Lonmin saw its pgm production decrease slightly during the first calendar quarter of 2010, it was confirmed today (10th May).

The world's third-largest platinum producer recorded output of 303,700 oz for the three-month period, compared with the total of 311,074 oz at the same time last year.

Overall output at its Marikana operation was up from 285,815 oz to 293,306 oz, with a dip from 25,259 oz to 10,354 oz being posted at Pandora.

According to the company, the figures were compromised by Section 54 safety stoppages at the former and the closure of opencast operations at the latter.

"Platinum in concentrate from our Marikana operations was 154,578 saleable oz during the second quarter of 2010, increasing by two per cent from the prior year period," noted the company.

"This was due to achieving better levels of grade and concentrator recoveries during the quarter compared to the prior year period."

The results also showed that tonnes milled at Lonmin's core underground mining operations declined by two per cent to 2.6 million.

However, production at the Saffy and Hossy shafts continued to ramp up during the quarter, resulting in a year-on-year increase of 41 per cent.

Lonmin is a long-standing hostile takeover target for diversified Swiss miner Xstrata.

Sources:

Lonmin Plc Second Quarter 2010 Production Report (10/05/10)

Lonmin core underground Marikana output flat (10/05/10)

Lonmin releases earnings per share of 22,8c (10/05/10)

Lonmin swings into profit (10/05/10)

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