Johannesburg — LONMIN said yesterday sales of platinum fell 13,6% in its first quarter to December because of lower production of the metal, but the company maintained its full-year forecast.
Sales from Lonmin, the world's third-largest platinum miner, fell to 109044oz from 126202 oz during the same period a year earlier as refined platinum production for the first quarter declined 16,7% to 110786 oz.
However, Lonmin's total sales of platinum group of metals increased 4,8% to 239685oz.
Its Marikana underground operations in North West produced slightly less in the first quarter, at 2,6-million tons , a decline of 3,9%, or 100000 mined tons, compared with the same period the previous year.
The reasons for the shortfall included the closure of an uneconomical decline shaft and a number of half levels at Marikana during the third quarter of last year. These operations contributed about 35000 mined tons during the first quarter of last year.
Work stoppages at Marikana declined in the quarter from the period in the prior year, but the volume impact was about 60 000 tons higher than the prior-year period.
The performance " supports our 2010 sales guidance of 700 000 oz", the firm said.
The company said while dollar-denominated PGM prices rose towards the end of last year, they had remained flat when measured in rand terms.
LONMIN
Annual 2009 2008
Rev (bn)1,062 2,231
Pretax (m) (272) 779
Net Income (m)(285) 455
EPS (c)(163,7)277,7
Dividend PS (c) -113,6
