Impala Platinum Revenue Drops on Falling Demand

27 August 2009 (Last Updated August 27th, 2009 18:30)

Impala Platinum said its revenue fell 31% for the financial year ended 30 June 2009 as the full impact of the economic crisis was felt and platinum production fell. The firm also reported a poor year in terms of safety with 11 employees losing their lives, ten of which at the Impala Ru

Impala Platinum said its revenue fell 31% for the financial year ended 30 June 2009 as the full impact of the economic crisis was felt and platinum production fell.

The firm also reported a poor year in terms of safety with 11 employees losing their lives, ten of which at the Impala Rustenberg site.

The year was challenging with the second half feeling the full impact of the economic crisis but operations weathered the storm and the group remains in a healthy position, Impala CEO David Brown said.

"Despite the first tentative signs of an economic recovery and an improvement in sentiment, this has still not translated into sustainable consumer demand. As a consequence the year ahead remains challenging and our efforts will focus on safety, volumes and cash preservation,” Brown said.

Production at Impala Platinum declined by 9% to 950,000 platinum ounces because of development and volume issues, the company said.

Costs were affected by sharp increase in input costs and lower volumes, resulting in 31% increase in costs per platinum ounce, Impala said.