Norilsk Nickel has met its targets for metal production but saw revenues drop as it released its first quarter results for 2005.

The Russian pgm giant saw revenue reduced by 4.5 per cent to 40.08 million rubles during the period and net earnings dropped 11.3 per cent to 15.24 billion rubles, according to AK&M.

Meanwhile, more positive results showed that costs were cut by 16 per cent and sales income was up by six per cent.

In addition, gross profit rose by three per cent.

Norilsk produces platinum, palladium, nickel, copper, cobalt and other precious metals such as gold and silver, for industrial needs.

The company is the largest producer of nickel and palladium in the world and is one of the largest producers of platinum.