Platinum facts

The platinum group metals (PGMs) are six metallic elements that have similar physical and chemical properties and that tend to occur together in the same mineral deposits. They are:

• platinum
• palladium
• rhodium
• ruthenium
• osmium
• iridium

Learn more about platinum group metals

Uses

PGMs have strong catalytic properties – meaning they can accelerate or trigger a chemical process without themselves being permanently changed or consumed. Manufacturing of catalytic converters for use in exhaust systems in internal combustion vehicles is the largest use of these metals.

Both platinum and palladium are used in autocatalysts to reduce tailpipe emissions from light vehicles, buses, and medium- and heavy-duty trucks – helping to improve air quality. Platinum and palladium are also used for investment, to a limited extent.

Industrial uses of platinum include chemicals, glass, electronics, medical and biomedical, petroleum refining, and jewelry. The end uses of palladium are predominately industrial uses such as chemicals, electronics and dental.

Rhodium is added to three-way (platinum-palladium-rhodium) catalysts for light-duty gasoline vehicles to reduce emissions of nitrogen oxides (NOx).

Iridium and ruthenium end uses include chemical, electronic and electrochemical uses. Iridium and ruthenium use is expected to grow in hydrogen production and fuel cells.

Production

Canadian mines shipped 714,000 troy ounces of PGMs and produced 699,000 troy ounces of PGMs in 2021. The majority of the production occurred in Ontario (73%), with the remainder of production occurring in Quebec, Manitoba, and Newfoundland and Labrador.

Canada has one dedicated PGM mine located in western Ontario near Thunder Bay. However, PGMs are also recovered as co-products at many Canadian primary nickel mines. There are currently 2 advanced exploration projects in northern Ontario that are focused on PGMs as the primary commodities.

Consult a map of producing Canadian mines

International context

Canada is the fourth-largest producer of mined PGMs in the world, accounting for approximately 5.1% of global production. An estimated 19.1 million troy ounces of PGMs were supplied globally in 2021, 72% of which was from mined sources, and the balance was from recycling and scrap sources.

In 2021, estimates of the total proven world reserves of PGMs were 69,910 tonnes or 2.2 billion troy ounces and are located mostly in South Africa. Canada ranks in fifth place for known PGM reserves globally at 310 tonnes or approximately 9.6 million troy ounces.

Trade

Exports

Domestic exports of PGM smelting and refining products (Stage 2) and semi-fabricated products (Stage 3) totaled 7,253 kg worth $653 million, which is a 4% increase in value and a 4% decrease in volume from 2020. Of those products, 94% were palladium-based, 6% were platinum-based, and 0.2% were rhodium-based.

• Products destined for the United States accounted for 75% of the total domestic exports of unwrought, powder or semi-manufactured PGMs. Switzerland accounted for 25% of the other domestic exports and nine other countries imported the remainder.
• Quebec exported 92% of the value of all Canadian domestic exports of these products, worth $601 million, and Ontario exported 8% of domestic exports, worth $52 million.

Imports

Imports of PGM smelting and refining products (Stage 2) and semi-fabricated products (Stage 3) totaled 20,400 kg worth $2.7 billion, which is a 60% increase in value and a 47% increase in volume from 2020. Of those products, 72.1% were palladium-based, 21.0% were platinum-based, 6.5% were rhodium-based, and the remaining were 0.4% iridium-, osmium- and ruthenium-based, measured by volume.

• The majority of imports came from South Africa (33%), the United States (20%), Italy (13%), Belgium (12%) and Russia (9%).
• All of the imported unwrought or powder form of iridium, osmium and ruthenium came from the United States, and 86% the semi-manufactured products of iridium, osmium and ruthenium came from Germany and South Africa.

Prices

Platinum prices experienced a moderate increase in the first half of 2021, peaking at an average of $US1,214 per troy ounce in May 2021. The price then decreased to US$945 per troy ounce by December 2021, which was lower than the price of $US1,091 per troy ounce in January 2021.

Demand for platinum and other PGMs was higher than supply in the first half of 2021 because of to backlogs in South African processing plants. Worldwide semi-conductor shortages caused by supply chain issues caused volatility in all of the PGM markets.

Palladium prices experienced volatility in 2021. The price increased to a peak of $US2,873 by May 2021, then dropped to a low of $US1,789 by December 2021. The price fluctuations are attributed to supply chain issues and COVID-19 pandemic shutdowns that led to less predictable demand in the automotive sector. Autocatalysts (manufacturing of catalytic converters) accounted for 83% of global demand for palladium.

The other PGMs also saw some record high prices in April and May 2021. Rhodium reached a high of $US30,000 per troy ounce. Iridium peaked at $US6,300 per troy ounce before decreasing to about $US4,000 per troy ounce at the end of the year. Ruthenium reached a 14-year high of $US800 per troy ounce in May 2021. In these cases, the high prices decreased demand.

Palladium prices began increasing overall after 2016, with average monthly prices per troy ounce of $US869 in 2017, $US1,036 in 2018 and $US1,572 in 2019. In 2020, the price peaked at $US2,525 early in the year before the COVID-19 pandemic, then dropped to a low of $US1,902 by May 2020. The price recovered in the last half of 2020 and was $US2,376 per troy ounce by January 2021, where it peaked at $US2,873 per troy ounce by May 2021.

In June 2021, the price began to decrease and decreased significantly in September 2021 to $US2,112 per troy ounce, ending the year at $US1,789 per troy ounce. The average price of palladium was $US2,396 per troy ounce in 2021.

Recycling

Mining accounts for approximately 72% of the world's supply of PGMs, while about 28% comes from the recycling of products such as autocatalytic converters, old jewellery and electrical scrap. Scrap and recycling contributed 5.4 million troy ounces to the global supply of PGMs in 2021. The high values of PGMs and their greater concentration in recyclable material compared to mined ore has contributed to the high level of recycling of PGMs.