Mining company Stillwater says that the establishment and development of a palladium jewellery market in China is key to opening up more business in the country.

Speaking during the announcement of the company's third quarter results, Stillwater chief executive Frank McAllister stated that the development of a palladium jewellery market in China would be the first step in achieving the institutionalisation of palladium as a primary metal in the creation of jewellery around the world.

To this end, Mr McAllister commented that he is looking to create an International Palladium Council comprised of a variety of industry professionals and he is also aiming to trade palladium on the Shanghai Gold Exchange.

The Chinese market has rocketed in recent years and Mr McAllister pointed out that palladium jewellery has jumped from almost nothing just two years ago to 1.3 million ounces in 2005.

Therefore, Mr McAllister believes that the region is the perfect place to start in the effort to build a global palladium jewellery market, especially given that he expects China to consume some 30 per cent of the world's palladium production in 2006.


Ÿ Adfero Ltd