Canada’s North American Palladium has resumed production at its Lac des Iles mine in Ontario.

The mine has been under maintenance since October 2008.

North American Palladium president William J Biggar said the restart of the mine is well timed to capitalise on recent increases in the price of palladium, which now exceeds $520 an ounce.

Ore production from the Roby Underground zone at the mine is currently about 2,000t a day and is expected to increase to 2,600t a day by 1 May.

The company said it aims to produce 140,000oz of palladium a year.

The price of palladium has surged 200% since December 2008.