Chrome and platinum miner Tharisa reported a more than two-fold jump in annual profit, driven by strong production and improved prices of chrome concentrates and platinum group metals. The company said headline earnings per share, the main profit measure in South Africa, climbed to 38.3 U.S. cents in the year ended Sept. 30, from 16.9 cents in the previous year.
Platinum prices climbed to a 6-1/2-year high of $1,336.50 an ounce in February but have since sagged to around $1,000, helped by a growth in demand from automakers and industry.
“Fundamentals of PGMs in the longer term are robust, driven by a healthy outlook for the internal combustion engine (in the short and medium term), investment demand, industrial demand and hydrogen fuel cell production for renewable energy,” Tharisa said.
Still, the global platinum market is heading for its biggest surplus in years in 2022, with an increase in supply from South Africa, the World Platinum Investment Council (WPIC) said in its latest report on the PGM market.
Tharisa reaffirmed its production forecast for FY2022.