The platinum industry is facing a challenging time as prices have fallen significantly in the past two years. Despite forecast deficits for some metals, prices have only increased by 9% this year. However, a major talking point at a recent industry gathering in London was the impact of the demerged Amplats, following the restructuring events announced by Anglo American CEO Duncan Wanblad.
The demerger of Amplats from its parent company is expected to bring about changes in how the company operates and invests its capital. The move is seen as an opportunity for Amplats to focus on its portfolio and potentially make further production cuts. This could lead to a more efficient and streamlined operation, which would be positive for the industry as a whole.
Amplats CEO Craig Miller emphasized the need for capital discipline and efficient operations as the company moves forward as a standalone entity. The company will have to evaluate its projects and investments more critically, without the support of its parent company.
While there is speculation about industry collaboration and potential asset restructuring, Amplats is focused on growing and extracting the most value for its shareholders. The company is also considering a secondary listing in London to accommodate the flowback of shares from index investors.
Overall, the demerger of Amplats is expected to bring about significant changes in the platinum industry, with the potential for increased collaboration and restructuring. Despite the challenges the industry faces, there is optimism for a more efficient and value-driven future.
