Canadian firm Inco Ltd yesterday reported adjusted net earnings of $16 million, or seven cents a share, for the third quarter of this year, compared with adjusted net earnings of $52 million, of 25 cents a share, for the third quarter of 2002.

One of the major features of the pgm firm's results were the difficulties it experienced in meeting platinum production targets.

CEO Scott Hand said the production of platinum had been retarded by industrial action, and would not recover before the end of the year:

'We currently estimate that our platinum group metals production for the year will be in the 205,000 to 210,000 troy ounces range, significantly lower than our July 22 guidance of 280,000 troy ounces which was based upon an assumed three-month strike at Ontario'.

The adjustments made are varied, and include the $46 million cost of the strike, that lasted from June to August this year.

The net loss for the quarter was $27 million, 16 cents a share, compared with net earnings of $91 million, 46 cents a share, for the third quarter of 2002.

Mr Hand added 'our third quarter results were disappointing, reflecting the negative impact of the strike at our Ontario operations and a slower than anticipated ramp-up of those operations following the strike.

'At the same time, we benefited from strong production at our PT Inco and Manitoba operations, and from rising nickel prices in a nickel market that we believe will continue to strengthen.'