Iridium prices continued to move higher this week on more inquiries from industrial consumers, though trade sources disagreed about how much metal was actually sold.
The Platts New York Dealer iridium price moved to $540-$580/oz this week from $528-$575 last week on inquiries and sales to industrial consumers, one of whom requires high-purity material.
Trade sources cited continued inquiries and buying from three industrial consumers specifically, including one with high purity needs.
"Because of that, you have to get the high-purity iridium and no one wants to give it away," one PGM dealer/broker said Thursday, referring to the reluctance of some South African producers to release sizeable quantities.
As a result, dealers and refiners are having to scramble for material, "and no one really has it," said the dealer, putting this week's range of sales at $550-$590.
Only about 3-4 mt (about 106,000-141,000 oz) of iridium are produced each year. Production by Anglo American Platinum accounts for more than half of total global output.
The iridium consumers are based in Asia, trade sources said. "There are three solid bids in the market and they keep buying," a second PGM dealer/broker said, putting this week's range of physical deals at $550-$595.
The dealer/broker and a PGM refiner said the consumer demand was being driven in part by a perceived lack of supply. "Once that price starts moving a little bit you see some fence-sitters jumping in and trying to buy it up," the refiner said, putting this week's range at $540-$590. "It creates a domino effect."
But other sources questioned how much iridium had actually been sold as opposed to inquiries or negotiations.
One European dealer/broker who saw the market at $540-$580 said, "There's certainly been a lot of interest, but I don't know how much business has actually been transacted," he said.
Iridium is used by the electronics industry to produce high-temperature crucibles. The crucibles used to grow synthetic sapphire crystals, which are used in light-emitting diode (LED) displays.
