South African firm Eastern Platinum announced on Friday (7th November) that it will be altering its upcoming development schedule slightly in response to the current depressed PGM prices.

The JSE-listed miner released a statement informing shareholders that it will continue to bolster production at its Crocodile River mine (CRM) but will also adjust the timelines on other development projects.

President and CEO Ian Rozier explained in the statement that the company is still looking to remain a cost-effective producer and that it will now concentrate its growth efforts accordingly in the short to medium-term.

He said: "These actions will allow Eastplats to continue to be a low-cost producer and conserve cash.

"As a direct result of the extensive underground development carried out at CRM over the past two years, we have the flexibility to enact these measures and at the same time increase production."

The company expects around 140,000 oz to be produced at CRM next year, a figure which would represent a rise of 17 per cent from the 2008 full-year estimate of 120,000 oz.

Mr Rozier added that the increasing output at the Zandfontein and Maroelabult sections of the mine will be the primary focus, while it has temporarily put development of the Crocette section on care-and-maintenance.

The development projects set to be rescheduled are those at Spitzkop, Kennedy's Vale and Mareesburg, which are all located in the Eastern Limb of the Bushveld Complex.



Source:

Eastplats re-evaluates development plan on low PGM prices (07/11/08)
http://www.prlabonline.com/http://www.miningweekly.com/article.php?a_id=147086