Cape Town – Long-term partnerships between platinum-group metal (PGM) miners and automotive and energy companies are increasingly critical to de-risking the global energy transition, industry experts said at the Investing in African Mining Indaba 2026.
As vehicle and energy technologies evolve, so do the materials and solutions required to support them. Historically, major automakers secured long-term supply deals with miners to guarantee access to critical metals. Today, these agreements remain vital amid complex value chains, emerging technologies, and shifting geopolitical and environmental, social, and governance (ESG) expectations.
“The evolution of the PGM sector has been in lockstep with the automotive sector,” said J.J. Messner de Latour, purchasing sector lead at the Initiative for Responsible Mining Assurance (IRMA). “In many respects, sustainability and ESG have been an indelible part of the journey for PGMs.”
Offtake agreements—arrangements in which producers and buyers commit to purchase or sell future production—are central to ensuring secure supply, price stability, and responsible sourcing. De Latour emphasized that such agreements should be seen as partnerships rather than traditional customer-supplier relationships.
Key players in the mining industry lauded this week’s engagements at the 2026 Investing in African Mining Indaba. This year’s event hosted a larger capacity under the theme ‘Stronger Together: Progress Through Partnerships.’ Business anchor @tumisangndlovu attended the gathering… pic.twitter.com/Ryuqn1YQp6
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“Resilient supply chains are built on transparency and good governance,” he said. “A business with a social licence to operate will have continuity of supply.”
Henk de Hoop, CEO of SFA (Oxford), highlighted the importance of expanding partnerships with emerging automotive markets. “The Chinese car sector has begun exporting massive volumes of vehicles into the rest of the world. These new vehicles have to be catalysed. That makes it crucial for PGM miners to build relationships with the Chinese motor sector,” he said.
The potential rise of a hydrogen-energy economy further increases the demand for PGMs like iridium, used in proton-exchange membranes for fuel cells.
“The problem is that only around 259,000 ounces of iridium are produced every year, and about 80% are committed to customers already, through offtake agreements,” de Hoop said.
The past three days of the Mining Indaba have been nothing short of exhilarating.
The team has been on the ground engaging in sharp conversations with expectations around evidence rising, and it’s clear that “responsible mining” now comes with a simple question: what… pic.twitter.com/WpSyRHHjw3
— Southern Africa Resource Watch (@The_SARWatch) February 12, 2026
“This makes the structuring of those agreements especially important and renders relationships crucial to the new-energy economy.”
David Jollie, global head of sales for Valterra Platinum, stressed that communication and expectation management were central to successful partnerships.
“In a less liquid market, you may not actually need a certain metal,” he said. “What you really need is access to metal. Offtake agreements give you that comfort.”
He also advocated for diversity in sourcing.
“I’m happy to be their biggest supplier,” he said. “But I don’t want to be their only supplier. That comes with risk.”
Lars Reifschläger, head of supply-chain management at Siemens Energy Electrolyzer Manufacturing, one of the world’s first gigawatt-scale electrolyzer factories, reaffirmed South Africa’s strategic importance in global PGM supply.
“We look forward to long-term partnerships in South Africa,” he said. “And we see more opportunity than challenge.”
De Latour concluded the session by cautioning that sustainability extends beyond technology: “We must ensure that the materials that go into sustainable technology have a market that is itself sustainable.”
The Investing in African Mining Indaba 2026 runs until 12 February at the Cape Town International Convention Centre (CTICC).
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Compiled by Betha Madhomu
