• Rhodium is a very hard, durable and chemically inert precious metal. Its most common physical form is that of a silvery powder that, because of its porosity, is known as rhodium sponge.
• Being an exceptionally rare metal, rhodium is very highly valuable and much more expensive than gold or even platinum.
• Rhodium is part of the Platinum Group Metals (PGMs), along with platinum, palladium, ruthenium, iridium and osmium. In nature, it occurs in association with platinum and palladium or, more rarely, with nickel and copper.
• About 90 per cent of the world’s rhodium output is used in the automotive industry (chiefly in the catalytic convertors that clean up engine emissions).
• With the burgeoning demand for cars in emerging markets like Brazil, Russia, India and China (the BRIC economies), the demand for rhodium is sure to grow well into the future.
• Only two countries in the world produce rhodium. South Africa produces 70 per cent of the world’s supply, while Russia produces the rest. Together, these countries mine no more than around 25 tons of rhodium each year.
• The mined output of rhodium has been declining over the last few years. In fact, it was diminishing supply that pushed rhodium prices up to a staggering US$10,000 per ounce in 2008!
• The supply of recycled rhodium too, is constrained. Recession-hit motorists are likelier to make do with their old cars and defer new car purchases. This means that the rhodium in their cars’ catalytic convertors won’t be available for recovery any time soon. Secondary supply is therefore expected to decline 17.9 per cent from 2008 levels.
• New areas of demand with increased liquidity could make rhodium the precious metal of the future.

Rhodium is mined as a by-product of platinum and palladium in most mines, and as a by-product of nickel and copper at others. South Africa accounts for close to 70 per cent of the world’s rhodium supply and Russia is the only other producer.

There is no primary rhodium mine in the world. Mines are not developed for the sole purpose of producing rhodium. This means that the mining of rhodium is affected more by the prices of platinum and palladium — and to a lesser extent nickel and copper — than by the price of rhodium itself.

Rhodium is used in catalytic convertors that change the toxic nitrous oxide and nitric oxide (NOx) in auto emissions into harmless nitrogen and oxygen. There is no cheaper substitute for rhodium and emissions standards are becoming ever more stringent worldwide. That’s why the automobile industry accounts for some 90 per cent of the global rhodium demand.
Rhodium is also used by jewelers as a plating to enhance the brightness of white gold. In some highly specialized applications, rhodium is used for electrical connections. Alloyed with platinum, rhodium makes aircraft turbine engine parts harder and more corrosion-resistant.
And then of course, rhodium is also traded on the precious metals market.

Catalytic convertors, electrical connectors, turbine engines, blah, blah, blah…. Who but an engineer can be excited by rhodium?

The last time we checked, the Queen of England, Michelle Obama and Paul McCartney did not have a single BE degree between them!

• Did you know that the Crown Jewels of Her Majesty Queen Elizabeth II are rhodium plated?
• President Barack Obama is reported to have promised the First Lady of the United States an exclusive and expensive rhodium “Harmony” ring.
• The Guinness Book of World Records presented Sir Paul McCartney a rhodium disc to celebrate his all-time top-selling recording artist status.

• Step 1: Place your order by phone Monday to Friday from 8:30 a.m. to 10:00 p.m. ET at 1-877-775-4826 or online at https://online.kitco.com/bullion/completelist.html. Kitco will then contact you to confirm your order.
• Step 2: Open a storage account with one of the Kitco Recognized Storage providers as listed below to ensure that Kitco’s Rhodium Chain of Integrity remains intact.
• Brink’s
• G4S
• VIA MAT INTERNATIONAL
• Step 3: Kitco will complete the order upon receiving your payment and transfer your Kitco Rhodium Sponge to the storage of your choice.

Your Kitco Rhodium Sponge can be delivered to your home or an alternate address via a Kitco Recognized Secure Transport Provider. The shipping and insurance fees are as follows:

Follow the same procedure in Step 1 in the question above—if you are purchasing online your total will not show shipping and insurance. At the point your order is confirmed by a Kitco representative simply let us know you are taking delivery. We will recalculate the total amount with shipping and insurance. We recommend that you confirm your total with a Kitco Customer Service Representative before sending payment (you will be contacted within 24 hours of your purchase ).

Shipping and Insurance Charges:

• US $30.00 flat-rate shipping for US and Canadian Customers
• US $4.00 per $1,000.00 of value insurance

Buying from outside Canada or the US? The shipping charge will be determined based on the destination and weight of the package. For further information please call Kitco Customer Service, Monday through Friday from 8:30 a.m. to 10:00 p.m. ET at 1-877-77-KITCO (1-877-775-4826).
Please note

1. Taking delivery of your Kitco Rhodium Sponge will mean that the Kitco Rhodium Chain of Integrity is considered compromised. This will impact the resale value of your rhodium. If the seal is intact, we will buy back at 95% of the Kitco Rhodium Pool bid price. If, for any reason, the seal is not intact or has been tampered with in any way, we will only buy back at 80% of the Kitco Rhodium Pool bid price and we will charge a $250 assay fee per container.
2. There may also be certain risks associated with taking possession of the rhodium sponge. For more information, please refer to the Kitco Rhodium Terms and Conditions and the Material Safety Data Sheet (MSDS).

For details on payment methods, cancellations and fees please refer to the Kitco Rhodium Sponge Terms and Conditions.

The Kitco Rhodium Chain of Integrity is a process by which Kitco Rhodium Sponge purchased in 1 oz, 5 oz or 10 oz tamper-resistant, sealed plastic bottle(s) is delivered to a Kitco Recognized Storage Facility or transferred between Kitco Recognized Storage Facilities by a Kitco Recognized Secure Transport Provider.

