• Tharisa unveiled a $547 million underground expansion plan for its platinum mine to extend production beyond 2035.

• Global platinum prices have risen above $1,600 per ounce, their highest level in nearly 12 years, spurring new mining investments.

• Several major projects, including those by Valterra Platinum, Ivanhoe Mines, and Southern Palladium, are advancing across South Africa.

Tharisa Mining has released the technical details of its underground expansion project at its namesake platinum mine in South Africa, estimating an initial investment of $547 million over the next 10 years. The announcement, made in a note published on Friday, October 3, comes as global platinum prices climb and several companies push forward with new projects in the country.

According to Trading Economics, platinum traded near $1,600 per ounce in early October, approaching its highest level in almost 12 years, supported by persistent supply shortages. Against this backdrop, several mining companies operating in South Africa are accelerating their platinum developments, including Tharisa.

In August, Reuters reported that Valterra Platinum (formerly Anglo American Platinum) plans to start trial works by the end of 2026 for the underground expansion of its Mogalakwena mine, the largest platinum mine in the world. The Sandsloot section, part of this underground project, is currently undergoing a feasibility study ahead of a final investment decision expected in 2027. The same applies to the $946 million Waterberg project, where Platinum Group Metals has begun its feasibility work.

More recently, on Tuesday, September 2, Southern Palladium Limited announced the launch of a 10,000-meter drilling campaign at Bengwenyama. The results will feed into the definitive feasibility study of the project, which hosts about 6.2 million ounces of platinum group metal (PGM) reserves.

Ivanhoe Mines also confirmed in its July quarterly report that it is in advanced talks to raise $700 million by the first quarter of 2026 to fund Phase 2 of its Platreef mine. Phase 1 is expected to begin production by the end of 2025, targeting an annual output of 100,000 ounces of platinum, palladium, rhodium, and gold (3PE+Au). Collectively, these developments mirror a broader regional trend, also observed in Zimbabwe, Africa’s second-largest platinum producer.

Platinum prices have already surged more than 50% since the start of the year, making it one of the best-performing precious metals in 2025. The rally has encouraged more companies to revive or advance projects that were previously slowed by weak prices. For South Africa, the world’s leading platinum producer, this trend could help sustain national output.

Overall, the renewed activity comes amid a structural market deficit that has persisted for two years, driven by weak supply and strong demand from the automotive and jewelry industries. The World Platinum Investment Council (WPIC) expects this supply deficit to continue annually through 2029.

However, the viability of these South African projects will depend on how global prices evolve in the coming years. According to World Bank experts, “tight supply conditions will continue to support platinum prices.” Still, some producers, including Impala Platinum, are exercising caution amid the ongoing price rally.

“We therefore exercise a more cautious approach to how we deal with the current 30% increase of the last three months in PGM prices,” said CEO Nico Muller in late August, as quoted by Reuters.