Stillwater Mining has announced a fall in production during the second quarter of 2007, compared to the same period last year.

Announcing a net loss of $2.5 million during the second quarter, Stillwater said that production had fallen to 133,100 oz of platinum group metals (pgms), compared to 148,700 oz during the second quarter of 2006.

The firm revealed that its Stillwater mine suffered the brunt of the fall in output, with lower productivity, workforce attrition owing to a schedule change and mechanical problems all cited as reasons for the dip.

Stillwater's East Boulder mine was "essentially on plan", according to Chief Executive Francis R McAllister, with a fall in production of just 1,000 oz from the year-ago period, while the Stillwater mine saw production decrease by 15,000 oz.

Mr McAllister added that the company has revised its annual production expectations downwards, to between 555,000 oz and 585,000 oz from 615,000 oz to 645,000 oz.

Despite this, Mr McAllister remained upbeat, commenting: "The developed state of the mines continues to advance and the transformation toward more selective mining methods continues, improving the long-term economic viability of our operations. We regard progress toward these initiatives as ultimately much more significant than quarter-to-quarter fluctuations in performance."

Source:

Stillwater Mining Reports Second Quarter 2007 Results, 6/08/08
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