Aquarius Platinum has confirmed that the ongoing effects of the global financial crisis have led it to cut its production target for 2009 by 4.2 per cent.

The South African firm released its annual report on Friday (31st October), which showed that PGM production is now likely to be 575,000 oz for the year to 30th June, rather than 600,000 oz.

This figure - which compares to the 500,203 oz output of metals such as palladium, rhodium and iridium in 2008 - is being largely attributed to "uncertainty" in the industry.

Chief Executive Officer Stuart Murray noted in the report: "We will be operating into the future in circumstances that are less certain than they were previously. Uncertainty suggests a more cautious approach.''

The platinum price has been plummeting in recent months, contributing to Aquarius posting a first quarterly loss, while the company also shut down a shaft at its Marikana mine which produces 5,600 oz per year.

However, Chairman Nicholas Sibley also outlined in the report that he believes the firm will be in a strong negotiating position in relation to acquisitions when PGM demand recovers.

He said: "We continue to investigate opportunities for profitable new investment at current and lower PGM prices.''



Source:

Aquarius Platinum Cuts Output Target by 4.2 Percent (Update1) (31/10/08)