Analyzing the Platinum Crisis

FM reported on the current platinum market and efforts to resolve the crisis.

As quoted in the market news:

Minerals minister Susan Shabangu’s recently appointed task team will battle to find a quick solution to avoid platinum mine closures, because the causes of the crisis are structural, not superficial.

Market forces are largely responsible: the platinum price is too low for many miners to cover their costs. Beyond a certain level, costs cannot be reduced any further, and attempts to control the market will only make the situation worse.

Click here to read the full FM report.