Neal Froneman charts path forward for PGMs industry | VUKA Group (2024)

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Neal Froneman charts path forward for PGMs industry

Neal Froneman | This 7th edition of PGMs Industry Day, taking place in Johannesburg, stands as a beacon of the industry. The annual event has gathered a group of influential individuals from the PGM industry for a day of deep contemplation and discussions about the future.

As attendees filtered into the venue, there was a sense of excitement in the air. One hundred years after Hans Merensky’s groundbreaking identification of PGMs in the South African bushveld, the industry is facing a critical decision point. Could this really be the end of the PGM era, or might it signal a fresh start for innovation and opportunity?

Under the stewardship of Bernard Swanepoel, the day has unfolded with a series of thought-provoking sessions, each delving into a different facet of the PGMs landscape. From the role of PGMs in a clean energy future and the global outlook for PGMs, no stone was left unturned.

Sibanye-Stillwater CEO Neal Froneman delivered the opening keynote address titled “The PGMs industry: Where to?”.

Neal Froneman said the safety industry is crucial for its survival, and understanding the market is essential for success.He emphasised that everything in the industry starts and ends in the market, and it is crucial to focus on conceptual issues regarding supply and detail. He further explained that the biggest demand driver for the industry is related to mobility, and without understanding mobility, it is difficult to understand the monodrama.

Neal Froneman also discussed trends developing related to people and consumer preferences, such as markets and VPN. “They emphasise the importance of understanding end-users’ needs rather than governments and technology partners. They argue that PGM demand should be approached from a fundamental point of view, and they will discuss market balance in their company,” he said.

He also discussed the importance of understanding the market and its changes, particularly in the electric vehicle industry.

“This emphasise the need to enter developed markets more as the market is changing in favour of the industry. Mobility plays a significant role in supply and demand, with electric vehicles increasingly utilising remote capture images and smart contracts. Power chains will be a significant factor in this shift, but consumers prefer electric vehicles in North America.

“New technologies, such as hydrogen-powered internal combustion engines, are becoming more visible and are being developed by companies like BMW. These engines are like traditional internal combustion engines, which some consumers criticize due to their different dynamics. It is crucial for companies to be mindful of these changes and consider the impact of virtual work on mobility.

“Self-driving forces, such as societal preferences and attitudes towards working in offices and work itself, may drive the need for less mobility,” added Froneman.

Froneman emphasises the importance of considering the market and the impact of mobility on supply and demand in the electric vehicle industry. By adopting innovative technologies, the industry can continue to adapt and thrive in the ever-changing market.“The Chinese oil industry is facing challenges in producing high-quality electric vehicles due to design process challenges and tariffs. This has led to a decline in predictive vehicle sales, with Elon Musk predicting his company will be obliterated. The French oil industry has been invited to a roundtable discussion in France, where they discussed the need for multiple technologies to compete.

“The introduction of tariffs has led to a shift towards cheaper electric vehicles, with Europeans and Americans moving to cheaper alternatives. However, it is important not to try and predict the future, as the industry is not speculating about the future, he added.

“In 2027, hybrids will play a significant role in the electric car and train industry as they address range anxiety and infrastructure issues. Smart technology combining motors and internal combustion engines provides a significant underpinning that can be forecasted for every disease or service. The enforcement for EGS in this period is nominated to provide peace processes today.”

In closing,Fronemanshared some of the strategic approaches to market development, such as acknowledging that PMGs are industrial metals as opposed to precious metals and that developing demands aligned with the global PGM supply basket creates sustainability.