South Africa-focused Eastern Platinum (Eastplats) has released its fourth quarter production statistics for its flagship Crocodile River Mine, which show a sharp drop in output from the previous three-month period.

Production fell from 26,955 platinum group metal (pgm) ounces in Q3 to 19,854 oz in Q4.

In a statement, the firm explained that fourth quarter mining and production at CRM were hit by strike action by employees of the mine's main mining contractor, JIC Mining Services.

There was also a Section 54 shut-down of operations following a fatality at CRM in November.

"Both incidents resulted in stoppages of mining operations. Concentrator recovery decreased as a result of the subsequent disruptions to the steady state operation of the processing plant," Eastplats said.

However, the firm also indicated that 2012 will deliver much stronger production figures, with mine development projects on track at the Zandfontein section.

Development work on the Maroelabult Section is progressing well and the mine life of this section has been extended by two years to 2016.

"The company does not expect a repeat of the negative events of 2011 at CRM during 2012 and anticipates production from CRM to be approximately 125,000 pgm ounces," Eastplats added.

Source:

Eastplats Reports Production Results For the Quarter Ended December 31, 2011 (24/01/12)

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