Podium Minerals Reveals 27% Increase In Parks Reef Platinum Group Metals Resource

Podium Minerals Ltd has revealed a substantial increase in the Inferred Mineral Resource at its 100% owned Parks Reef Platinum Group Metal Project in Western Australia.

The Inferred 5E PGM resource has increased by 27% to 7.6Moz from the previous MRE of 6.0Moz, adding 1.6Moz of 5E PGM elements.

5E PGM refers to platinum, palladium, gold, rhodium, and iridium.

The Parks Reef resource comprises 8 payable metals with 3.7 Moz platinum, 3.2Moz palladium, 0.3Moz rhodium, 0.1Moz iridium, and 0.4Moz gold, and base metals 103kt copper, 143kt nickel, and 27kt cobalt.

Increase of 1.6Moz compared to 2022

Increase of 1.6Moz compared to 2022

The increase in the Inferred MRE is the culmination of an extended program of work involving the lithological characterisation, using a handheld XRF instrument, of ~21,000 assay pulp samples from previous drill campaigns at Parks Reef.

The exercise increase the understanding of the felsic intrusives and re-interpret previous reverse circulation (RC) logging inconsistencies.

The improved geological interpretation enabled the development of an updated 3D grade model, which informs and constrains the April 2024 Inferred MRE of 7.6Moz 5E PGM.

This is an increase of 1.6Moz of 5E PGM above the October 2022 inferred MRE5 of 6.0Moz.

Podium Executive Chairman Rod Baxter said:

“The 27% increase to the MRE adds 1.6Moz of 5E to the PGM inventory and delivers a substantial upgrade in the Resource to 183Mt for 7.6Moz 5E PGM at 1.30g/t, plus base metals.

Baxter said this is a significant achievement, delivering an improved and more robust geological and grade interpretation for the Parks Reef resource.

‘Podium Ounce’ and ‘Podium Basket’

Podium’s 7.6Moz 5E PGM resource contains payable precious metals platinum, palladium, rhodium, iridium, and gold (the ‘Podium Ounce’).

The Podium Ounce is further enhanced by base metals copper, nickel, and cobalt (the ‘Podium Basket’).

Podium Ounce ratio by mass (left) and 2023 forecast PGM demand split (right). Platinum and palladium are the dominant metals by weight and also contribute 36% and 35% respectively to the value of the Podium Ounce.

The ratio of the PGMs which comprise the Podium Ounce is aligned to forecast demand for these metals, underpinned by the automotive and industrial sectors.

Essential in reducing ICE emissions

Platinum, palladium, and rhodium are essential in the reduction of harmful gaseous exhaust emissions from internal combustion engine (ICE) vehicles.

Automotive demand is driven by forecast motor vehicle production growth and higher PGM loadings required to meet more stringent global emission standards.

The apparent moderation in battery electric vehicle (BEV) growth rates, accompanied by the increase in the adoption of hybrid power trains (which require higher PGM loadings in their exhaust treatment systems), further underpins demand projections.

Robust underlying demand fundamentals

The decline in the PGM basket price in 2023 was the result of several disruptive global events, which have in turn triggered the dramatic market reset currently underway.

Although metals inventory destocking and negative market sentiment, compounded by speculative short positions, continue to pressure PGM prices in 2024, pleasingly, positive market signals point to robust underlying demand fundamentals.

Automotive demand underpins the outlook for platinum, palladium, and rhodium through forecast growth in hybrid vehicles, coupled with higher PGM loadings to meet global emission standards.

Platinum and iridium display a solid industrial demand outlook, with upside potential for these metals in critical catalytic applications in the hydrogen economy.

Market Deficits Forecast for PGMs

Market deficits are forecast for key metals this year, with platinum projected to remain undersupplied in coming years.

Supply vulnerability, and a subdued recycle outlook, could see further market tightening for the key PGMs.

This depends on several factors, including the extent to which producers respond to severe financial pressure through cost and supply restructuring initiatives and the draw-down of surface inventories and market sentiment.

Project activities focused on metallurgical flowsheet

In a market deficit setting, there is a need for a reliable source of PGM supply.

Podium’s Parks Reef project, located in Australia’s low-risk, politically stable mining jurisdiction, has sufficient scale and ratio of underlying metals in its basket.

The company’s project activities are focused on the metallurgical flowsheet.

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