Through this process, the rhodium never leaves the possession or control of the recognized suppliers, transporters and facilities.

• By storing your rhodium at a Kitco Recognized Storage Facility, you keep Kitco’s Rhodium Chain of Integrity intact and ensure that the resale value of your rhodium is not compromised

• The logistics of resale are much simpler and less costly when you want to liquidate all or part of your holding

• You needn’t pay the shipping and insurance fees associated with taking physical delivery of your rhodium sponge

• The storage provider insures your metal against loss or damage (refer to your storage agreement for specific terms and conditions)

• Your Kitco Rhodium Sponge will be stored segregated from other customers assets held at the Kitco Recognized Storage Facility

Minimal storage fees covering insurance and handling costs are applicable. Costs will vary depending on the Kitco Recognized Storage Facility you choose.

Yes, you may use any storage provider other than a Kitco Recognized Storage Facility. However, this will break Kitco’s Rhodium Chain of Integrity and affect the price at which you would be able to sell your rhodium.

Kitco’s Rhodium Chain of Integrity will be considered broken when:

• The customer takes possession of the physical product
• The customer arranges storage with a storage facility other than a Kitco Recognized Storage Facility
• The customer tampers with the seal of the bottle(s), even if this is done when visiting a Kitco Recognized Storage Facility*
• If a bottle is tampered with while in a Kitco Recognized Storage Facility, it will need to be assayed at a Kitco facility before a price can be locked in.  All shipping, insurance and assay charges will be your responsibility.  

You may lock in a sale price upon confirmation of delivery or transfer of the product to a Kitco Recognized Storage Facility, by the facility . It is your responsibility to request confirmation from the relevant Kitco Recognized Storage Facility. Kitco must receive confirmation of delivery or transfer and verification that the rhodium never left the facility and the plastic container has not been tampered with prior to locking in a sale price. The sale itself entails the following steps.

• Step 1: Contact Kitco by phone, fax or email for assistance in selling your Kitco Rhodium Sponge  back to us.
• Step 2: Contact your Kitco Recognized Storage Facility to initiate the transfer of your rhodium to Kitco.
• Step 3: Your storage facility will then confirm with us that you have requested a transfer and we will then lock in the price.
• Step 4: Kitco will proceed with your payment once it confirms receipt of your Kitco Rhodium Sponge. Please note that transfers may take up to two (2) Business Days from the time you request them.

Contact Kitco by phone, fax or email for assistance in selling your Kitco Rhodium Sponge back to us.

Kitco’s buy-back price will vary depending on whether or not Kitco’s Rhodium Chain of Integrity is intact.

• Kitco Rhodium Chain of Integrity intact
• Kitco will buy back rhodium sponge that stays within the chain at 100 per cent* of the Kitco Rhodium Pool bid price, with no assay test required.
• Kitco Rhodium Chain of Integrity broken
• With the seal intact, Kitco agrees to purchase the Kitco Rhodium Sponge at 95 per cent* of the Kitco Rhodium Pool bid price.
• If a seal has been tampered with, Kitco agrees to purchase the Kitco Rhodium Sponge at 80 per cent* of the Kitco Rhodium Pool bid price, less a $250.00 assay fee per plastic bottle.

*Please refer to the Kitco Rhodium Sponge Terms and Conditions for more details

Kitco Metals Inc. will purchase rhodium sponge, bars and coins obtained from external suppliers. Price confirmations will, however, occur as follows:

• Kitco agrees to purchase externally sourced rhodium sponge, bars and coins at 80% of the Kitco Rhodium Pool bid price, less a US$250.00 assay fee per plastic bottle of sponge, bar or coin*.
• A sale price will be locked in only upon confirmation of weight and purity of the product’s once Kitco’s has received it and tested it.
• All freight, shipping, insurance and other charges for delivering the rhodium to Kitco are the sole responsibility of the seller.

*If you are not satisfied with the price we offer you, we will send the product(s) back to you at your expense.

To do this you would transfer your 10oz bottle to us and we would buy back 5 oz and transfer the other 5oz bottle back to you. You would be responsible for the fabrication fee only.

You may transfer your ounces. However, the following fabrication fees are applicable:

• For 1 oz Kitco Rhodium Sponge bottle(s): US$30/oz
• For 5 oz Kitco Rhodium Sponge bottle(s): US$15/oz or US$75/bottle
• For 10 oz Kitco Rhodium Sponge bottle(s): US$10/oz or US$100/bottle

For further information, please call one of Kitco’s qualified Customer Service Representatives Monday to Friday from 8:30 a.m. to 10:00 p.m. at 1-877-77-KITCO (1-877-775-4826).

As long as your Kitco Rhodium Sponge is within the chain we will swap your Kitco Rhodium Sponge to Kitco Rhodium pool ounce for ounce. If the sponge is outside the chain the calculation will be based on purity and whether or not the bottles are tampered with. You will lose the fabrication fees.

For further information, please call one of Kitco’s qualified Customer Service Representatives Monday to Friday from 8:30 a.m. to 10:00 p.m. at 1-877-77-KITCO (1-877-775-4826).

Kitco Rhodium Sponge bottles are not fragile and will not break if they are dropped accidentally. They are made of a plastic called HDPE (high-density polyethylene). Its molecular structure makes HDPE very high strong and durable. Because of their physical strength and chemical stability, HDPE bottles are widely used in pharmaceutical and chemical industries. Unless it is intentionally destroyed or defaced, it is unlikely that an HDPE bottle will be damaged by wear and tear.