Norilsk Nickel revealed yesterday (25th May) that it has increased its platinum and palladium production estimates for 2009.

The Russian miner, which is the world's largest nickel and palladium producer, has decided to raise its platinum output forecast from 600,000 to 620,000 oz to 615,000- 640,000 oz.

In addition, its palladium prediction is now between 2.685 million and 2.71 million ounces, rather than the original call of 2.61 million and 2.625 million ounces.

Norilsk now expects to produce between 285,000 and 300,000 tonnes of nickel this year - down from a previous estimate of 290,000 to 305,000 tonnes.

This relatively minor alteration can be explained by the fact that the Moscow-based group is forecasting steady production levels at its Polar and Kola divisions.

The company also revealed that it is changing its copper output prediction slightly at the upper end, moving from 380,000-405,000 tonnes to 385,000 to 400,000 tonnes.

Despite its own optimistic output claims, Norilsk noted that overall pgm production will decline again this year on an annual basis, mainly as a result of falling ore grades.

According to the firm, palladium production will be down by 125,000 oz and platinum output looks set to slide by 25,000 oz.

Sources:

Norilsk trims '09 nickel, raises PGM output f'casts (25/05/09)

Norilsk posts loss, tweaks '09 production outlook (25/05/09)

MMC NORILSK NICKEL PRESENTS THE CONSOLIDATED FINANCIAL STATEMENTS AS AT 31 DECEMBER 2008 AND FOR THE YEAR THEN ENDED PREPARED IN ACCORDANCE WITH INTERNATIONAL FINANCIAL REPORTING STANDARDS (25/05/09)

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