Platinum group metals (PGMs) could give South Africa a strategic advantage in the emerging hydrogen economy. The country holds roughly 80% of the world’s PGM reserves, including platinum, palladium and rhodium, giving it access to materials that are critical to several hydrogen technologies. The opportunity is therefore bigger than simply exporting platinum-group minerals: South Africa could use its resource dominance as a foundation for building a domestic hydrogen and advanced-materials industry.
PGMs are particularly important in PEM electrolysers, which use platinum and iridium catalysts to split water into hydrogen and oxygen. Iridium is especially significant because it is scarce and difficult to replace in the near term. The same catalytic properties also make platinum important in PEM fuel cells, where it helps convert hydrogen and oxygen into electricity. Other PGMs, including palladium and ruthenium, have applications in hydrogen processing and storage technologies, giving the metals relevance across different parts of the hydrogen value chain.
This creates an opportunity for South Africa to move beyond exporting PGM concentrates and instead manufacture higher-value hydrogen components. These could include catalyst materials, catalyst inks, membrane electrode assemblies (MEAs), electrolyser stacks and fuel-cell stacks. Companies such as HyPlat and Isondo Precious Metals are already developing capabilities in catalysts and MEAs, demonstrating how South Africa can begin converting its mineral advantage into specialised technology and export products.
The economic opportunity extends beyond the value of the metals themselves. Local production would create demand for materials scientists, engineers, technicians and advanced manufacturing skills, while supporting new businesses around equipment, recycling and hydrogen infrastructure. Recycling will also become increasingly important because recovering PGMs from used electrolysers and fuel cells could reduce pressure on scarce primary supplies, particularly iridium.
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South Africa’s PGM reserves do not automatically make it a hydrogen technology leader. The country still needs reliable and affordable renewable electricity, investment in refining and component manufacturing, research capacity, specialised skills and supportive industrial policy. But the strategic logic is compelling: if South Africa can connect its PGM dominance to hydrogen manufacturing, it could move from being a supplier of the minerals used in the hydrogen economy to becoming a producer of the technologies that make that economy possible.
