Increased load shedding could have severe repercussions for global platinum supply.

If increased load shedding hits South Africa’s precious metal production this winter, there will be dire consequences for the global Platinum Group Metals (PGM) markets, a new industry report has warned.

While South Africa’s intensifying power supply crisis has had little direct consequence for the rest of the world, the country is responsible for 73% of the world’s platinum.

“The consequences of a significant and continuing decline in power generation … [and] impact on the South African PGM platinum mine supply will be disastrous for global platinum mine supply,” independent precious metals consultant David Davis said in a report last week.