Stillwater Mining has hinted that it could be moving into the South African mining market in the near future.

The company's chief executive, Frank McAllister, has commented that the firm is keen to diversify and already has connections in South Africa.

Speaking at the Denver Gold Forum, Mr McAllister said his company is currently too dependent on palladium, while the recent wildfires near Stillwater's operations demonstrate the danger of only having one resource base.

Mr McAllister suggested in an interview with Miningmx that Stillwater would be interested in striking a deal with one of the Black Economic Empowerment (BEE) groups in South Africa.

He commented: "We are not frightened by South African politics. [Former Stillwater COO] Steve Kearney introduced us to the leaders of the Royal Bafokeng Nation and we have met other Black leaders through the other contacts we have built up.

"We are comfortable with the situation there. It's not all that easy operating in Montana at times because of the very strict environmental regulations," Mr McAllister added.

Ÿ Adfero Ltd