Paul Dunne
CEO: Northam Platinum
‘Current prices remove the incentive price for new mines. The damage has been done and depletion is inevitable’
AGAINST the backdrop of depressed platinum group metal (PGM) prices, Paul Dunne had his team do some sleuthing in China. In May 2024, Dunne revealed that Northam had discovered that Chinese fibreglass manufacturers had been substituting platinum for far more costly rhodium in their alloy mix, triggering a collapse in the price of the latter. This probe not only pulled a veil off opaque Chinese markets; it also shed light on Northam’s approach to business under Dunne: if things don’t add up, get to the bottom of the matter.
Northam is closely monitoring metal movements in China. One of the points that Dunne consistently makes is that PGM production is set to start declining before 2030, which underpins Northam’s long-term confidence in the market in the face of current headwinds. Northam under Dunne’s guidance remains on track to become a milion-ounce PGM producer, with most future growth coming from its mechanised and low-cost Booysendal operation. This has been key in making Northam the preferred PGM share ahead of a market recovery (when it comes).
PGM sceptic Coronation, the South African asset manager, was a notable buyer of the stock last year. Organic growth is also Dunne’s key strategy after being thwarted by Impala Platinum (Implats) in its bid for Royal Bafokeng Platinum. Dunne and Implats’ CEO Nico Muller are barely on speaking terms as a result of the fallout from that fracas. Dunne has an earthy approach to management. Northam is also the only mining company these days that lays on lots of wine after its results presentations, a style that evokes a bygone era.
LIFE OF PAUL
Dunne has a BSc Honours in electrical engineering and an MBA. A British national, he has an easy, approachable style but he's also canny and strategic. Dunne has deep experience in the PGM sector: he was formerly a senior executive at Implats, responsible for all mining, concentrating and smelting operations at the group’s Rustenburg and Marula mines. To unwind, he likes to play chess and enjoys a good conversation over a pint or a glass of red.
