Northam Platinum has acquired the Booysendal platinum project in a move that will increase production of platinum group metals to more than 700,000 oz a year by 2015.

Production of platinum, palladium, rhodium and gold will be increased to a level sufficient to make it the fourth ranked producer in the sector, Reuters reports.

Derek Wolstenholme, Corporate Finance Manager at Northam Platinum, told Reuters that production would be "slightly more" than double what it is now.

Northam Platinum took over 50 per cent of the project and will control the remainder when mining rights are granted for the rest of the project.

It paid R4 billion for the deal that was partly financed by Mvelaphanda Resources and Nedbank.

A feasibility study has been completed and a bankable feasibility study is underway and will take about a year.

Mr Wolstenholme said that Northam Platinum was likely to use a combination of equity or project finance to fund the development and that it was keen to advance the project without partners.



Source:

Booysendal to lift Northam into platinum big league, 20/08/08
http://www.reuters.com/article/rbssIndustryMaterialsUtilitiesNews/idUSLJ55343320080820?sp=true