JSE- and LSE-quoted Anglo Platinum (Angloplat) said that it was in negotiations with customers to move to a market-related contract price for its rhodium sales, after the price of the white metal tested levels near $1 800/oz.

The metal, used in platinum alloys and in auto catalysts, hit a record high of $7 860/oz on Monday.

Angloplat's average price achieved on rhodium sales for 2007 was $4 344/oz, which it said long-term contracts that it signed with some customers "to support and develop the rhodium market" had affected.

"Angloplat is at an advanced stage of negotiations to achieve mutual recognition with its relevant customers of structural changes to the rhodium market affecting the US dollar price of the metal," the world's biggest platinum producer said.

"The objective of the negotiations is to move towards a contractual price for rhodium that is market related," it added.

Angloplat had enjoyed an average basket price increase for each platinum ounce sold in 2007 of 31%, with rhodium, the only metal it sold on contractual agreements, showing only a 23% increase for the year, at $4 344/oz.

The price that Angloplat received for its nickel sold during the year lept by a whopping 59%, to $17/lb. Ruthenium also increased its contribution to earnings by 158% to R921-million for the year, on the back of a higher metal price.

A 3% weaker rand/dollar exchange rate for the year also helped boost revenue, the mining company said.

Higher metal prices for the year contributed R5,4-billion to the firm's revenue for 2007.

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