Zimbabwe’s New Mine Laws May Prevent Platinum Surplus
Source: Bloomberg, Carli Lourens (9/8/11)
"A 'real risk' of excess supply if economies go into a recession."
Zimbabwe, threatening to withdraw the mining license of its largest platinum company, Zimplats, may produce less of the metal next year, preventing a global surplus, Standard Bank said.
"Lost supply from Zimplats could be the difference between a platinum market remaining in a deficit next year and a possible surplus," Walter de Wet, head of commodity research at the bank, said. While forecasting a 75,000-ounce shortage in 2012, the bank sees a "real risk" of excess supply if U.S. and European economies go into a recession.
More than 50 miners may lose their permits as their ownership proposals aren't acceptable. . .View Full Article