Impala Platinum aims to increase production of precious metals in its Zimbabwe mines to 260,000 oz by 2010.

The increase would see production grow by 100,000 oz and the move will cost the firm about $360 million to expand its Mimosa and Zimplats operations.

Speaking to Reuters, Impala Platinum Chief Executive, David Brown said that output would be increased to 100,000 oz a year at the Mimosa mine and to 160,000 oz at Zimplats.

"The opportunity on the upside is enormous, but the investment climate is difficult - any improvement in this would allow us to expand and inject further capital," Mr Brown said.

"Power supply, skills and investment climate are big issues which cloud the horizon in Zimbabwe. Risks still exist, such as the infrastructure, which has degraded," he explained.

Impala Platinum will buy power from third parties and the firm has indicated that it would invest in a power sub-station to ensure steady supplies reached its operations.

Sources:

Implats CEO targets higher output at Zimbabwe ops, 26/02/08
http://africa.reuters.com/wire/news/usnL26616917.html

Ÿ Adfero Ltd