North American Palladium has announced a jump in profits during the first quarter of 2007 thanks to a major growth in its platinum group metal (pgm) production.

The company revealed a 68 per cent increase in production of palladium at its Lac des Iles operations compared to the same period in 2006, helping to reverse its first quarter loss a year ago into a $5.5 million profit.

North American Palladium produced 78,805 ounces during the first three months of this year, compared to 47,015 ounces during the first quarter of 2006.

There was also strong growth in the production of by-product metals at the firm, with platinum output growing by 46 per cent to 6,862 ounces.

North American Palladium explained that there were a number of reasons for the improvement in its production, including in the availability of its mill, which was at 95 per cent compared to 85 per cent a year earlier.

Recoveries also improved, reaching two-year highs at 76.6 per cent compared to 72.7 per cent during the first quarter of 2006.

Sources:

North American Palladium Reports First Quarter 2007 Revenue Increase and Profitability,9/05/07
http://www.ccnmatthews.com/news/releases/show.jsp?action=showRelease&searchText=false&showText=all&actionFor=650902

North American Palladium turns to profit of $5.5 million in Q1, 9/05/07
http://www.cbc.ca/cp/business/070509/b0509125A.html

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