Wellgreen Project Preliminary Economic Assessment ... - OTCIQ.com

19.0 MARKET STUDIES AND CONTRACTS
While the defaults occurring in the European economy and the risk of further defaults
is a concern to the metals markets, the emerging economies will still support growth
in the demand for metals. However, the outlook for the metals markets is still volatile
despite continued growth in the demand for metals in China and India and a forecast
that worldwide demand for metals will surpass that of 2011.
19.1 P LATINUM AND P ALLADIUM
There is positive growth predicted for the platinum and palladium markets, but at a
lower rate than anticipated. Table 19.1 and Table 19.2 show the demand and supply
for platinum and palladium respectively, as well as predicted values for 2012. These
predictions and the data in the tables, were sourced from a presentation created by
Implats (a South African platinum miner) in February 2012. For 2012, Implats
forecasted that the global supply will be short 335,000 oz of platinum and 980,000 oz
of palladium.
Table 19.1 Platinum Demand and Supply
2010
('000 oz)
2011
('000 oz)
2012
Forecast
('000 oz)
Platinum Demand
Automobile 3,270 3,450 3,750
Jewellery 2,260 2,430 2,445
Industrial 1,695 1,725 1,780
Investment 650 150 100
Total Demand
Platinum Supply
7,875 7,755 8,075
South Africa 4,735 4,705 4,625
North America 230 360 370
Other 1,015 920 830
Recycle 1,020 1,100 1,130
Russian Sales 800 790 785
Total Supply 7,800 7,875 7,740
Balance -75 120 -335
Prophecy Platinum Corp. 19-1 1193460500-REP-R0001-02
Wellgreen Project Preliminary Economic Assessment,
Yukon, Canada