Last checked at 
LONDON (Alliance News) - Sylvania Platinum Ltd Tuesday swung to a pretax loss in the year to the end of June, hit by impairment costs relating to its joint venture with Aquarius Platinum SA Ltd, the Everest North Project, and its 25% investment in the Chrome Tailings Retreatment Plant.
The company posted a pretax loss of USD2.9 million, swung from a profit of USD5.4 million, despite seeing revenue rise to USD47.2 million from USD40.0 million. Results were hit by higher cost of sales, a USD445,852 loss from the weakening of the South African rand, a USD1.6 million impairment of exploration and evaluation assets and a USD1.3 million impairment of its investment in an associate.
Sylvania said it had been unaffected by the five month long strike in the platinum industry as there was no direct involvement by its employees.
Total production from its Sylvania Dump Operations rose 22% to 53,808 ounces from 44,095 ounces in the previous year, slightly beating its 51,000 ounce production guidance.
The improved production was due to increased and more consistent plant feed tons, improved plant stability and increased technical focus on the operations, it said.
The company said that the viability of the Everest North project depends on the operation of Aquarius Platinum's Everest South processing plant. This was placed on care and maintenance in June 2012, and Sylvania said that it is not aware of any plans to restart this operation in the foreseeable future.
Additionally, the Chrome Tailings Retreatment Plant, which is managed by Aquarius Platinum, remains on care and maintenance, it said, and there is no agreement or plan to restart the operation.
Shares in Sylvania were trading up 2.4% at 6.40 pence Tuesday morning.
By Hana Stewart-Smith; hanassmith@alliancenews.com; @HanaSSAllNews
Copyright 2014 Alliance News Limited. All Rights Reserved.
