The mining company, Impala Platinum (Implats) is planning to move toward metals key to the green energy transition as electrification threatens its core business in southern Africa.
Nico Muller, who is the company’s CEO, appointed an analyst to help the Johannesburg-based company understand the base metals market. He said that the copper and nickel that are already produced by Implats alongside platinum-group metals, will be a particular focus.
Currently, copper is coming up as go-to commodity for investors that are seeking exposure to the green transition, with usage projected to surge in electric vehicles and renewable energy. That raises the threat to dent demand from the main consumers of platinum and palladium: autocatalysts that curb pollution in gasoline and diesel cars and trucks.
After profit slumped 85% in the 12 months through June, the CEO told reporters on Thursday: “We do recognize the threat of electrification, and as a consequence, we said that we will be looking to diversify our portfolio, in particular into forward-facing metals associated with renewable energy and the energy transition.”
Implats’s shift echoes the strategy followed by South African rival Sibanye Stillwater, which in recent years has diversified into nickel and lithium projects. Sibanye is also bidding for copper assets in Zambia.
