Nickel and pgm producer Falconbridge has today reported first quarter earnings of $184 million, marking a significant leap from levels for the same period in the previous year.

First quarter operating income totalled $268 million in 2004, compared with operating income of $61 million for the opening quarter of 2003.

Indeed, despite the strike problems at the firm's Sudbury site, production did not suffer in the company's main sectors, eliciting a positive response from the company president.

"We are pleased with our financial results, which established a new quarterly record. We had solid production despite the strike in Sudbury and as a result of our initiatives to control costs, we were able to take full advantage of the substantial increase in metal prices," said president and chief executive Aaron Regent.

"The outlook continues to be very positive with high metal prices expected for the balance of the year," he added.

Meanwhile, the firm also updated information on its Nickel Rim South deposit, which it now believes houses 13.2 million tonnes of deposits, including 1.7 per cent nickel, 3.5 per cent copper, and 0.04 per cent cobalt and significant platinum group metals.

This compared to 6.3 million tonnes at the beginning of 2003.

A five-year, $368-million program has already gone ahead with production expected to start in 2008.