Anglo Platinum has approved R25.8 billion of funding for new projects that will boost its production over the next few years.

Funding for new projects now stands at R40 billion with the development of the Amandelbult mine taking up R16 billion of the cash.

The firm will construct a number four mine at the project to replace 271,000 oz of platinum each year.

Neville Nicolau, the Chief Executive Officer of the firm, said it was important to increase production as the demand for platinum remained strong.

Auto makers and industrial firms sought the metal although the jewellery market was showing signs of weakness.

But Anglo Platinum is showing an aggressive strategy and in the six months to June it has already spent R5.8 billion on capital projects with spending expected to total as much as R13 billion by the year end.

The firm had originally aimed at producing 3.0 million ounces a year, but after power shortages and flooding it has downgraded its yearly target to 2.47 million ounces.



Source:

Angloplat on R25bn expansion trail, 29/07/08
http://www.businessday.co.za/articles/topstories.aspx?ID=BD4A810886

Angloplat makes few promises, sets achievable goals, 29/07/08
http://uk.reuters.com/article/oilRpt/idUKL925061420080729?sp=true