Russian pgm giant Norilsk Nickel has enjoyed a massive rise in profits for the first half of 2004 according to the company's latest set of results.

A rise in market prices for precious metals and also base metals helped push up profits by 191 per cent in comparison with the first half of 2003.

Norilsk saw profits touch $889 million, with revenues from precious metal sales rising by 43 per cent.

In a statement picked up by Reuters, the company said: "The main reason for the rise in revenues was the increase in metal sales prices and the inclusion of the financial results of Stillwater."

The Russian pgm firm bought a controlling stake in the North American miner last year, in a protracted buy out.

The most recent analysis from Johnson Matthey estimated that Norilsk produced around 650,000 oz of platinum in 2003, and around 2.7 million oz of palladium.