TORONTO (miningweekly.com) – Platinum-miner Eastern Platinum (Eastplats) produced 10% less in the first quarter of 2010 compared with the previous quarter, because of a slower-than-expected start-up after the December break, the firm said on Friday.

But the company said that mining rates have returned to normal levels since January, and it expects a much better second quarter.

Eastplats produced 30 531 platinum group-metals (PGMs ounces) in the first three months of this year from its Crocodile River mine in South Africa, compared with 34 000 oz in the December quarter.

Run-of-mine tons hoisted and processed also fell 10%, for the same reason, Eastplats said.

Head grade was maintained at 4,1 g/t and concentrator recovery was reported at 78% for the quarter.

But underground development was also negatively impacted on by the slow start in January, with total development metres down14% compared with the previous quarter.

The company had a surface stockpile of 12 236 t, representing some 1 174 recoverable PGM ounces, at the end of the quarter.

"The slow start to 2010 following the December break, affected all aspects of our operations,” CEO Ian Rozier said in a statement.

“However, our mining rates have picked up to normal levels since January, and the head grade and PGM recoveries have remained consistent, putting us on track for a much more productive second quarter.”

Eastplats said it had started underground development at its Crocette project on April 4, as planned.

Shares in the company fell 5,77% on Friday morning, to C$1,47 apiece by 10:57 in Toronto.

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