Platinum-based fuel cell maker a first for Africa

AFRICA’S first fuel-cell-component plant that uses platinum as a catalyst will start production by December, aiming to take advantage of the rising demand for clean-energy cars, officials from Isondo Precious Metals said.

Isondo has secured a licence from United States-based Chemours Technology to assemble components for fuel cells using platinum, which has mainly been used in catalysts to clean up car emissions. South Africa is the world’s top platinum producer and has the largest reserves of the precious metal.

Vinay Somera, the chief executive of Isondo Precious Metals, said tax breaks, relatively cheap labour and access to raw materials should give the plant a competitive advantage.

“We are not reinventing the wheel. We are going for what is available but locating the manufacturing here while doing it cheaper and at the same standard internationally,” Somera said at the Investing in Africa Mining Indaba in Cape Town.

Isondo was looking at venture capital funds and other investors to help to raise about R120 million needed over the next two years to expand its production line. The new plant will be located in a special economic zone in Johannesburg or Durban.

The number of vehicles using fuel cells has grown rapidly as car-makers invest in technology to cut emissions.

Getting in early David Hart, director of Swissbased sustainable energy consultancy E4tech, said there could be 1.6 million fuel-cell vehicles globally by 2030.

“It is very clear that there will be more people entering this market, and if you do it in five years’ time, it is probably too late. So, to some level, it is first-mover advantage, and this is important,” Hart told Reuters. – Reuters