Apart from a handful of specialist exchange-traded funds, or by sending your money to Russia or South Africa, there are few ways to get exposure to the hottest of the precious metals, palladium — but that might be changing.
In Australia, a palladium “drought” looks like it might be breaking with early signs of a significant discovery of the metal which has traditionally played second fiddle to its big sister, platinum.
It’s early days for Chalice Gold, the small explorer which has made the discovery near the west coast city of Perth, but when it launched a fresh fund-raising exercise last week it was bowled over in the stampede.
Big-Name Investors Pounce On Chalice
The company was only seeking $19 million via an offer of 28.7 million shares but received applications for $48 million, with reports that some of the world’s canniest mining entrepreneurs participated in the rush including billionaire Robert Friedland.
What caught the eye of seasoned mining investors is a combination of demand for palladium, a metal used to clean the exhaust gases of gasoline-powered vehicles and the potential for Chalice’s discovery to become Australia’s first palladium mine.