Value Microcaps Junior Miners

[Bobwins]

Positive article about the prospects for Palladium.

This the paragraph the jumped out at me:

As it turns out, mining certain ores for nickel yields significant palladium as a byproduct. And Russian company Norilisk Nickel, the world’s largest nickel producer, supplies millions of ounces of palladium per year.

But according to Mark Anthony, the company is changing its nickel extraction process to reduce pollution:

This chemical process greatly cuts the production cost, cuts off almost all sulphur dioxide pollution, and consumes much less energy. Nickel and copper can be extracted at much higher efficiency, almost 100%.

But the one catch is platinum and palladium, being chemically inert metals, will NOT be extracted by the chemical process, and will be left in the mining waste, after valuable nickel and copper is already produced.

That means Norilsk, supplier of 45%+ of the world’s palladium, will become just a nickel and copper producer and produce almost NO palladium and platinum, and it can actually make MORE profit because the new chemical process costs way much less.

Mark Anthony left another comment suggesting that prices could keep rising, noting, “Palladium is still far too low below platinum price for demand to be suppressed, nor is it high enough to encourage increased production of palladium.”

If this is true and Norilsk converts to this process, the PGM market is set for big changes.








http://seekingalpha.com/article/240393-why-palladium-could-shine-brightly?source=email_partial_daily_dispatch