Platinum Suffers From High Costs, Low Marketing

Mining Weekly reported Northam Platinum’s (FWB:NOC) Consultant Bernard van Rooyen says South Africa’s platinum sector costs too much and lack marketing.

As quoted in the market news:

He believes that some platinum miners will be forced out of the industry because of their inability to cover their cash costs.

He calculates that 60% to 70% of platinum mines are currently not covering their costs plus their stay-in-business capital and points out that forward development for a mine is really just an operating cost, and failure to invest in stay-in-business capital will ultimately result in mines having to close down.

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