The world’s biggest platinum producer, Anglo Platinum Ltd, plans capital expenditure of R10bn for its expansion programme this year, parent Anglo American plc said on Tuesday.

The spending is part of a programme planned to boost Angloplat’s annual output from 2.7-2.8 million ounces this year to around 3.3 million ounces by 2010, Phillip Baum, the acting chief executive of Anglo’s South African unit, said.

“Anglo Platinum alone this year will spend 10 billion (rand) on capex, some R850m per month,” he told the Indaba African mining conference.

South Africa’s Anglo Platinum Ltd, majority owned by Anglo American, accounts for around 40% of global platinum production.

Anglo, the largest private sector investor in South Africa, also plans to increase annual coal production by 50% to 90 million tonnes if all projects get required approvals, he added, but did not give a time frame.

Iron ore output is due to grow to 44 million tonnes from 31 million based on approved projects and rise by a further 161% to 81 million tonnes if all projects under consideration go ahead, he added.

He did not give an overall capex spending estimate for the whole of Anglo, the world’s third biggest mining group.

source news : www.fin24.co.za