IC 8565 Demand For Platinum To Reduce Pollution From Automobile Exhausts

This Bureau of Mines study is an appraisal of the demand for platinum, should this strategic metal be used as a. catalyst in the National abatement of automobile exhaust pollution. The Clean Air Act 0f 1970, as amended, requires that automobiles produced in 1975 and thereafter be provided with antipollutive measures to control automotive exhaust emissions. The study considers the need for automobile pollution control, the methodology for such control, the annual primary (new) platinum demand for automobiles produced from 1975 to 1990, primary platinum availability, and supply-demand forecasts and outlook. The correlative demand for platinum for the production of the required unleaded gasoline is also considered. Methodology for the study included a forecast of new automobile production from 1975 to 1990, development of automobile survival and retirement data, estimates of new platinum demand under various conditions of salvage, and data on recycling the precious metal from the catalytic converters of scrapped vehicles and existing vehicles when their spent converters are exchanged for replacement units. The new platinum demand for automobile exhaust converters, based on a converter service life of 50,000 miles, is estimated to be 1.41 million troy ounces initially in 1975, rising to 1.68 million in 1980, and declining curvi-linearly to 0.94 million in 1990. The platinum demand for converter longevities other than 50,000 miles can be derived from the tabular data presented. An appendix to the report presents a comparison between longevities of 50,000 miles and 25,000 miles. The petroleum industry's demand for new platinum for the production of lead-free gasolines could total as high as 1 million troy ounces between 1972 and 1981, just for expansion of isomerization and reforming capacity, and is in addition to normal operating demand for this metal.