A delay of between six to nine months in the construction of the concentrator at Angloplat's Twickenham project in Limpopo could prevent the company from reaching its platinum production target of 3.5 million ounces by 2006.

Speculation has mounted over the viability of the target since the company first revealed that it was reviewing some of its expansion plans in July.

An anonymous industry source quoted by Business Day said 'the mining (surface and underground) construction has started, but the concentrator has been delayed to around May, June 2004'.

Angloplat spokesman Mike Mtakati acknolwedged that 'the concentrator has been delayed,' but insisted it has not been cancelled.

'I can confirm as stated in July 2003 that we are conducting a review of existing projects and expansion projects. We could do other things to make sure production is not affected.'

Even if the concentrator is up and running by next year, it would not come on stream until mid-2005, meaning that full production at the Twickenham mine would be unlikely until well into 2006.

Angloplat's main difficulty is the continued expansion of the rand, which is decreasing returns from foreign markets. In July, the company's CEO Ralph Havenstein said that if it stayed at 7.50 to the dollar, Angloplat would have to 'run scenarios' as they came along.