** This post will be added to as more of the market is found.
So where do all the millions of ounces that get mined every year end up? Long story short, the automotive sector dominates. But who are the main players, the secondary traders and refiners. Whilst I believe a miner is most likely to buy Eurasia Mining, it is almost a certainty the buyer will be involved in the sector already. So consider this a definitive list of options!
A good place to start is The London Platinum & Palladium Market – with
Now there is some crossover between lists, so the following is a brief summary of who is who.
|Germany||C Hafner GmbH||Good Delivery|
|Heraeus Metals Germany GmbH||Full|
|Saxonia Edelmetalle||Good Delivery|
|UK||Johnson Matthey||Good Delivery|
|Anglo American Platinum||Associate|
|India||Hindustan Platinum Pvt. Ltd||Good Delivery|
|Italy||Chimet SpA||Good Delivery|
|Japan||Aida Chemical Industries||Good Delivery|
|Asaha Pretec Corp||Good Delivery|
|Furuya Metal Co||Good Delivery|
|Hanwa Company Limited||Affiliate|
|Ishifuku Metal Industry||Good Delivery|
|Materials Eco-Refining Co||Good Delivery|
|Matsuda Sangyo Co||Good Delivery|
|Nihon Material Co||Good Delivery|
|Tanaka Kikinzoku Kogyo K.K.||Full|
|Tokuriki Honten Co||Good Delivery|
|Korea||Heesung PM Tech Corp||Good Delivery|
|Russia||Joint Stock Company (Gulidov Krasnoyarsk)||Good Delivery|
|Norilsk Nickel||non member|
|Prioksky Plant||Good Delivery|
|South Africa||Heraeus South Africa (Pty) Ltd||Good Delivery|
|Impala Platinum Ltd||Good Delivery|
|Rustenburg Platinum Mines Ltd||Good Delivery|
|Sylvania Platinum Limited||Affiliate|
|Switzerland||Argor-Heraeus SA||Good Delivery|
|Metalor Technologies SA||Full|
|Taiwan||Solar Applied Materials Technology Corp||Good Delivery|
|USA||BASF (Catalysts Division)||Full|
|Johnson Matthey Inc||Full|
|Sabin Metal Corporation||Associate|
|Heraeus Precious Metals North America LLC||Good Delivery|
|Market Makers||Goldman Sachs||Full|
|HSBC Bank USA||Full|
|ICBC Standard Bank PLC||Full|
|JP Morgan Chase Bank||Full|
|Standard Chartered Bank||Full|
|Bank of Nova Scotia||Full|
|need research||Alliance Industries Ltd||Associate|
|Amalgamated Metal Trading Limited||Associate|
|Baird & Co Ltd||Associate|
|Cookson Precious Metals||Associate|
|CRI / Criterion Catalyst Company Ltd||Associate|
|Metals Trade Overseas AG||Associate|
|Mitsubishi Corporation International (Europe) Plc||Associate|
|Mitsui & Co Ltd||Associate|
|Triland Metals Ltd||Associate|
|Umicore AG & Co KG||Associate|
|UOP CH Sarl||Associate|
|Avon Speciality Metals||Affiliate|
Dillon Gage Metals
Eiger Trading Advisors Ltd.
G4S Cash Solutions UK Ltd.
G4S International Logistics (UK) Limited
Gemini Industries Inc.
Gerrards (Precious Metals) Ltd.
GFI Securities Limited
ICAP Securities Limited
Inspectorate International Ltd.
Ivanhoe Mines SA
Loomis International (UK) Ltd
Malca-Amit Commodities Ltd.
Metals Focus Limited
Ospraie Management, LLC
Platinum Group Metals Ltd.
Richmond Commodities Limited
Techemet Metal Trading LLC
Tokuriki Honten Co. Ltd
Tullett Prebon (Europe) Limited
Western Digital Corporation
Wogen Resources Ltd.
World Platinum Investment Council
|Group Revenue||Company||Financial Info|
|$69.7bn||BASF||From 2020 Annual Report – EUR 59.1bn. German giant of industry, PGM in Catalysts division with American HQ|
|$60.6bn||Toyota Tsusho||6.69 trillion yen (2019 annual report). This is the trading division of Toyota.|
|$48.1bn||Sumitomo||From 2019 Annual Reports (2020 due in May). A true giant on the global stage. $12.5bn from metal products and $10bn from mineral resources.|
|$32.3bn||Anglo American||From 2020 Annual Reports. $8.4bn from PGM mining|
|$26.4bn||Heraeus||In the 2019 financial year, Heraeus generated revenues of €22.4 billion with approximately 14,900 employees in 40 countries. Heraeus is now one of the top 10 family-owned companies in Germany and holds a leading position in its global markets.|
|$15.5bn||Norilsk Nickel||2020 Consolidated revenue increased 15% y-o-y to $15.5bn owing to higher prices of palladium and rhodium as well as the scheduled ramp-up of Bystrinsky project; EBITDA decreased 3% y-o-y to $7.7bn.|
Largest Palladium miner in world and neighbour to Eurasia site at Monchetundra.
