Stillwater Mining Company saw pgm production at its main facility in Montana increase significantly last year, it has been confirmed.

Output at the Stillwater Mine, which is located in Nye, reached 394,000 oz for 2009, representing an improvement of 45,000 oz, or 13 per cent, from 12 months earlier.

The results are impressive as the company was expected to struggle after losing its supply agreement with General Motors when the automaker filed for bankruptcy last summer.

However, with pgm prices set to stabilise further in 2010, Chief Executive Frank McAllister confirmed that Stillwater will increase its annual mine development outlay to $50 million.

"If [pgm] prices remain strong, the company may consider expanding its capital expenditures modestly to include some more discretionary projects as well," he said.

Mr McAllister added that Stillwater's main priority for 2010 would be to limit costs, rather than attempt to seek sizeable increases in mine production.

The platinum and palladium producer's latest financial figures also confirmed that it managed to restrict its annual losses to $9.1 million in 2009.

Underground mining at Stillwater Mine commenced in 1986 after the completion of its initial construction.

Source:

Stillwater Mining Co. Reports Upswing Despite Loss of GM (01/03/10)

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