commodity prices, against a backdrop of broadly tight supply-demand balances. However, one should be cognisant that the follow-on impact of dramatic cost-push price inflation, is demand destruction,” he noted.

Snowdowne said a marked intensification of an upward trend in commodity prices had occurred over the past six weeks, as persistent physical demand was reinforced by investors searching for inflationary hedges.

“When played out against the background of lingering production disruptions due to Covid-19, supply chain dislocations and limited supply growth, the result has been a powerful uplift for commodities as an asset class,” he said.

POSITIVE DRIVERS

Beyond geopolitical factors, Snowdowne noted that there were several positive drivers for commodities.

The first of these was general under-investment. He said that a period of substantial over-investment and poor capital allocation between 2007 and 2011 was followed by lower capital expenditure and increased shareholder distributions.

Moreover, the cost of capital is now also higher owing to environmental, social and governance concerns.

The second driver was demand recovery post Covid-19.

“We expect the impact of an end of destocking and significant restock to drive demand for many commodities to levels higher than many expect – most notably in the platinum group metals as the semi-conductor shortage in the automotive sector continues to normalise,” Snowdowne said.

Thirdly, commodities have historically been an effective hedge against inflation, although many surveys suggest investor alloca...

As pressure mounts for the world to align meaningfully with the 1.5 °C global temperature rise scenario, decarbonisation is standing out as a key driver of metals and mining value.

“This has strengthened our view that the mining industry now has a clear pathway towards long-term transformative demand, encapsulated by energy transition,” said Wood Mackenzie Metals and Mining Markets head Derryn Maade during the research company’s Future Facing Mined Commodities Forum webinar covered by Mining Weekly.

“This presents a fascinating dynamic to sector players, and we expect capital allocation will shift further to take advantage of a much anticipated super cycle in green energy materials,” said Maade who described the rising demand trend facing metals and mining as being unstoppable as pressure mounts for the world to align meaningfully with the 1.5 °C global temperature rise scenario.

Wood Mackenzie Metals and Mining VP Robin Griffin said extraordinarily strong metals prices had exploded into 2022 after a very solid 2021.

“We’ve got base metals at somewhere between 30% and 60% above where they were pre-pandemic. For battery raw materials, it’s more like 300% and 500% above where they were and even bulks have been joining the party at two-and-a-half to three times where they were. Obviously, that has created enormous margins,” said Griffin.

“When we look at where prices are today there are very unique circumstances that are playing a role on top of undoubtedly the energy transition premium that is being paid. There are things like pent-up demand from the pandemic, which hugely stimulated the economy.

“A lot of restocking, some hoarding and particularly supply chain issues, which have lingered even whilst the economic recovery has taken hold, and that has really super-charged pricing, and is a very important part of why we are seeing prices where they are.

“So, super cycle, yes – but not quite. When you look beyond 2023, at 2030, for instance, those sort of structural demand issues relating to the energy transition really start to have an effect,” said Griffin.

“Apart from iron-ore and thermal coal, there are very positive demand outlooks across the metals and mining space. Across base metals, battery materials, rare earths, there is universal growth. In absolute volume terms, it is much smaller than the kind of changes that we might expect to see in bulks.

“But when you look at it in terms of the size of the market, which is more important from an investment perspective, the changes are really quite exciting. The types of growth that we’re going to see to 2030 is 15% for lead/zinc, and 20% for aluminium, just below 40% for nickel, 17% to 18% for rare earths and graphite and a tripling of the lithium market,” Griffin outlined.

“That kind of growth, we think, is going to create some major challenges for miners. Certainly, we don’t think there are enough committed projects in the pipeline to meet the demand,” he added.

Additional commitments need to be made to deliver five-million tonnes of aluminium, five-million tonnes of copper, 400 000 t of lithium and 40 000 t of cobalt.

“So, really quite significant. It doesn’t mean that this supply gap will exist in 2030. What we’re saying is that investment needs to ramp up, and we’re looking at about $200-billion of additional investment that would get us to where we need to be.

“Reticence is understandable from an investment perspective. These markets are very volatile, they’re uncertain, and so we can understand that certain miners may not wish to dive in with both feet, but something has to change because we’re in 2022 and 2030 is really just around the corner, particularly when it takes typically ten years to bring on new greenfields suppliers – and, of course, I’m talking about the base case,” Griffin said.

This week, Mining Weekly Editor Martin Creamer discusses decarbonization; Zimplat’s 185 MW solar approval; and whether the supply of platinum group metals could be impacted by Russia’s invasion of Ukraine?