Eastern Platinum could boost pgm output at its Mareesburg project to 325,000 oz per year by 2013 after being granted new order mining rights.

The Department of Mineral Resources ruling covers all pgms, base metals and chrome in the UG2 reef horizon, while an associated environmental management plan was also approved.

As a result, Eastern can now commence development of the openpit mine at the facility, which is located on the eastern limb of the Bushveld Complex in South Africa.

The decision will help the company reach the overall 600,000 oz per year target it announced in June, with 400,000 oz coming from its operations on the eastern limb.

In addition, Eastern will now build a 90,000 tonnes per month concentrator at the nearby Kennedys Vale operation, with a quick ramp-up possible after commissioning.

The required water and power supplies have been secured for the two projects, with the firm now focusing on plans to expand the Kennedys Vale concentrator to 160,000 tonnes per month.

Chief Executive Ian Rozier explained that the latest developments are a major fillip to Eastern's long-term plan to "significantly increase" its overall production levels.

"The granting of new order mining rights for Mareesburg and the securing of construction power at Kennedys Vale, along with our existing water rights, now provides us with all the third-party support for us to begin the phased development of our multiple properties on the eastern limb," he said.

Eastern Platinum is the largest pgm producer in Canada and the sixth-largest in South Africa.

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Eastplats granted mining right for Mareesburg project (04/11/10)

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