|$15.4bn||Hanwa||1.7 trillion Yen (2021 estimates) Hanwa is a trading company with operations spanning non-ferrous metals, metals and alloys, food, petroleum and chemicals, machinery, lumber and many other business sectors. The company has solid positions in all of these businesses.|
|$13.2bn||Mitsubishi Materials||1.46 trillion yen (2021 estimates), precious metals division, invests in copper mines overseas, urban mining (recycling)|
|$9.06bn||Honda Trading||Trading arm of Honda, responsible for over 6% of transactions in PGM each year (from their website)|
|$7.74bn||Sibanye Stillwater||Net profit of $1.78 billion in 2020, the highest for any year since it was formed in 2013, revenue increased to $7.74 billion from $5.04 billion.|
|$5.83bn||Johnson Matthey||From 2020 Annual Report, £539m profit, £4.2bn sales (exc precious metals trading)|
|$1.91bn||Matsuda Sangyo||MATSUDA SANGYO CO.,LTD. is located in SHINJUKU-KU, TOKYO, Japan and is part of the Steel Service Centers & Other Metal Wholesalers Industry. MATSUDA SANGYO CO.,LTD. has 1,436 total employees across all of its locations and generates $1.91 billion in sales (USD). There are 52 companies in the MATSUDA SANGYO CO.,LTD. corporate family. (DNB report)|
|$733m||Saxonia||SAXONIA Holding GmbH has 710 total employees across all of its locations and generates $732.96 million in sales (USD). There are 17 companies in the SAXONIA Holding GmbH corporate family. (DNB report)|
|$114m||Sylvania Platinum||From 2020 Annual Report, EBIDTA $69.6m|
|$68m||C Hafner||C. Hafner GmbH + Co. KG is located in Wimsheim, Baden-Württemberg, Germany and is part of the Primary Metals Manufacturing Industry. C. Hafner GmbH + Co. KG has 198 employees at this location and generates $68.20 million in sales (USD). There are 7 companies in the C. Hafner GmbH + Co. KG corporate family.|
Think of it as a handy port of call for background research. Some companies are good enough to list some details on their website, such as Honda Trading involved in over 6% of PGM volume annually. Only an affiliate member so will need to go through the full list to work out how many other major players are hiding in plain view!
Finally, the Matthey report is an excellent industry leading annual report. A must read for anyone investing in the PGM sector.
Key highlights (from Matthey report)
- The platinum market remained in deficit in 2020, with sharply lower supplies, and strong investment demand.
- Autocatalyst consumption plunged by 22%, with steep falls in European diesel car production.
- Industrial purchasing was more resilient, especially in China, where petrochemical and glass expansions went ahead.
- Chinese jewellery demand slumped to a 20-year low, although record gold prices encouraged some retailers to stock more platinum.
- Japan saw heavy bar purchasing in the first half of 2020, while ETF investment turned strongly positive in the second half.
- Primary platinum supplies shrank by 20%, due to processing outages and pandemic-related disruption in South Africa.
- Auto recycling contracted sharply on weak diesel scrap volumes in Europe and processing capacity constraints.
- The palladium market remained in significant deficit, driving the price to all-time highs in early 2020.
- A plunge in vehicle output was partly offset by higher palladium loadings on gasoline vehicles.
- Consumption in chemical catalysts remained buoyant, with strong investment in new plants in China.
- Other industrial demand fell sharply, due to COVID-related disruption and price-driven thrifting.
- Investment demand remained negative, with further redemption of palladium ETFs.
- Primary supplies were hit by mine closures and processing outages, while autocatalyst recycling also slowed.
- The rhodium market moved deeper into deficit as supplies dropped faster than demand.
- With tighter emissions limits boosting catalyst loadings, auto demand fell by less than 10%.
- Purchases by glass companies plunged, as high prices stimulated thrifting.
- Primary supplies contracted sharply due to mine disruption and processing outages in South Africa.
- The rhodium price surged to an all-time record of $17,000 in December 2020.
Outlook for 2021, all pgm
- Pgm supply and demand are forecast to bounce back in a V-shaped recovery in 2021.
- Autocatalyst demand will recover strongly, on higher car output and stricter emissions limits for trucks in China.
- Industrial consumption will remain robust, with pgm use in chemicals set to reach an all-time high.