Platinum miner Lonmin has announced that its fourth quarter production is ahead of expectations.

The strength of the company's fourth quarter showing has led the company to increase its platinum output forecast for the year.

Platinum production during the first nine months of 2005 was higher than the company had anticipated at 916,420 ounces, with the firm's Marikana smelter reaching record levels of output during that period.

Its strong fourth quarter saw 309,239 ounces produced, with the Marikana smelter returning to full capacity during the period after the explosion last November that had severely affected Lonmin's production figures.

The company's final results for the year will be delivered in November, but the preliminary forecast suggested that the recovery process from last year's blast at Marikana has been well managed and the increase in costs as a result of that setback will be limited to the current level of South African inflation.

Lonmin's promising outlook will boost the company's standing as it continues its bid to take full control of platinum firm Messina, in which it already holds a 91.5 per cent stake.


Ÿ Adfero Ltd